WTO hands Russia partial victory against EU anti-dumping measures

GENEVA (AFP) – A World Trade Organization (WTO) panel on Friday partially found in favour of Moscow in a case it brought against the European Union (EU) over anti-dumping duties imposed on imports from Russia.

In its nearly 200-page report, the panel found that the “cost adjustment methodology” that Brussels uses to calculate dumping margins was inconsistent with international trade rules, and urged the bloc to bring its practices in line.

However, it rejected Russia’s claim that the EU’s framework anti-dumping regulation itself was inconsistent with the Anti-Dumping Agreement (ADA). This marks the third WTO ruling faulting the EU over its anti-dumping measures.

Dumping means that an exporting country sells a product or service into the importing country at prices below what it charges at home. The use of anti-dumping duties are permitted under international trade rules as long as they adhere to strict conditions, and disputes over their use are often brought before the WTO’s Dispute Settlement Body.

The WTO panel’s ruling related to a case first brought by Russia in May 2015, when Moscow requested consultations with Brussels over the calculation methodology.

When the two sides failed to reach an agreement, Moscow in November 2016 asked the WTO to set up the expert panel to settle the issue.

Both sides are free to appeal the decision. However, the WTO’s appeals panel has been paralysed since last December, after the United States (US) blocked the appointment of new judges, leaving it without the quorum needed to hear cases.