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WTO Condemns The EU'S Antidumping Against Chinese Shoes

2010/8/12 17:36:00 46

Anti-Dumping Trade Economy

On August 12th, according to the financial times, the European Union has imposed an additional tariff on imported goods deemed unfair by the European Union (WTO).

WTO

Condemnation.

From footwear to glazed tiles, the attitude of WTO has a potential impact on many products.


This is a remarkable victory for China - a panel of WTO ruled in a preliminary report.

European Union

With the so-called "anti dumping" measures, levying tariffs across countries on imported products violates the rules of Global trade.


The case is another example of a trend in international trade diplomacy, that is, the WTO member governments seek to circumvent anti-dumping measures and other emergency import barriers adopted by their trading partners by lodge complaints in WTO.


The case involves screws and bolts imported from China, which face 85% additional tariffs when entering the European Union, on the ground that Brussels believes they are in Europe below market prices.

dumping

"


but

World Trade Organization

Organizing the global trade supervision organization ruled that additional tariffs should not be applied to all Chinese exporters in one size fits all. Even in trade, Europe regards China as a "non market economy".


The WTO panel's position is not to reject anti-dumping duties on bolts or any other product categories.

But it seeks to ensure that such tariffs are specific to specific companies, not to all potential exporters.


"This will represent a comprehensive change in the way we use now, that is to say that all exporters are regarded as a whole, with few exceptions," said Edwin Vermost, a trade lawyer in Brussels.

"This is a matter of principle for China."


The report means that since China joined the WTO 8 years ago, China's first complaint against the European Union is expected to succeed.


"The amount involved in this case is not huge, but it will have a shock wave on other anti-dumping cases," a person who listened to the report said.


This preliminary ruling, if expected, will be confirmed and appealed next month, which will force the EU to reconsider its anti-dumping duties against other non market economies (such as Vietnam and Albania).


At present, the EU has imposed additional tariffs on bicycles, textiles and footwear in China. There are also rumors in the trade law circle that the EU is considering new tariffs on certain high-tech products.


In recent years, governments have been more willing to challenge WTO anti-dumping laws.

There are many appeals seeking to stop the United States from adopting the controversial "zeroing" method, which is to exclude data that is unfavorable to them when calculating anti-dumping duties.

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