The Retail Industry Leaders Association reacts after a hearing about China’s exchange rate policy and the current trade imbalance that went before the Senate Banking Subcommittee on Economic Policy, states the American Shipper magazine. The hearing discussed legislation that would allow duties to be imposed on Chinese imports to address currency undervaluation allegations.

“Higher tariffs have never proven to be a wise solution for American economic growth,” said Stephanie Lester, RILA vice president for international trade. “RILA supports economic engagement with China and addressing our trade gap with China. We firmly oppose legislation that threatens to cut off access to the U.S. market and drive up prices for consumers.”

RILA has warned that higher tariffs would negatively effect U.S. businesses and its consumers.

To read more about RILA's reaction, click here.

BusinessWeek reports that China Trade surplus fell making many believe that China is not just an exporting country anymore.

Anyone surprised by this new report? According to the New York Times, the recession has made companies more conservative on price. So now, these companies are looking to Chinese suppliers, who have reduced prices, making it possible to grab the majority of the market share. Companies around the world are switching to China to cut costs and save money, making it easier for Chinese suppliers to gain leads in old markets and obtain new ones. China has surpassed Germany on exports this year and has become America's number one importer (formerly Canada).

The European Union and the United States are in talks on forging a pact with OECD countries and China, if agreed, a global pact will be created to phase out import tariffs on goods such as wind turbines, renewables and green technologies.

The Associated Press reported that as the G-20 summit will commense next week in Pittsburgh, many governments are tense with new report issued claims of more evidence of protectionism.

According to Business Week, the Chinese government is upset with the newly increased tire tariff imposed by the Obama Administration. The 35 percent increase comes in response to the U.S. steelworkers compliant to the U.S. Commerce Department that the Chinese government was subsidizing the steel industry.

The Washington Post reported that the U.S. Commerce Department has issued its premliminary findings that Chinese steel pipe producers are in violation of trade law because of received subsidies from the Chinese governement.

According to the World Trade Organization (WTO), China will become the leading exporter by value this year, pushing Germany out of it's number 1 spot.

After the United Steelworkers Union brought a case before the International Trade Commission(ITC), the US federal agency is recommending tariffs be placed on imported Chinese tires, reports the Finanical Times in the U.K. The Union stated a surge of imported of Chinese tires has affected domestic tire makers, causing an estimated 7,000 lost jobs. The recommendation from the ITC is to impose a $1.7 billion tariff on Chinese tires for the next 3 years.