EU not to pursue anti-dumping against Chinese companies

The European Commission has revised its decision in principle of 15 May 2013 to open an ex officio anti-dumping and an anti-subsidy investigation concerning imports of mobile telecommunications networks and their essential elements from China.

The anti-dumping investigation will not be pursued. Further analysis has shown that the essence of the problems posed by Chinese competition on the EU (European Union) market lies in the subsidisation of the mobile telecommunications networks.

The solution was facilitated by the Commission’s decision to adopt a two-step approach, deferring the actual investigations to provide space for dialogue.

Karel De Gucht, trade commissioner, EU said, “Today’s decision not to pursue the anti-dumping part of this possible trade defence action is a significant step towards addressing the mobile telecommunications case in its entirety. I am pleased that EU and China have recently been able to resolve a number of trade frictions, not least the polysilicon case and the wine case where China terminated their investigation without imposition of any duty.”

The decision in principle concerning the anti-subsidy investigation still stands, although it will not be activated for the time being to allow the continuation of the negotiations with the Chinese authorities towards an amicable solution addressing the EU concerns with respect to subsidization.

EU Trade Commissioner Karel De Gucht will revert to the College of Commissioners in due course.

According to EU, China exports telecommunication network equipment to the EU market approximately just over 1 billion euros per year.

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