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MOFCOM Comments on WTO Appellate Body Report on US’s Complaint against China’s Anti-dumping and Anti-subsidy Measures on GOES Imports

On October 18, WTO Appellate Body released the report concerning US’s Complaint against China’s anti-dumping and anti-subsidy measures on GOES imports from the US.

The Head of the Department of Treaty and Law of MOFCOM stated that, China noticed though the Appellate Body did not reverse the main conclusion of the Panel, it upheld China’s claims that the investigation body does not need to prove a causal link between price effects and the dumping and subsidy in price effects analysis, and pointed out that the related legal explanation and application of the Panel are not appropriate.

The Head pointed out that WTO members have different understandings of the related articles of the Anti-Dumping Agreement and the SCM Agreement concerned in this case. Therefore, the clarification of these articles by the Appellate Body will be helpful for the investigation bodies of all members to properly apply the anti-dumping and countervailing rules.

The Head also pointed out that in the Panel proceedings, the WTO panel supported China’s claim concerning using "facts available" to calculate the subsidy rate of the enterprises involved, and information disclosure of dumping margin of enterprises involved and subsidies interests relating to government procurement; and ruled that the practice of China’s trade remedy investigating authorities was in line with WTO rules. The US side did not appeal against this aspect.

The Head said that China will carefully evaluate the Appellate Body Report and the Panel Report, and will properly deal with the case according to WTO rules.