2010-04-20 23:18

GENEVA - China on Tuesday asked the World Trade Organization to set up an expert panel to rule whether the European Union's antidumping duties on Chinese-made footwear violates global trade regulations.

At a meeting of the WTO's Dispute Settlement Body, the Chinese delegation reiterated that the EU's antidumping measure was inconsistent with related WTO agreements and it impaired China's benefits.

"China requests the DSB to establish a panel to ensure the protection of China's legitimate rights and benefits under the WTO agreements," the delegation said in a statement.

The delegation said that it was taking the action after the latest consultations with the EU on March 31 failed to resolve China's concerns and "no mutually satisfactory solution could be reached."

The delegation's statement also urged the 27-nation bloc to bring its legislation in line with WTO agrements and "to terminate the measure on Chinese footwear on account of their inconsistency with WTO rules."

The EU said it regretted the step take by China and blocked the panel request. But according to the WTO's dispute settlement procedures, a panel request can be blocked only once, which means the panel would be established automatically if China makes a second request at a DSB meeting scheduled for next month.

China first brought the dispute to the WTO on February 4, which initiated a 60-day consultation period between the two sides.

A panel request is the second step in the WTO's dispute settlement procedure following unsuccesful consultations in finding a resolution.