China responds to US steel tariffs

China is to complain to the World Trade Organisation (WTO) over the tariffs the United States has imposed on steel imports.

The country is seeking compensation for its steel mills after the US government raised import tariffs by up to 30% in order to protect US steel producers

It is not clear how much compensation China wants, but Beijing officials have warned that if they are not satisfied with the response from the US, further action will be taken against what it calls "evident trade protectionism".

The US tariffs will in effect bar Chinese steel products from the American market.

The measures will put more pressure on China's struggling steel producers - themselves a remnant of an inefficient state-run system.

If China does retaliate, US exports of grain are likely to be targeted along with soybeans, computers and aircraft parts.

China is also building a case against South Korea, Taiwan, Ukraine and Russia for dumping steel in its market.