China Criticizes US Over Pipe Duties

FILE - In this Oct. 30, 2009 file photo, a man walks through a parking lot occupied by Chevrolet...

FILE - In this Oct. 30, 2009 file photo, a man walks through a parking lot occupied by Chevrolet Cruze models at a local joint manufacturer with Shanghai GM in Shengyang, in northeast China's Liaoning province. China says it launched an anti-dumping probe Friday, Nov. 6, 2009, against U.S.-made autos in a step that could lead to higher import duties, adding to possible trade tensions ahead of a visit by President Barack Obama. (AP Photo, File)

(AP)

China criticized Washington for imposing anti-dumping duties on Chinese-made steel pipes and launched a probe Friday of imported U.S. autos, adding to trade tensions two weeks before President Barack Obama visits Beijing.

The latest moves ratchet up disputes over market access for goods from poultry and tires to Hollywood movies. But Beijing and Washington are confining the conflicts to diplomatic channels, apparently hoping to avert a trade war that could damage wide-ranging cooperation on issues such as the global economic crisis, North Korea and climate change.

The Commerce Ministry criticized the U.S. decision Thursday to raise tariffs on Chinese pipes as protectionist. It said the move violated World Trade Organization principles and commitments by Washington and other Group of 20 major economies to avoid protectionism amid the global economic crisis.

"China resolutely opposes use of such protectionist practices, and will take measures to protect the interests of domestic industry," ministry spokesman Yao Jian said in a statement on the ministry's Web site.

The U.S. Commerce Department said it concluded Chinese producers were dumping pipes used by the oil and gas industry and would impose duties of up to 99 percent.

Yi Xiaozhun, a deputy commerce minister, said the case was the biggest anti-dumping action yet against China by market value and affected exports worth $3.2 billion a year.

Also Friday, Beijing announced it was launching an anti-dumping investigation of imported U.S. autos. It said it was acting on a complaint by Chinese automakers but gave no details of the alleged American misconduct. The case could result in higher tariffs on U.S. autos if Chinese investigators conclude American automakers received improper subsidies or sold below fair-market price.

Beijing warned Washington at trade talks last month of the impending probe, a possible diplomatic gesture to reduce the political impact of Friday's announcement.