US panel to probe trade relations with China

Washington, Nov 3: The US International Trade Commission said it was launching the first of three investigations aimed at uncovering reasons for the rapid growth in U.S. trade with China.

The trade panel said it was beginning the probes at the request of the House of Representatives Ways and Means Committee, which shares congressional jurisdiction over trade issues with the Senate Finance Committee.

The three reports will be delivered to Congress over the next two years. The US trade deficit with China hit a record 202 billion dollars in 2005 and will surpass that this year, leading to calls in Congress for action to narrow the gap.

Each report will focus on specific aspects of the US-China trade relationship, with the first examining trends and patterns in trade and foreign direct investment between the United States and Asian and Pacific trading partners.

The second will look at the driving factors behind the rapid growth in US-China trade and the third will examine China's integration with the global economy, the ITC said.

Reuters