Reference no: EM131924708

Chang Chair & Table Company (Chang) is a Chinese manufacturer of high quality dining room tables and chairs. Its biggest potential market is the United States. Last year the U.S. reduced its tariffs on home furniture imported from Sweden because Sweden had also reduced its tariffs on American-made furniture products.

Chang sought to benefit from the new arrangement between Sweden and the U.S., but were denied a tariff reduction on the basis that its products directly competed with many U.S.-made furniture products.

Chang nevertheless paid the higher tariffs, and its products entered the U.S. market. A little known provision of the West Virginia consumer protection law requires all chairs sold in the state to have a double-gusset seat frame. When Chang attempted to sell their chairs through a West Virginia retailer the products were seized and impounded by state officials because they didn’t have a double-gusset seat frame, and were thus a threat to the health and safety of the good people of West Virginia.

You represent Chang because you are a world-famous expert on the World Trade Organization.

- What is wrong here, and what are the two main grounds upon which Chang might seek relief?