Brussels, 06/06/2014 (Agence Europe) - The 11th annual report of the Commission on the trade defence measures taken by third countries, which was published on 4 June, points to a “significant increase” in 2013 of action taken on third-country markets against EU exports.
There was a total of 152 trade defence measures in force in third countries against EU exports, an increase of 14 measures compared to 2012. This number followed a downward trend between 2002 and 2009, but since then it has been constantly rising and is now back at its 2005 level. The increase in the total number of measures in place in 2013 is the result of the expiry of 13 measures and the adoption of 27 new ones, two thirds of which are anti-dumping measures, and the remaining third safeguard measures.
With 21 measures in place, India remained the most prolific user of trade defence measures against the EU or its member states, followed closely by China, with 19 measures. The increase in the number of Chinese measures is “remarkable”, the report notes: in 2008, China imposed just nine measures against European exports. The traditional leader of this category, the United States, has now fallen to third place, with 17 measures in force. Turkey and Indonesia follow.
The number of new measures imposed against European exports has increased, rising from 20 in 2010 to 27 in 2013. China adopted more new measures than any other country. Other third countries imposed at least two new measures: Brazil, Colombia, the Eurasian Customs Union (Belarus, Kazakhstan and Russia), India, South Africa and Turkey. “Due to the high volume of trade flows with these two partners, the new measures imposed by China and the Eurasian Customs Union could have the most negative impact on EU exports”, the Commission warns.
Lastly, 43 new anti-dumping, anti-subsidy or safeguard investigations were initiated in 2013 against European products, up from 37 in 2012, a “significant increase”, the report stresses. With four new anti-dumping investigations and three new safeguard investigations opened against European products, India was the most active country last year, followed by China, Colombia (four safeguard investigations opened), Australia, Brazil, Canada and South Africa.
The report also stresses the main actions taken by the Commission in 2013 to prevent European exporters from having to bear new measures or to mitigate the negative effects of the measures in place. Among these, the report stresses the annulment of two measures - one Chinese anti-dumping measure on x-ray scanners and one anti-subsidy measure in Peru - after the dispute settlement body of the WTO ruled against these. The Commission also refers to the end of a safeguard investigation carried out by the Customs Union against European exports of woven fabrics which did not lead to the adoption of measures, and the limited use by Ukraine of its trade defence instruments against European products, with Kiev having launched many safeguard investigations between 2009 and 2011. The report also refers to the suspension of safeguard measures in South Africa, and the limited negative impact of measures adopted by Morocco and Turkey.
Lastly, the Commission expresses alarm at the increasing abusive use by third countries of their trade defence arsenal. The European Executive refers in particular to tit-for-tat investigations opened by China, and the high number of safeguard investigations begun on very little foundation. Even when these were not followed by measures, the new investigations opened have a negative impact on normal trade flows, the report stresses. “Despite the Commission's interventions at various levels, a few basic WTO rules are still not being applied strictly enough. The result is that access to the market is unduly restricted for European exporters”, the European Executive states. (EH)