In a letter to Commissioner Malmström, the head of the European Parliament’s trade committee expressed concerns the EU was running late in tabling legislative proposals to ensure it in compliance with its WTO obligations ahead of a December 2016 deadline to grant China market economy treatment in its antidumping legislation.
The Commission is engaging in a complex legislative and political game to try to reach consensus over its intended move to remove China from its non market economy list in its trade defence legislation.
Since the move is controversial with swathes of industry and key member states, the Commission is planning to amend its antidumping legislation to be able to continue to respond with trade barriers in the face of situations like the current steel overcapacity crisis that leads to accusations that China is dumping its metals on EU markets. But consensus among member states on the concrete measures – such as removing a so-called lesser duty rule – remains elusive.
The Commission is also reportedly waiting for the outcome of a constitutional referendum in Italy, where granting China market economy treatment is particularly controversial. That referendum is expected to be held on November.
INTA’s Bernd Lange worries that “we have reached a point at where it is likely that the colegislators will not anymore have sufficient time available for concluding a legislative procedure” ahead of December this year. “I would urge the Commission to come forward with its proposal as soon as possible”, Lange pleaded.
