Review of members' legislation

The European Union introduced at the meeting Regulation (EU) 2018/825, which entered into force on 8 June 2018. The EU said the regulation puts in place new rules for EU authorities to calculate the "injury margin" or the rate of the anti-dumping duty necessary to compensate for the harm experienced by a local industry because of dumped imports.

The regulation provides for a minimum 6% "target profit" for EU industry in the calculation of the injury margin. It further adds an environmental and social dimension to the calculations, such that EU authorities may consider, when establishing the target profit, the cost an EU industry has had to bear to comply with environmental and labour protocols. The regulation also clarifies what export restrictions implemented in the goods' origin can be taken into consideration when deciding if a duty lower than the calculated dumping margin should be applied. Furthermore, it contains a number of changes to align with rulings of the WTO Dispute Settlement Body. This is in addition to notice periods added into the process to inform affected traders of provisional measures in advance of their implementation to give time to flag and correct errors.

In the discussion, queries included how the EU would establish the 6% minimum profit margin, and which export restrictions would be considered under the new regulation. One member criticized the new methodology's considerations of market distortions affecting raw materials, and of export restrictions as discriminatory. The EU indicated that the minimum profit margin was based on statistical studies and that application of other elements was based on evidence, and was non-discriminatory.

The Committee also returned to the discussion it had begun in April of the EU's earlier amendments to its basic regulation on anti-dumping, adopted in December 2017. While some members expressed concerns over specific aspects of the changes, the EU considered that the Committee was not the appropriate forum for a deep legal discussion.

Review of members' semi-annual reports of anti-dumping actions

The Committee reviewed the semi-annual reports of anti-dumping actions taken by members, and questions were asked regarding certain actions of Armenia, Brazil, China, Colombia, the EU, India, Indonesia, Israel, Mexico, Peru and the United States. The actions involved a range of products in a variety of sectors, including metals (steel, silico-manganese, fabricated metal products), food and chemicals.

A number of issues were raised in the discussion, including concerns over the operation of measures applied on behalf of customs unions, injury analysis and determinations, disclosure of essential facts, like product determinations, dumping calculation methodologies, domestic judicial review, treatment of confidential information, sunset reviews, reliance on facts available (where WTO litigation currently is ongoing) and findings of "particular market situations". Some members raising concerns indicated that they were considering recourse to dispute settlement.

Preliminary and final anti-dumping actions: notifications

The Committee also reviewed members' ad hoc notifications of preliminary and final anti-dumping actions taken. Queries were raised in respect of actions notified by Canada, Mexico, Brazil and Peru, which involved steel products, chemicals, food products and biodiesel. 

Next meeting

The next Committee meeting will be scheduled in late April 2019.