EU anti-dumping investigations: method of adjustments

Abstract

Anti-Dumping Agreement contains general provisions binding on WTO members. In particular, the cost of production in the country of origin and/or the exporter’s costs shall be taken into account when determining the normal value of the goods under investigation. Some countries use the so-called cost-adjustment methodologies and thus replace the cost of production in the country of origin by some others. The article describes the EU’s cost-adjustment methodologies and its compliance with the Anti-Dumping Agreement. More specifically, it considers the calculation of the normal value of goods in the framework of the so-called particular market situation occurred due to the governmental market intervention. This paper is aimed at analyzing the EU’s decisions on the basis of the practice of the WTO Dispute Settlement Body (including the recent decision on the biodiesel case between Argentina and the EU). First, the paper focuses on the so-called measures as such, namely the provisions of the EU Council Regulation on protection against dumped products and the judicial and administrative structure of the EU. Second, the article addresses the measures as applied in accordance with the requirements of anti-dumping measures. Finally, some conclusions are made regarding the possible challenge of such practices on the basis of the analyzed WTO practice, paying attention to its possible impact on the anti-dumping disputes between Russia and some WTO members.