Beijing is entirely within its rights to influence, manipulate, rig or fix currency values, and it is unlikely that Washington can devise retaliatory measures that are not themselves violations of America's trade commitments, especially those spelled out in the rules of the World Trade Organization.

FORBES: China Is Susceptible To Currency Pressure

Under rules of the World Trade Organization, a country can apply anti-dumping import tariffs when it can prove that imported goods were sold at below-market prices and caused damage to domestic industry.

FORBES: Chinese company uses L. A. port to avoid Brazilian anti-dumping tariffs

An aide from the Senate Finance Committee says that the bill does not discriminate between U.S. and foreign producers, adding that the cigar tax increase is compliant with the rules of the World Trade Organization.

FORBES: Up In Smoke

There are specific rules in place under World Trade Organization rules that are there specifically to offset the impact of subsidies.

FORBES: Further Implications Of The U.S. Ethanol Tariff

It would also undermine the World Trade Organization's rules and its powers for enforcing them, depriving Washington of its strongest lever of influence over Beijing's economic policies.

FORBES: Magazine Article