Brussels – The European Chemical Industry Council (Cefic) has welcomed an agreement reached 3 Oct by EU institutions on a new anti-dumping methodology during Trilogue* discussions.
The move is part of a wider revamp of the current EU anti-dumping regulation intended to better comply with World Trade Organisation (WTO) rules, explained a Cefic statement.
In 2016, China challenged that EU regulation did not conform with existing international procedures when it came to calculating anti-dumping duties.
The new methodology addresses how to calculate dumping margins for significant market distortions by third countries, according to Cefic. Prices for raw materials, such as feedstock, are often manipulated and impact European competitiveness of chemicals companies in the region, it added.
“We are an export-oriented industry and therefore rely on free and fair trade, based on internationally agreed trade rules. This new methodology will challenge unfair practices and help create a level playing field for European industries,” commented Marco Mensink, the industry body’s director general.
Cefic went on to note: “‘Trilogue’ discussions are currently debating the Modernisation Trade Defense Instruments (MTDI), another essential element of the EU anti-dumping regulation.”
While the new methodology is about complying with WTO rules, MTDI is about modernizing the EU Trade Defense Instruments (MTDI’s).
“Both are essential elements for strengthening fair trade practices and therefore, it is important that an agreement is equally found on the MTDI,” Cefic concluded.
*Trilogues are a set of informal negotiations between the European Parliament, the Council of the European Union and the European Commission to hep reach early agreements on legislation.