Brussels, 30/10/2011 (Agence Europe) - On 28 October, the European Commission announced the launch of a revision of the trade defence instruments of the EU, an exercise last carried out in 1995. With proposals expected in 2012, EU Trade Commissioner Karel De Gucht will be seeking to succeed on dangerous ground, where his predecessor, Peter Mandelson, failed in 2008.
“Open trade based on a global system of rules, fair competition and a level playing field for all businesses are the very foundation of the EU trade policy. Our trade defence system is vital to ensure that it is maintained in the face of unfair practices. But we need to make sure our mechanism remains cutting-edge and effective in the face of challenges from an increasingly globalised economic environment”, De Gucht explained in a press release. “That's why I want to encourage everyone with an interest to be involved in this debate. I'm launching this review to examine in a transparent, balanced and constructive way how we should modernise our trade defence mechanism”, the commissioner added. European producers, importers and exporters, professional organisations, the European Parliament and the governments of the member states are invited to make their contribution to the debate as part of a consultation to be carried out until January 2012 by DG Trade of the Commission, which will be complemented by an assessment carried out by independent experts. The European executive intends to present its proposed reform in autumn 2012.
In line with WTO rules, the EU's trade defence arsenal is made up of three instruments to respond to a sudden flood of imports due to unfair practices by third countries: anti-dumping measures, anti-subsidy measures and safeguard measures.
In view of the volume of its external trade, the EU has made moderate use of its defence instruments in comparison to its commercial partners, the Commission points out. At the end of 2010, the EU had 124 antidumping and 11 anti-subsidy measures in place, compared to 250 antidumping measures and 48 anti-subsidy measures in force in the United States, 118 antidumping and 2 anti-subsidy measures in force in China, 121 antidumping and one anti-subsidy measure in place in Turkey, and 208 antidumping measures in place in India. Last year, the EU initiated 15 antidumping investigations and three anti-subsidy investigations. In 2011, 11 antidumping and three anti-subsidy investigations are underway in the EU. In 2010, its trade defence measures affected just 0.5% of its imports. (EH/transl.fl)