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The WTO’s dispute settlement body issued a panel report on Tuesday largely in favour of the EU, which had filed a legal challenge to the body on China’s anti-dumping duties on X-ray security equipment in July 2011.
The WTO has said in its second ruling that China’s anti-dumping measures against the EU violate global trade law – China has 60 days to appeal the ruling.
China started to impose anti-dumping duties on the EU-produced X-ray security inspection equipment for five years on January 2011, at rates ranging from 33.5 per cent to 71.8 per cent.
China accused EU companies of selling equipment in chinese markets below cost.
Karel De Gucht, EU trade commissioner has said in a statement: “I will not accept tit-for-tat retaliation against European companies through the misuse of trade-defense instruments,” and that he expects China to remove the measures immediately.
The Chinese ministry expressed support for the part of the WTO ruling that backs China’s requests.