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Automakers sue US government over tariffs on Chinese imports
by Staff Writers
New York (AFP) Sept 24, 2020

Major automakers Tesla, Volvo, Ford and Mercedes-Benz have sued the US government over tariffs on Chinese goods, demanding customs duties paid on imports be returned, with interest.

The lawsuits, which were filed in recent days in the New York-based Court of International Trade, concern tariffs imposed by the Office of the US Trade Representative (USTR) on imports from China, which Tesla in its filing called "arbitrary, capricious, and an abuse of discretion."

The duties came amid a wider trade dispute between Washington and Beijing, and the automakers are asking for the tariffs to be revoked and any money paid to import parts returned.

Mercedes-Benz in its filing accused Washington of "prosecution of an unprecedented, unbounded, and unlimited trade war impacting over $500 billion in imports from the People's Republic of China."

The German automaker argued that US law "did not confer authority on defendants to litigate a vast trade war for however long, and by whatever means, they choose."

Officials at the office of US Trade Representative Robert Lighthizer did not respond when contacted by AFP for comments on the lawsuits.

US President Donald Trump's administration engaged in months of trade conflicts with China, and imposed the levies as part of an effort to wean US manufacturers off Chinese technology.

China and the United States signed their "phase one" trade deal earlier this year that partially ended the dispute.

Under that agreement, Beijing promised to buy $200 billion in US goods and Washington backed down on tariffs on $160 billion in Chinese goods, particularly consumer electronics.

The US also slashed by half 15 percent tariffs on $120 billion in goods, but kept in place 25 percent duties on $250 billion in imports, which some of the automakers cited in their lawsuits.

Beijing has retaliated for these levies, while Washington is aiming both to reduce its trade deficit and reform Chinese business practices it considers unfair.

The Commerce Department reported the US trade deficit in July surged nearly 11 percent to $63.6 billion, with the deficit with China climbing to $28.3 billion.

China is the world's biggest auto market and the main growth driver for many car manufacturers -- especially for electric car maker Tesla, which intends to benefit from the country's ambitious targets for reducing CO2 emissions.


Related Links
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Man 'asleep' in speeding self-driving car charged in Canada
Ottawa (AFP) Sept 18, 2020
A driver who allegedly set his car to autopilot and then took a nap as it broke the speed limit on a rural Canadian highway has been charged with dangerous driving, police said. The incident took place near the town of Ponoka in Alberta province, the local force said in a tweet on Thursday. "The car appeared to be self-driving, travelling over 140 km/h with both front seats completely reclined & occupants appeared to be asleep," it said. According to Canadian public broadcaster CBC, the car ... read more

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