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US brings WTO case against Chinese tax on aircraft imports

WASHINGTON (AP) — The United States is bringing a case against China to the World Trade Organization, protesting that taxes on imported aircraft give Chinese manufacturers an unfair advantage. "China's discriminatory, unfair tax policy is harmful to American workers and American businesses of all...

WASHINGTON (AP) — The United States is bringing a case against China to the World Trade Organization, protesting that taxes on imported aircraft give Chinese manufacturers an unfair advantage.

"China's discriminatory, unfair tax policy is harmful to American workers and American businesses of all sizes in the critical aviation industry, from parts suppliers to manufacturers of small and medium-sized aircraft," U.S. Trade Representative Michael Froman said Tuesday.

The U.S. says that China imposes a 17 percent tax on imports of smaller aircraft, including propeller-driven general aviation aircraft, business jets and some jets that fly regional routes, and that Chinese-made planes are exempt from the tax in violation of WTO rules.

The Chinese embassy in Washington did not respond immediately to a request for comment.