The EU files a complaint with the WTO over China's investigation into dairy subsidies

La European Union has requested consultations with China within the framework of the World Trade Organization (WTO) following the launch of an investigation by China into alleged subsidies for certain European dairy products.

EU says Chinese research is incompatible with EU Agreement on Subsidies and Countervailing Measures of the WTOAccording to the European complaint, the investigation lacks sufficient evidence to justify the imposition of countervailing duties, since no evidence has been presented of the existence of subsidies, of specific damage or of a causal link between European imports and the alleged injury to the Chinese industry.

The request for consultations is the first step in the WTO dispute resolution process. This mechanism provides the parties with the opportunity to discuss and resolve the conflict amicably. If no solution has been reached after 60 days, the EU may request the intervention of a panel to resolve the case.