US to tighten trade rules: targets Chinese goods

In a bid to inject some life into a sputtering economy the Obama administration has now announced stricter rules to enforce trade laws against nations that help subsidise companies exporting cheap goods to the US.

Though it will impact others as well, the primary target behind the crackdown is assumed to be China.

As part of its initiative the US Commerce Department has set out 14 proposals which will seek to curb or shut down illegal import practices and also require importing parties to pay the full amount of duties that they are liable to.

The proposals, which are likely to come into play later this year, are particularly aimed at countries where governments control their markets.

The move comes even as economic recovery in the United States flounders and president Barack Obama's Democratic Party struggles to gain public approval ahead of crucial November elections to the United States Congress.

The party has been pushing a "Make it in America" agenda aimed at generating manufacturing jobs in the US.