US Court of Appeals for the Federal Circuit (CAFC) ruled, on December 19, 2011, concerning off-road tires case that US Department of Commerce can not launch countervailing investigation against China as deem it a non-market economy. Leader of Chinese Ministry of Commerce commented on the issue that the US has been making countervailing investigations on Chinese products for many years. It is not only in violation of WTO rules, but also not in line with US law. We hope the US corrects the wrongdoing of making countervailing investigation as soon as possible when it holds China as a non-market economy.

Since November, 2006, US Department of Commerce has started countervailing investigation against China while it does not recognize China as a market economy. Especially after the international financial crisis, more frequent use of anti-dumping and countervailing measures by US against Chinese products occurred. Up to now, the US Commerce Department has started 30 anti-dumping and countervailing investigations that were not in accordance with US law, which abuse trade remedy measures and is of typical trade protectionism. US Department of Commerce imposed countervailing duty while imposing anti-dumping duty against Chinese enterprises by using a substitute country, which has posed unfair treatment to Chinese enterprises and impaired their lawful rights.