Minerals' export: US drags China to WTO

The United States has dragged China to the World Trade Organisation alleging that Beijing [ Images ] is unfairly restricting export of raw material needed by the American manufacturing sector, especially aluminium, chemical and steel industries.

There 'appears to be a conscious policy to create unfair preferences for Chinese industries by making raw materials cheaper for China's companies to get, and goods more economical for them to produce, US Trade Representative Ron Kirk said on Tuesday.

The European Union has filed a similar complaint with the WTO.

Reports from Beijing said China has denied violating any WTO rules and defended the export restrictions saying they are aimed at protecting the environment.

Barack Obama [ Images ] during his presidential campaign has pledged to act tough with US trade partners in the face of massive job losses and world econonmic recession. Earlier talks between the Bush administration and Beijing had not yielded any results.