GENEVA — China on Tuesday asked the World Trade Organization to create an expert panel to examine the so-called “surrogate country” approach used by the European Union to calculate anti-dumping measures applied to Chinese exports. When China joined the WTO in 2001, it was written into the terms of the deal that member states could treat it as a non-market economy for 15 years.
The deadline passed late last year, but the EU has nevertheless opted to preserve tough rules that protect it from cheap Chinese products flooding its markets. China on Tuesday asked the WTO to establish a panel to rule on its demand that the EU stop using a “surrogate country” system — judging the price of Chinese goods against a third country’s — to determine whether China is selling its products below market prices. “China is disappointed that it needs to seek action by the DSB (the WTO’s Dispute Settlement Body) in order for the European Union to remedy the obvious and egregious WTO-inconsistency of its measures,” China’s representative to the global trade body said Tuesday. Beijing has said previously that the refusal to grant China market economy status is an example of “covert protectionism” and “double standard” by the West.