Briefing 
 

MEPs to reiterate need to protect EU industry against dumped imports from China 

Unless China meets the EU’s five criteria to qualify as a market economy, the EU should continue imposing anti-dumping and anti-subsidy duties on dumped imports from it after December 2016, MEPs say in a draft resolution to be voted on Thursday. But they also note that the EU must abide by World Trade organization (WTO) rules and recognize China as a "strategic trade partner".

The EU Commission has just concluded a public consultation on the possible impact of granting China "market economy" status – the results are being processed and are to be published in June.


Parliament’s resolution is to serve as input for the next EU Trade Council meeting on 13 May.

Background: how to deal with dumped imports from China after December 2016?

 

When China joined the WTO in 2001, WTO members recognized that it had not yet completed the transition to a market economy. China agreed that other WTO members could apply “non-market economy” measures to its exports. In practice, this often meant higher anti-dumping duties.

 

China argues that its 2001 WTO accession protocol stipulates that its recognition as a market economy by other WTO members after 11 December 2016 should be automatic.

 

However, China currently meets only one of the EU’s five technical criteria for defining a “market economy”. China is targeted in about 80% of EU antidumping and anti-subsidy investigations and there is widespread concern in the industry, given China’s overcapacity.

 

MEPs have called in the past for a "WTO-proof" plan and mitigating measures to protect EU firms against dumped Chinese imports, stressing the potential damage for EU jobs and industry. However, they have also stressed the threat of trade war with China, which could impose retaliation measures against EU businesses operating on its territory.

 

 

Procedure: Council and Commission statements followed by debate (with resolution)

Debate: Tuesday, 10 May

Vote: Thursday, 12 May


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