Obama Launches Trade Complaint Against China, says Currencies Direct

Sep 24, 2012, 07:43 ET from Currencies Direct

NEWBURY, England, September 24, 2012 /PRNewswire/ --

President accuses China of subsidising exports of automobile parts

Barack Obama has issued a formal trade complaint to the World Trade Organisation against China, accusing the Asian power of 'illegally' subsidising exports on automobile parts, say exchange rates experts, Currencies Direct.

The President, who has often lambasted China's trading policies, believes subsidisation is putting American manufacturing at a distinct disadvantage, affecting both US competition and production. Officials working on behalf of Obama confirmed the President had launched enforcement action at the WTO on Monday, indicting China of subsidising automobile parts illegally.  

China's trading policy has long been a matter of controversy in America. In the decade between 2001 and 2011 jobs in the automobile sector dropped by 50% in the US, while imports of auto parts from China rocketed. Both Mitt Romney and Barack Obama have vowed to get tough on Chinese trade if they win the presidency in November.

After a weekend away from the spotlight, both candidates were back on the campaign trail on Monday, and back to exchanging trading barbs.

Speaking in Ohio, a swing state with a large manufacturing base, Mr Obama took another opportunity to criticise Mitt Romney's past interests in China, accusing the Republican presidential candidate of outsourcing jobs to China when running the private equity firm, Bain Capital.

Similarly Romney released a TV advert last week accusing the President of 'failing American workers'.  On the issues of trade, Romney has persistently branded the President as 'weak', citing the Dollars depreciation against other world currencies during Obama's first-term in office as an example.

About Currencies Direct

Currencies Direct is one of Europe's leading non-bank providers of currency exchange payment services. Since its formation in 1996 Currencies Direct has evolved and positioned from being an innovative service provider of foreign exchange for consumers and high net worth individuals into a dynamic and pioneering 'business to business' fully integrated treasury solution service provider. 

Head quartered in the City of London (United Kingdom) with operations in Europe, Africa, Asia and the United States, Currencies Direct is part of the Azibo Group, a privately owned investment company.

SOURCE Currencies Direct