"Chinese government subsidies on trade are wrong and illegal," says Titan International Inc. Chairman and CEO Morry Taylor. "The freight alone to ship tires from China to the U.S. is greater than the direct labor used to produce the tires. This means labor is essentially free in China."
Earlier this week, Titan and the United Steelworkers filed a trade case with the U.S. Department of Commerce and the U.S. International Trade Commission accusing China of dumping OTR tires into the American market.
China's trade practices "are against the law," Taylor told moderntiredealer.
The Chinese government "subsidizes everything from factories to labor. Our politicians and bureaucrats better wake up. When manufacturing leaves this country due to unfair labor subsidies from foreign governments, not only are those jobs lost, but also the tax base to pay for teachers, police, firemen and other government workers."
Taylor says Titan representatives will testify at hearings for the case, which are scheduled to start on July 5. A preliminary determination of injury could be made as early as August.
