Updates to the way the EU calculates anti-dumping duties have been approved by MEPs today in the European Parliament. ECR Group Flemish MEP Sander Loones has welcomed the new rules which will help provide certainty to European industry and protect them from unfair trading practices that distort prices and competition.

Updates to the way the EU calculates anti-dumping duties have been approved by MEPs today in the European Parliament. ECR Group Flemish MEP Sander Loones has welcomed the new rules which will help provide certainty to European industry and protect them from unfair trading practices that distort prices and competition.

The proposal from the European Commission was triggered after China challenged the EU over its trade defence instruments at the WTO, claiming they had reached Market Economy Status in December 2016. In global trade, price distortions can occur when prices or costs reported, such as for raw materials or energy, are not the result of free market forces and are affected by government intervention. From now on, when anomalies are detected the commission will determine a calculation for dumping based on undistorted costs in a representative country or by international standards. The burden of proof would then fall on the exporter to demonstrate they are not affected by the unfair price distortions.

Speaking after the vote, Loones said:

“We value an international trade regime that is based on clear WTO rules which must be fulfilled. The new rules will provide our industry with stronger protection against unfair trading practices whilst fully respecting our WTO obligations. From now on when products such as steel are dumped on the European market our industry and workers will be benefit from the same level of protection.

“Trade means more jobs and greater prosperity. But public support for free trade can only be guaranteed if that trade is fair and on equal terms. Businesses in Europe should benefit from greater legal certainty and clarity, without imposing additional burdens on them. Finally, we have ensured that SMEs are specifically helped as part of the new procedures.”