China seeks WTO probe panel
By Wang Yanlin |
April 10, 2010, Saturday
|
Print Edition
Print Edition
CHINA has requested the World Trade Organization to set up an investigative panel to resolve the country's dispute with the European Union over anti-dumping duties imposed on Chinese shoes after negotiations failed.
According to a statement on the Website of the Ministry of Commerce, China sent a letter on Thursday to the chairman of the WTO Dispute Settlement Body demanding the setup of a panel to examine the dispute. The settlement body makes decisions on trade disputes between governments that are adjudicated by the WTO.
"Some EU anti-dumping regulations are discriminatory toward Chinese products. Also, the investigation and ruling process on shoes are not transparent and not fair," the ministry said in the statement. "The imposition of duties violates the relevant WTO rules, and hurts legitimate interests of Chinese companies."
The row started in December when the EU decided to extend tariffs of up to 16.5 percent on Chinese and Vietnamese leather shoes for 15 months to protect European producers. Such punitive tariffs were first introduced in October 2006.
China responded by launching an unfair trade case against the EU in February, saying the duties imposed by the 27-nation bloc were illegal.
After several rounds of consultation and negotiations, most recently on March 31, the EU failed to address China's concerns, the statement said. China requested the panel be formed to defend the interests of Chinese companies.
"China hopes the EU can attach importance to Chinese concerns, settle the disputes with sincerity and restore free shoe trade as early as possible," ministry officials said.
If the WTO rules against the EU, it can authorize China to target European goods with higher tariffs or other penalties in retaliation, though cases generally take years to reach that point.
European importers and retailers had also called for the tariffs to end.
According to a statement on the Website of the Ministry of Commerce, China sent a letter on Thursday to the chairman of the WTO Dispute Settlement Body demanding the setup of a panel to examine the dispute. The settlement body makes decisions on trade disputes between governments that are adjudicated by the WTO.
"Some EU anti-dumping regulations are discriminatory toward Chinese products. Also, the investigation and ruling process on shoes are not transparent and not fair," the ministry said in the statement. "The imposition of duties violates the relevant WTO rules, and hurts legitimate interests of Chinese companies."
The row started in December when the EU decided to extend tariffs of up to 16.5 percent on Chinese and Vietnamese leather shoes for 15 months to protect European producers. Such punitive tariffs were first introduced in October 2006.
China responded by launching an unfair trade case against the EU in February, saying the duties imposed by the 27-nation bloc were illegal.
After several rounds of consultation and negotiations, most recently on March 31, the EU failed to address China's concerns, the statement said. China requested the panel be formed to defend the interests of Chinese companies.
"China hopes the EU can attach importance to Chinese concerns, settle the disputes with sincerity and restore free shoe trade as early as possible," ministry officials said.
If the WTO rules against the EU, it can authorize China to target European goods with higher tariffs or other penalties in retaliation, though cases generally take years to reach that point.
European importers and retailers had also called for the tariffs to end.
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