The Washingtington Post notes:
The World Trade Organization has upheld the stiff duties that President Obama imposed on car tires imported from China last year, an important victory released on the eve of trade talks between the two countries.
A panel at the Geneva-based trade group on Monday said it agreed that the United States was justified in slapping a 35 percent tax on Chinese tires under WTO provisions that let countries protect local industries and workers from sharp increases in Chinese imports.
The provision was part of the agreement under which China joined the WTO a decade ago. Chinese tire imports to the United States tripled between 2004 and 2008, to 46 million tires worth an estimated $1.7 billion.
Update: Ken Houghton reminds me of Tom Bozzo’s September, 2009 post Travels of a cheap tire in global economy covering part of the issue.
Update two: WTO panel report on the tires dispute linked.