China successively made a request for consultations under the WTO's dispute-settlement mechanism, and officially launched WTO's dispute-settlement procedures over the US and EU’s practices of anti-dumping “Surrogate Country” against China on December 12, 2016.
Spokesman of the Ministry of Commerce commented on the issue and said that Article 15 of Protocol on the Accession of the People’s Republic of China allows other members of WTO to employ the practice of “Surrogate Country” in their anti-dumping investigations against Chinese export products, but it clearly requires that the provision shall expire 15 years after China’s accession into WTO, namely, it expired on December 11, 2016. With the advent of the expiration date after 15 years, other WTO members shall immediately stop adopting the practice of “Surrogate
Country” in their anti-dumping investigations against Chinese export products in accordance with Article 5 of Protocol on the Accession of the People’s Republic of China. This is an international obligation that has to be fulfilled by all members of WTO.
China has seriously communicated with relevant members of WTO on multilateral occasions, and urges them to favorably fulfill their obligations to end the practice of anti-dumping “Surrogate Country” according to the schedule. Unfortunately, however, the US and the EU have not performed their obligations so far. Both America and the European Union are the WTO members that have adopted the most anti-dumping measures against China. The practice of “Surrogate Country” used by the investigatory apparatus results in that the anti-dumping duty rates of Chinese enterprises have been artificially raised, which strongly influences exports and employment of the relevant Chicness businesses.
The WTO litigant procedure is a common practice used by WTO members to solve trade disputes on the basis of rules. China files WTO litigant procedure to safeguard its own lawful rights and interests and the seriousness of international trade rules. It is fair, reasonable, and lawful. According to Article 15 of Protocol on the Accession of the People’s Republic of China , China again urges those WTO members who have not terminated the practice of anti-dumping “Surrogate Country” against it to perform their obligations as soon as possible. Meanwhile, China reserves its rights under the rules of WTO, and firmly safeguards its own legal rights and interests.