Barack Obama to file trade complaint against China

<p>Barack Obama is to file a World Trade Organization complaint about China.</p>

President Barack Obama is due to file a complaint against China, accusing the Asian superpower of illegally subsidising exports of cars and vehicle parts.

A White House spokesperson said the actions taken by the world's second-largest economy have forced American carmakers to shift their production operations overseas.

"The key principal at stake is that China must play by the rules of the global trading system," the official explained.

Mr Obama's actions are politically-motivated as the leader – who is currently campaigning to be re-elected as president of the US this November – is expected to announce the World Trade Organization action against the nation when he visits vehicle-making state Ohio.

After the president's plans were revealed, China sought to organise formal talks with the US over extra taxes imposed on Chinese tyre imports.

At 14:30 BST, the dollar was 0.15 per cent higher in forex trading versus the Chinese yuan renminbi, with $1 buying 10.264 yuan.

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