BRUSSELS (ChatnewsTV) — The European Union has formally initiated a dispute complaint with the World Trade Organization (WTO) against China, challenging Beijing’s anti-subsidy investigation into EU dairy products. The request for WTO consultations was circulated to member nations on Wednesday.
The EU alleges that China’s investigation into certain dairy imports from the bloc violates international trade rules. According to the EU, China failed to provide sufficient evidence of unfair subsidies or proof that European dairy imports are causing harm to Chinese producers, a requirement under the WTO’s Agreement on Subsidies and Countervailing Measures.
“The EU believes that China’s investigation does not meet the necessary criteria to justify such a probe,” an EU spokesperson said. “The application submitted by China lacked the needed evidence to demonstrate the existence of a countervailable subsidy or a causal link between the alleged subsidies and injury to Chinese producers.”
The European Union’s request for consultations marks the formal start of the dispute process. Consultations, which are required before litigation can begin, offer both parties the chance to negotiate a resolution. If no agreement is reached within 60 days, the EU may request adjudication by a WTO panel.
The case, detailed in WTO document WT/DS628/1, adds to the growing list of trade disputes between the EU and China. Both sides have faced mounting tensions over trade practices, subsidies, and market access issues in recent years.
As the global dairy market continues to grow, European dairy exports have become a significant point of contention, with China increasingly scrutinizing imports.
