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Low Environmental Standards and the ADA Rules

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Greening Trade Remedies

Part of the book series: European Yearbook of International Economic Law ((EYIELMONO,volume 31))

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Abstract

Differences in level of environmental protection between trade partners has led to charges of ‘eco-dumping’. The ADA rules, however, are not intended to provide a remedy against environmental dumping practices. This chapter analyses whether environmental standards—and resulting costs of production—may be considered in the calculation of the dumping margin and particularly focusses on environmental costs in the normal value calculation and environmentally motivated adjustments to the dumping margin. This discussion is closely related to the treatment of government-distorted costs and prices in anti-dumping investigations. This chapter concludes that there are significant jurisprudential hurdles, some of which can be overcome by means of legislative amendments or innovative treaty-drafting.

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Notes

  1. 1.

    See Sands and Peel (2018), p. 899. See also Charnovitz (1993), pp. 31–32; Esty (1994), p. 163, fn. 13; Rauscher (1994), pp. 823–825; Lothe (2001); Pauwelyn (2013), pp. 465 ff.

  2. 2.

    See Sect. 3.2.2.1 above.

  3. 3.

    Rauscher (1994), pp. 823–825.

  4. 4.

    See Chap. 5 above.

  5. 5.

    Art. VI:1 GATT and Art. 2.1 ADA.

  6. 6.

    Choi and Lee (2017).

  7. 7.

    Patterson (1992), p. 104.

  8. 8.

    Shadikhodjaev (2019), pp. 104–106.

  9. 9.

    Stewart and Mueller (2008), Art. 2 ADA, para. 43.

  10. 10.

    Pauwelyn (2013), pp. 466 ff.

  11. 11.

    Ibid.

  12. 12.

    Art. 2.1 ADA (emphasis added).

  13. 13.

    De Baere et al. (2021), para. 135.

  14. 14.

    Ibid.

  15. 15.

    Art. 2.2 ADA (footnote omitted, emphasis added).

  16. 16.

    Stewart and Mueller (2008), Art. 2 ADA, para. 53. See, more recently, Panel report, United States – Anti-Dumping Measures on Certain Oil Country Tubular Goods from Korea, WT/DS488/R, adopted 12 January 2018, para. 7.18.

  17. 17.

    Vermulst (2005), p. 33. The EU, for instance, has not relied on export prices to a third country in the last 20 years to determine the normal value with reference to the fact that these prices might also be made at dumping prices. See Van Bael & Bellis (2019), pp. 88–89. The US, on the other hand, has used export prices to other countries on a regular basis.

  18. 18.

    In relation to the CNV method, see explicitly, Panel report, Thailand – Anti-Dumping Duties on Angles, Shapes and Sections of Iron or Non-Alloy Steel and H Beams from Poland, WT/DS122/R, adopted 5 April 2001, para. 7.127.

  19. 19.

    Pauwelyn (2013), p. 467.

  20. 20.

    Art. 2.2 ADA, second ground.

  21. 21.

    De Baere et al. (2021), para. 143.

  22. 22.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.27.

  23. 23.

    Lesmana and Koesnaidi (2019), pp. 415–416.

  24. 24.

    Appellate Body report, United States – Continued Dumping and Subsidy Offset Act of 2000, WT/DS217/AB/R, adopted 27 January 2003, para. 262.

  25. 25.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.50.

  26. 26.

    See GATT Panel report, European Economic Community – Imposition of Anti-Dumping Duties on Imports of Cotton Yarn from Brazil, BISD 42S/17, adopted 30 October 1995.

  27. 27.

    Yun (2017), p. 238.

  28. 28.

    Kim and Bohanes (2020), p. 481; De Baere et al. (2021), para. 145–148.

  29. 29.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.21.

  30. 30.

    Ibid, para. 7.37.

  31. 31.

    Panel report, European Union – Cost Adjustment Methodologies and Certain Anti-Dumping Measures on Imports from Russia – (Second complaint), WT/DS494/R, circulated 24 July 2020, para. 7.186.

  32. 32.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.28–7.29.

  33. 33.

    See Sect. 5.3.1 above.

  34. 34.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.21.

  35. 35.

    Ibid, para. 7.22.

  36. 36.

    Ibid.

  37. 37.

    Müller-Ibold (2020), p. 250.

  38. 38.

    This is a distinct legal obligation than the fair comparison requirement under Art. 2.4 ADA. See Sect. 6.4.2.1.2 below.

  39. 39.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.74.

  40. 40.

    Ibid, para. 7.75–7.76.

  41. 41.

    Zhou and Peng (2021), p. 99.

  42. 42.

    By contrast, the Panel noted earlier that a situation impacting domestic and export sales alike is not excluded from the scope of a particular market situation. See Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.37 and 7.39.

  43. 43.

    Zhou and Peng (2021), p. 99.

  44. 44.

    See Sect. 6.4 below.

  45. 45.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.80–7.81.

  46. 46.

    Zhou and Peng (2021), p. 99.

  47. 47.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.88.

  48. 48.

    Stewart and Mueller (2008), Art. 2 ADA, para. 47.

  49. 49.

    Art. 2.2.1 ADA.

  50. 50.

    The extended period of time should normally be one year but shall in no case be less than six months. See Art. 2.2.1 ADA, fn. 4.

  51. 51.

    Sales below per unit costs are made in substantial quantities when the authorities establish that the weighted average selling price of the transactions under consideration for the determination of the normal value is below the weighted average per unit costs, or that the volume of sales below per unit costs represents not less than 20 per cent of the volume sold in transactions under consideration for the determination of the normal value. See Art. 2.2.1 ADA, fn. 5.

  52. 52.

    Appellate Body report, United States – Anti-Dumping Measures on Certain Hot-Rolled Steel Products from Japan, WT/DS184/AB/R, adopted 23 August 2001, para. 147.

  53. 53.

    Zhou (2018), p. 628.

  54. 54.

    Appellate Body report, United States – Anti-Dumping Measures on Certain Hot-Rolled Steel Products from Japan, WT/DS184/AB/R, adopted 23 August 2001, para. 140.

  55. 55.

    Ibid, para. 141–143.

  56. 56.

    Zhou (2018), p. 628. See also Noël and Zhou (2016), pp. 563–565; Noël (2016), pp. 302–304.

  57. 57.

    Ibid.

  58. 58.

    See, for instance, Vermulst (2005), pp. 20 ff; Pogoretskyy (2011), p. 218 and fn. 158.

  59. 59.

    See also Sect. 6.5.2 below.

  60. 60.

    Art. 2.2.1.1, first sentence, ADA (emphasis added).

  61. 61.

    See, for instance, Pauwelyn (2013), p. 468.

  62. 62.

    See, for instance, Choi and Lee (2017), p. 48.

  63. 63.

    Panel report, Egypt – Definitive Anti-Dumping Measures on Steel Rebar from Turkey, WT/DS211/R, adopted 1 October 2002, para. 7.39. See also Panel report, European Communities – Anti-Dumping Measure on Farmed Salmon from Norway, WT/DS337/R, adopted 15 January 2008, para. 7.483; Panel report, China – Anti-Dumping and Countervailing Duty Measures on Broiler Products from the United States, WT/DS427/R, adopted 25 September 2013, para. 7.133.

  64. 64.

    Panel report, European Union – Anti-Dumping Measures on Biodiesel from Argentina, WT/DS473/R, adopted 26 October 2016, para. 7.242; see also Appellate Body report, European Union – Anti-Dumping Measures on Biodiesel from Argentina, WT/DS473/AB/R, adopted 26 October 2016, para. 6.56.

  65. 65.

    Appellate Body report, European Union – Anti-Dumping Measures on Biodiesel from Argentina, WT/DS473/AB/R, adopted 26 October 2016, para. 6.26.

  66. 66.

    Crowley and Hillman (2018), pp. 206–208. See also Zhou (2018), pp. 627–628.

  67. 67.

    Appellate Body report, Ukraine – Anti-Dumping Measures on Ammonium Nitrate, WT/DS493/AB/R, adopted 30 September 2019, para. 6.88.

  68. 68.

    Ibid, para. 6.97.

  69. 69.

    De Baere et al. (2021), para. 200–206.

  70. 70.

    Panel report, China – Anti-Dumping and Countervailing Duty Measures on Broiler Products from the United States – Recourse Under Article 21.5 of the DSU by the United States, WT/DS427/RW, adopted 28 February 2018, para. 7.29.

  71. 71.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 27 January 2020, para. 7.110 ff.

  72. 72.

    Ibid, para. 7.102.

  73. 73.

    Ibid, para. 7.102.

  74. 74.

    Ibid, para. 7.103–7.107.

  75. 75.

    See Eliason and Fiorini (2020).

  76. 76.

    Ibid, p. 5.

  77. 77.

    Appellate Body report, Ukraine – Anti-Dumping Measures on Ammonium Nitrate, WT/DS493/AB/R, adopted 30 September 2019, para. 6.87.

  78. 78.

    Ibid, para. 6.104–6.105.

  79. 79.

    Ibid, para. 6.122.

  80. 80.

    Panel report, European Union – Cost Adjustment Methodologies and Certain Anti-Dumping Measures on Imports from Russia — (Second complaint), WT/DS494/R, circulated 24 July 2020.

  81. 81.

    Ibid, para. 7.102.

  82. 82.

    Ibid, para. 7.105–7.106.

  83. 83.

    See Sect. 6.5.2 below.

  84. 84.

    See, for instance, Panel report, United States – Final Dumping Determination on Softwood Lumber from Canada, WT/DS264/R, adopted 31 August 2004, para. 7.311.

  85. 85.

    The Panel and Appellate Body, in Ukraine – Ammonium Nitrate, held that costs used in the OCT test under Art. 2.2.1 ADA must be considered consistent with Art. 2.2.1.1 ADA, since Art. 2.2.1 is covered by the reference to paragraph 2 in Art. 2.2.1.1 ADA. See Appellate Body report, Ukraine – Anti-Dumping Measures on Ammonium Nitrate, WT/DS493/AB/R, adopted 30 September 2019, para. 7.116.

  86. 86.

    Appellate Body report, European Union – Anti-Dumping Measures on Biodiesel from Argentina, WT/DS473/AB/R, adopted 26 October 2016, para. 6.69.

  87. 87.

    Ibid, para. 6.70–6.71; Panel Report, Ukraine – Anti-Dumping Measures on Ammonium Nitrate, WT/DS493/AB/R, adopted 30 September 2019, para. 7.99. See also Furculiță (2017), p. 364.

  88. 88.

    See Sect. 6.3.1 above.

  89. 89.

    Panel report, Ukraine – Anti-Dumping Measures on Ammonium Nitrate, WT/DS493/R, adopted 30 September 2019, para. 7.92, 7.99 and 7.103.

  90. 90.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 27 January 2020, para. 7.132.

  91. 91.

    Panel report, European Union – Cost Adjustment Methodologies and Certain Anti-Dumping Measures on Imports from Russia – (Second complaint), WT/DS494/R, circulated 24 July 2020, para. 7.122–7.123.

  92. 92.

    Ibid, para. 7.124 ff.

  93. 93.

    Tietje et al. (2011), p. 1089.

  94. 94.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.162.

  95. 95.

    Ibid, para. 7.164.

  96. 96.

    Zhou and Peng (2021), p. 100.

  97. 97.

    Appellate Body report, European Union – Anti-Dumping Measures on Biodiesel from Argentina, WT/DS473/AB/R, adopted 26 October 2016, para. 6.81.

  98. 98.

    Crowley and Hillman (2018), pp. 207–208.

  99. 99.

    Zhou and Peng (2021), p. 99.

  100. 100.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.110–7.115.

  101. 101.

    Ibid.

  102. 102.

    Horlick (2013), p. 69.

  103. 103.

    Stewart and Mueller (2008), Art. 2 ADA, para. 49.

  104. 104.

    Art. 2.2.1.1 ADA, fn. 6.

  105. 105.

    See 19 USC Section [f][1][iii].

  106. 106.

    Van Bael & Bellis (2019), p. 73.

  107. 107.

    Commission Decision No 1357/2001/ECSC of 4 July 2001 amending Decision No 283/2000/ECSC imposing a definitive anti-dumping duty on imports of certain flat-rolled products of iron or non-alloy steel, of a width of 600 mm or more, not clad, plated or coated, in coils, not further worked than hot-rolled, originating, inter alia, in India, OJ 2001 L 182/27, rec. 21; Commission Decision No 841/2002/ECSC of 21 May 2002 amending Decision No 283/2000/ECSC imposing a definitive anti-dumping duty on imports of certain flat rolled products of iron or non-alloy steel, of a width of 600 mm or more, not clad, plated or coated, in coils, not further worked than hot-rolled, originating, inter alia, in India and accepting an undertaking, OJ 2002 L 134/11, rec. 21.

  108. 108.

    Kampel (2017), pp. 27 and 36.

  109. 109.

    Art. 6.2 Aircraft Agreement (emphasis added).

  110. 110.

    Choi and Lee (2017), p. 43.

  111. 111.

    Panel report, United States – Final Dumping Determination on Softwood Lumber from Canada, WT/DS264/R, adopted 31 August 2004, para. 7.263.

  112. 112.

    See ECJ, Nakajima All Precision Co Ltd v Council, case C-69/89, judgment of 7 May 1991, ECLI:EU:C:1991:186, para. 64.

  113. 113.

    Tietje et al. (2011), p. 1093.

  114. 114.

    Zhou (2018), p. 629.

  115. 115.

    Panel report, Thailand – Anti-Dumping Duties on Angles, Shapes and Sections of Iron or Non-Alloy Steel and H Beams from Poland, WT/DS122/R, adopted 5 April 2001, para. 7.122–7.128. See also De Baere et al. (2021), para. 260.

  116. 116.

    Appellate Body report, European Union – Anti-Dumping Measures on Biodiesel from Argentina, WT/DS473/AB/R, adopted 6 October 201, para. 6.39 and fn. 172.

  117. 117.

    Zhou (2018), p. 629.

  118. 118.

    Art. 2.2 ADA, second alternative.

  119. 119.

    Pogoretskyy (2011), pp. 218–219.

  120. 120.

    Vermulst (2005), pp. 44–45.

  121. 121.

    Stewart and Mueller (2008), Art. 2 ADA, para. 123.

  122. 122.

    Ibid, para. 58.

  123. 123.

    Panel report, European Union — Cost Adjustment Methodologies and Certain Anti-Dumping Measures on Imports from Russia — (Second complaint), WT/DS494/R, circulated 24 July 2020, para. 7.188.

  124. 124.

    Pauwelyn (2013), p. 469.

  125. 125.

    Selivanova (2008), p. 30.

  126. 126.

    Polouektov (2002).

  127. 127.

    Palmeter (1998), p. 117; Stewart and Mueller (2008), Art. 2 ADA, para. 125.

  128. 128.

    See Sect. 6.3.3.3 below.

  129. 129.

    Pogoretskyy (2011), p. 220.

  130. 130.

    Ibid.

  131. 131.

    Report of the Working Party on the Accession of Viet Nam, WT/ACC/VNM/48, 27 October 2006, para. 255; Report of the Working Party on the Accession of Tajikistan, WT/ACC/TJK/30, 6 November 2012, para. 164.

  132. 132.

    See Sect. 3.2.4 above.

  133. 133.

    See Yamaoka (2013), pp. 123–125.

  134. 134.

    Sect. 15(a)(ii) CAP (emphasis added).

  135. 135.

    Appellate Body report, European Communities – Definitive Anti-Dumping Measures on Certain Iron or Steel Fasteners from China, WT/DS397/AB/R, adopted 28 July 2011, para. 287. See also Zhang (2011), pp. 876 ff.

  136. 136.

    Appellate Body report, European Communities – Definitive Anti-Dumping Measures on Certain Iron or Steel Fasteners from China, WT/DS397/AB/R, adopted 28 July 2011, para. 268.

  137. 137.

    See Sect. 6.3.2.2.1 above.

  138. 138.

    Zhou and Percival (2016), p. 877.

  139. 139.

    Vietnam and Tajikistan accepted the same commitments as embodied in Sect. 15(a) and (d) of China’s Accession Protocol upon accession to the WTO. See Report of the Working Party on the Accession of Viet Nam, 27 October 2006, WT/ACC/VNM/48, para. 255; Report of the Working Party on the Accession of Tajikistan, 6 November 2012, WT/ACC/TJK/30, para. 164.

  140. 140.

    See new Art. 2(6a) BADR.

  141. 141.

    See Nicely and Gatta (2016).

  142. 142.

    Zhou and Percival (2016), pp. 887 ff.

  143. 143.

    Tereposky & Derose (2019).

  144. 144.

    See Sect. 3.3.2 above.

  145. 145.

    See Reinhold and Van Vaerenbergh (2021).

  146. 146.

    See, for instance, Hoffmeister (2021), pp. 338 ff.; De Baere (2021), pp. 356 ff.; Van Bael & Bellis (2019), p. 27; Noël and Zhou (2016), pp. 418 ff.; Müller (2018), pp. 57 ff.; Vermulst and Sud (2018), pp. 63 ff.; Tietje and Sacher (2018), pp. 91 ff.; Ruessmann and Beck (2014); Geraets (2018), p. 492; Antonini (2018), pp. 89 ff.

  147. 147.

    Regulation (EU) 2017/2321, Recital 4.

  148. 148.

    In detail, see Reinhold and Van Vaerenbergh (2021).

  149. 149.

    Trapp (2021), pp. 198–199.

  150. 150.

    European Commission, Commission Working Staff Document on Significant Distortions in the Economy of the People’s Republic of China for the Purposes of Trade Defence Investigations, SWD(2017) 483 final/2, 20 December 2017.

  151. 151.

    European Commission, Commission Working Staff Document on Significant Distortions in the Economy of the Russian Federation for the Purposes of Trade Defence Investigations, SWD(2020) 242 final, 20 October 2020.

  152. 152.

    Natens (2020), p. 110.

  153. 153.

    See Sect. 3.3.2 above.

  154. 154.

    See Commission Implementing Regulation (EU) 2019/1198, para. 145.

  155. 155.

    Vermulst and Sud (2018), pp. 63–87.

  156. 156.

    General Court, Shanxi Taigang Stainless Steel Co Ltd v European Commission, case C-436/18 P, judgment of 29 July 2019, ECLI:EU:C:2019:643, para. 61.

  157. 157.

    Annex Ia to Regulation (EU) 2018/825.

  158. 158.

    Recital 6 to Regulation 2017/2321.

  159. 159.

    See Reinhold and Van Vaerenbergh (2021), p. 198.

  160. 160.

    See Commission Implementing Regulation (EU) 2019/687 of 2 May 2019 imposing a definitive anti-dumping duty on imports of certain organic coated steel products originating in the People’s Republic of China following an expiry review pursuant to Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council, OJ 2019 L 116/5, rec. 110–112.

  161. 161.

    OECD, Environmental Compliance and Enforcement in China, An Assessment of Current Practices and Ways Forward, OECD Study 2006.

  162. 162.

    Commission Implementing Regulation (EU) 2019/687 of 2 May 2019 imposing a definitive anti-dumping duty on imports of certain organic coated steel products originating in the People’s Republic of China following an expiry review pursuant to Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council, OJ 2019 L 116/5, rec. 52.

  163. 163.

    Ibid.

  164. 164.

    Commission Implementing Regulation (EU) 2019/915 of 4 June 2019 imposing a definitive anti-dumping duty on imports of certain aluminium foil in rolls originating in the People’s Republic of China following an expiry review under Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council, OJ 2019 L 146/63, rec. 123; Commission Implementing Regulation (EU) 2019/1198 of 12 July 2019 imposing a definitive anti-dumping duty on imports of ceramic tableware and kitchenware originating in the People’s Republic of China following an expiry review pursuant to Article 11(2) of Regulation (EU) No 2016/1036, OJ 2019 L 189/8, rec. 153; Commission Implementing Regulation (EU) 2019/687 of 2 May 2019 imposing a definitive anti-dumping duty on imports of certain organic coated steel products originating in the People’s Republic of China following an expiry review pursuant to Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council, OJ 2019 L 116/5, rec. 113; Commission Implementing Regulation (EU) 2019/1259 of 24 July 2019 imposing a definitive anti-dumping duty on imports of threaded tube or pipe cast fittings, of malleable cast iron and spheroidal graphite cast iron, originating in the People’s Republic of China and Thailand, following an expiry review pursuant to Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council, OJ 2019 L 197/2, rec. 121; Commission Implementing Regulation (EU) 2019/1267 of 26 July 2019 imposing a definitive anti-dumping duty on imports of tungsten electrodes originating in the People’s Republic of China following an expiry review under Article 11(2) of Regulation (EU) 2016/1036, OJ 2019 L 200/4, rec. 108; Commission Implementing Regulation (EU) 2019/1379 of 28 August 2019 imposing a definitive anti-dumping duty on imports of bicycles originating in the People’s Republic of China as extended to imports of bicycles consigned from Indonesia, Malaysia, Sri Lanka, Tunisia, Cambodia, Pakistan and the Philippines, whether declared as originating in these countries or not, following an expiry review pursuant to Article 11(2) of Regulation (EU) No 2016/1036, OJ 2019 L 225/1, rec. 146.

  165. 165.

    Gustafsson and Crochet (2020), pp. 187–206.

  166. 166.

    Lester (2017).

  167. 167.

    Request for the Establishment of a Panel by China, European Union – Measures Related to Price Comparison Methodologies, WT/DS516/9, 7 March 2017.

  168. 168.

    Sect. 773(c) Tariff Act of 1930, 19 USC §1677b(c) and US Department of Commerce Anti-Dumping Regulations, 19 C.F.R. §351.408 (2005).

  169. 169.

    Sect. 773(c)(2) Tariff Act of 1930, 19 U.S.C. § 1677b(c)(2).

  170. 170.

    Vermulst and Meng (2017), p. 337.

  171. 171.

    Stewart and Mueller (2008), Art. 2 ADA, para. 124.

  172. 172.

    Sect. 773(c)(2) Tariff Act of 1930, 19 U.S.C §1677b(c)(2).

  173. 173.

    Watson (2014), pp. 11–13.

  174. 174.

    Nicely and Gatta (2016), p. 239.

  175. 175.

    Sands and Peel (2018), p. 899.

  176. 176.

    Patterson (1992), p. 104.

  177. 177.

    Decision of the Trade Measures Review Officer, Hollow Structural Sections, Review of Decisions to Publish A Dumping Duty Notice and A Countervailing Notice, 14 December 2012. This decision was not followed by the Anti-Dumping Review Panel (ADRP). See for instance, Decision of the Anti-Dumping Review Panel, Review of Decisions Regarding Dumping Duties and Countervailing Duties for Zinc Coated (Galvanized) Steel and Aluminium Zinc Coated Steel Exported from the People’s Republic of China, 15 November 2013, para 56. See Zhou and Percival (2016), p. 881.

  178. 178.

    Ibid.

  179. 179.

    Art. VI:1 GATT.

  180. 180.

    See also the second Ad Note to Art. VI:1 GATT, noting that difficulties with price comparability may arise in deals situations of trade between associated houses and products from countries with a government monopoly.

  181. 181.

    Report of group of experts on anti-dumping and countervailing duties, 1961. See GATT Analytical index (pre-WTO), p. 230.

  182. 182.

    The provision illustrates aspects that may affect price comparability “including differences in conditions and terms of sale, taxation, levels of trade, quantities, physical characteristics, and any other differences which are also demonstrated to affect price comparability.” See Art. 2.4, third sentence ADA. The footnote to the provision explains that “[i]t is understood that some of the above factors may overlap, and authorities shall ensure that they do not duplicate adjustments that have been already made under this provision.”

  183. 183.

    Panel report, Argentina – Definitive Anti-Dumping Measures on Carton-Board Imports from Germany and Definitive Anti-Dumping Measures on Imports of Ceramic Tiles from Italy, WT/DS189/R, adopted 5 November 2001, para. 6.113.

  184. 184.

    Stewart and Mueller (2008), Art. 2 ADA, para. 89.

  185. 185.

    Appellate Body report, United States – Anti-Dumping Measures on Certain Hot-Rolled Steel Products from Japan, WT/DS184/AB/R, adopted 23 August 2001, para. 177–180.

  186. 186.

    Ibid.

  187. 187.

    Appellate Body report, United States – Anti-Dumping Measures on Certain Hot-Rolled Steel Products from Japan, WT/DS184/AB/R, adopted 23 August 2001, para. 177.

  188. 188.

    Appellate Body report, United States – Laws, Regulations and Methodology for Calculating Dumping Margins (Zeroing), WT/DS294/AB/R, adopted 9 May 2006, para. 156.

  189. 189.

    Panel report, United States – Final Dumping Determination on Softwood Lumber from Canada – Recourse to Article 21.5 of the DSU by Canada, WT/DS264/RW, adopted 1 September 2006, para. 7.357.

  190. 190.

    See Stewart and Mueller (2008), Art. 2 ADA, para. 95.

  191. 191.

    General Court, Acron OAO and Dorogobuzh OAO v Council of the European Union, case T-2335/08, judgment of 26 September 2013, ECLI:EU:C:2013:65, para. 19.

  192. 192.

    Panel report, European Communities – Definitive Anti-Dumping Measures on Certain Iron or Steel Fasteners from China, WT/DS397/R, adopted 28 July 2011, para. 7.297.

  193. 193.

    See Panel report, Egypt – Definitive Anti-Dumping Measures on Steel Rebar from Turkey, WT/DS211/R, adopted 1 October 2001, para. 7.333–7.335; Panel report, Argentina – Definitive Anti-Dumping Duties on Poultry from Brazil, WT/DS241/R, adopted 19 May 2003, para. 7.265; Panel report, United States – Laws, Regulations and Methodology for Calculating Dumping Margins (Zeroing), WT/DS294/R, adopted 6 May 2006, para. 7.252–7.275. See, generally, De Baere et al. (2021), para. 314.

  194. 194.

    See Sect. 6.3.2.2.1.2 above.

  195. 195.

    Appellate Body report, European Union – Anti-Dumping Measures on Biodiesel from Argentina, WT/DS473/AB/R, adopted 26 October 2016, para. 6.87.

  196. 196.

    Ibid.

  197. 197.

    Ibid. See in detail Sect. 6.3.2.2 above.

  198. 198.

    Shadikhodjaev (2019), p. 98.

  199. 199.

    Zhou and Percival (2016), pp. 883–885.

  200. 200.

    Zhou (2018), p. 632.

  201. 201.

    See Sect. 6.3.2.2.1 above.

  202. 202.

    Panel report, Australia – Anti-Dumping Measures on A4 Copy Paper, WT/DS529/R, adopted 4 December 2019, para. 7.76 and 7.80.

  203. 203.

    Ibid.

  204. 204.

    Zhou and Peng (2021), p. 99.

  205. 205.

    Lesmana and Koesnaidi (2019), p. 418.

  206. 206.

    See Sect. 6.4.2.1 above.

  207. 207.

    Appellate Body Report, European Communities – Definitive Anti-Dumping Measures on Certain Iron or Steel Fasteners from China (Recourse to Article 21.5 of the DSU by China), WT/DS397/AB/RW, adopted 12 February 2016, para. 5.207 and 5.231.

  208. 208.

    Ibid, para. 5.125.

  209. 209.

    Zhou and Percival (2016), p. 884.

  210. 210.

    Espa and Levy (2018), pp. 321–322.

  211. 211.

    Ibid, p. 318.

  212. 212.

    Panel report, European Union – Anti-Dumping Measures on Biodiesel from Argentina, WT/DS473/R, adopted 26 October 2016, para. 7.304.

  213. 213.

    Appellate Body report, European Union – Anti-Dumping Measures on Biodiesel from Argentina, WT/DS473/AB/R, adopted 26 October 2016, para. 5.205.

  214. 214.

    Espa and Levy (2018), p. 323.

  215. 215.

    Meléndez-Ortiz (2016), p. 11.

  216. 216.

    Committee on Anti-Dumping Practices and Ad-Hoc Group on the Implementation of the Anti-Dumping Code, Draft Recommendation Concerning the Treatment of the Practice Known as Input Dumping, ADP/W/83/Rev.2, 19 December 1984.

  217. 217.

    Ibid, para. 2.

  218. 218.

    Ibid, para. 6.

  219. 219.

    Ibid, para. 6.

  220. 220.

    Shadikhodjaev (2019), p. 96.

  221. 221.

    Ibid, p. 103.

  222. 222.

    Ibid, pp. 102–103.

  223. 223.

    Ibid, p. 104.

  224. 224.

    Ibid, pp. 104–106.

  225. 225.

    Patterson (1992), p. 104.

  226. 226.

    Pogoretskyy (2011), pp. 221–222.

  227. 227.

    Report of the Working Party on the Accession of the Russian Federation to the World Trade Organization, WT/ACC/RUS/70, 17 November 2011, para. 90 and 120.

  228. 228.

    Notification of an Appeal by the European Union Under Article 16.4 and Article 17.1 of the Understanding on Rules and Procedures Governing the Settlement of Disputes (DSU), and Under Rule 20(1) of the Working Procedures for Appellate Review, European Union – Cost Adjustment Methodologies and Certain Anti-Dumping Measures on Imports from Russia – (Second Complaint), WT/DS497/7, 1 September 2020. The Russian Federation also appealed, see WT/DS497/8.

  229. 229.

    Constitution of the Panel Established at the Request of the Russian Federation, European Union – Anti-Dumping Measures on Certain Cold-Rolled Flat Steel Products from Russia, WT/DS521, 17 March 2020.

  230. 230.

    See United States Trade Representative Ambassador Robert E. Lightizer, Report on the Appellate Body of the World Trade Organization, February 2020, pp. 95 ff.

  231. 231.

    See Sect. 2.2.2 above.

  232. 232.

    See Appellate Body report, Canada – Certain Measures Affecting the Renewable Energy Generation Sector, WT/DS412/AB/R, adopted 24 May 2013; Appellate Body report, Canada – Measures Relating to Feed-In Tariff Program, WT/DS426/AB/R, adopted 24 May 2013.

  233. 233.

    Howse (2013), p. 51.

  234. 234.

    Van Damme (2010), p. 612.

  235. 235.

    Art. X WTO Agreement; Art. XI:3 and 4 WTO Agreement.

  236. 236.

    Matsushita et al. (2015), pp. 384–385.

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Van Vaerenbergh, P. (2023). Low Environmental Standards and the ADA Rules. In: Greening Trade Remedies. European Yearbook of International Economic Law(), vol 31. Springer, Cham. https://doi.org/10.1007/978-3-031-38172-0_6

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