China wins appeal against EU at WTO

China has won an appeal against the European Union in a dispute at the World Trade Organization (WTO) over EU tariffs imposed on imported Chinese screws, nuts and bolts made of iron or steel, according to a report released by the WTO’s Appellate Body.

The dispute began in January 2009 when the EU decided to charge an 85 percent anti-dumping duty on certain fastener products from China. China appealed to the WTO in July the same year.

“This is China’s first implemented case that has passed through the WTO’s entire dispute system. Therefore, it carries great historical significance,” said Chen Fuli, deputy director of the Treaty and Law Department at China’s Ministry of Commerce.

As China is the largest manufacturer of the products covered by the tariff and the EU was its main export market, the tariffs had a huge impact.

“We used to have nearly 1 billion U.S. dollars of exports that involved more than 1,000 businesses and over 100,000 employees domestically. Since the EU published the results of its anti-dumping investigation in 2009 and imposed an 85 percent anti-dumping duty, China’s market share has fallen from 26 percent to its current 0.5 percent,” said Chen.

China’s Ministry of Commerce said China urges the EU to abide by the WTO’s ruling and revoke the anti-dumping duties levied against China’s fastener products.