U.S. urges additional tariffs on imported Chinese tires

The US International Trade Commission (ITC) on Monday recommended that President Obama impose a three-year additional tariff on imports of Chinese low-cost tires. The commission said that the import of Chinese tires is hurting the US tire industry.

The committee recommended that the Obama administration impose an additional 55% tariff on imported Chinese passenger car and light truck tires in the first year, followed by 45% and 35% in the next two years. The case was seen as a test of how the Obama administration will respond to trade disputes with China.

"We believe that the above tariff levels will be a remedy to disrupt the U.S. market," ITC said in a statement. The North American Iron and Steel Workers Union (USWA) said that the import of Chinese tires has left thousands of Americans unemployed.