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The top court of the World Trade Organization (WTO) confirmed on Monday that a Chinese measure on auto parts imports has violated WTO rules.
In a report, the WTO Appellate Body largely upheld a panel ruling in July, which backed complaints made by the
But it overthrew one aspect of the July ruling, which said
The measure aims at preventing tax evasion by companies that import whole cars as spare parts to avoid higher tariff rates.
However, the three complainants argued that the Chinese tax measure deters automakers from using imported parts to build cars in the country, thus in violation of WTO rules.
A WTO panel decided in July that the Chinese measure was contrary to WTO rules and
