As talks resume, China ends anti-dumping probe of US sorghum
By KELVIN CHAN, Associated Press
May 17, 2018 11:52 PM CDT
FILE - This Aug. 15, 2012, file photo shows sorghum at a farm in Waukomis, Okla. As China-U.S. trade talks resume in Washington, China said Friday, May 18, 2018 it is dropping anti-dumping and anti subsidy investigations into imported U.S. sorghum, saying it is not in the public interest. (AP Photo/Sue...   (Associated Press)

HONG KONG (AP) — As China-U.S. trade talks resumed in Washington, China said Friday it is dropping anti-dumping and anti-subsidy investigations into imported U.S. sorghum, saying it is not in the public interest.

The Commerce Ministry said it was ending the anti-dumping probe because it would have raised costs for consumers.

The announcement was a possible sign Beijing is willing to make a deal with Washington amid talks between senior U.S. and Chinese officials aimed at averting a trade war between the world's two biggest economies.

China started investigating U.S. sorghum in February after finding that large volumes and falling prices hurt Chinese producers. Preliminary anti-dumping tariffs of 178.6 percent on the crop, which is used primarily for animal feed and liquor, took effect on April 18.

In the course of its investigation, the ministry concluded that, "Anti-dumping and countervailing measures against imported sorghum originating in the United States would affect the cost of living of a majority of consumers and would not be in the public interest," according to a notice posted on its website.

It said it had received many reports that the investigation would result in higher costs for the livestock industry, adding that many domestic pig farmers were facing hardship because of declining pork prices.

The probe had also sparked fears among American farmers that they would lose their largest export market for the crop.

President Donald Trump's administration has proposed tariffs on up to $150 billion in Chinese products to punish Beijing for requiring U.S. companies to turn over technology in exchange for access to China's market. China has responded by targeting $50 billion in U.S. imports. Neither country has yet imposed tariffs.

Trump met Thursday with Chinese Vice Premier Liu He, the leader of China's delegation for the negotiations in Washington. Trump had told reporters earlier that he had doubts about the potential for an agreement. Treasury Secretary Steven Mnuchin is leading the talks with Chinese officials.