EU wins a WTO dispute on Chinese anti-dumping duties
The EU and the WTO Brussels, 13 February 2015
A WTO panel today declared Chinese anti-dumping duties on European and Japanese imports of stainless steel tubes in breach of WTO rules.
In its report today, a WTO panel in charge of the dispute opposing the EU, Japan and China declared the Chinese anti-dumping duties on stainless steel tubes - imposed by China in 2012 - illegal in the light of the Organisation's rules.
"In international trade we all need to play by the rules. I am glad that the WTO panel confirms this today asking China to bring its customs duties in line with the WTO obligations," said EU Trade Commissioner Cecilia Malmström. "I hope to see China reacting to this ruling immediately and restoring fair trading conditions for EU producers."
The WTO panel found that the Chinese measures did not fully respect the prescribed WTO methods to calculate dumping margins. Margins calculated for one of the EU's exporting producers were found not to be correct. China failed also to justify its finding that the tubes imported from the EU had caused injury to China's domestic industry. Finally, the panel concluded that the Chinese antidumping procedure came short of the WTO requirements in terms of due process and transparency.
The panel's findings are also of systemic importance because they highlight recurrent shortcomings in trade defence investigations carried out in China. This is the second time that the EU has successfully challenged China in the WTO on anti-dumping duties. Following the previous ruling, China repealed its anti-dumping measures on x-ray scanners. Today's report marks again a clear victory for the EU and sends a strong signal to all WTO Members that their trade defence instruments must respect WTO rules.
China will be expected to remove its anti-dumping duties on EU imports. The Chinese authorities can decide to appeal the ruling within the coming 60 days.
Background
The case concerns certain high-performance seamless tubes of stainless steel produced in the EU and Japan. China imposed definitive anti-dumping duties on those products in November 2012. The Chinese decision followed an EU investigation on similar products imported from China in June 2011. The WTO proceedings started in the end of 2012 initially between Japan and China. The EU joined the procedure in mid-2013.
For further information
EU requests WTO Panel on Chinese Anti-Dumping duties on Steel Tubes, 16 August 2013
EU Joins Japan in WTO Challenge against Chinese Anti-dumping Duties on Steel Tubes, 13 June 2013
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