EU Challenges China's Dairy Investigation at WTO

The European Commission has taken its first step at the World Trade Organisation (WTO) challenging China's investigation into EU dairy products. This follows the EU's imposition of import tariffs on Chinese electric vehicles. The Commission is confident its dairy subsidies comply with international rules.

The European Commission has launched a formal challenge at the World Trade Organisation (WTO) against China's investigation into EU dairy products. This action comes after the EU imposed import tariffs on Chinese electric vehicles.

The EU's move signals concern over a pattern of trade defence measures by China, which the Commission believes are based on dubious claims and insufficient evidence. The WTO proceedings begin with a mandatory 60-day consultation period between the parties. If these talks do not resolve the issue, the EU will request the formation of an adjudicating panel.

WTO panels generally take over a year to deliver conclusions. China's investigation, initiated on Aug. 21, targets various EU dairy products, and the EU remains confident that its subsidy programs are compliant with international regulations. Additionally, China has ongoing anti-dumping investigations into EU brandy and pork, while the EU is set to finalize tariffs on Chinese electric vehicles.

(With inputs from agencies.)