Anti-dumping issues of China's glyphosate in the EU

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Publish time:12/23/2009 5:58:19 PM      Source: CCM
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Monsanto lodged a charge to the European Union (EU) in October 1995 about the dumping of glyphosate originated from China. The EU regarded China as a non-economic country and treated China with Brazil as referential country. The final ruling was made in Feb. 1998 and Monsanto won the case. The EU imposed a 24% anti-dumping tax on glyphosate originated from China.  

 

In Aug. 1998, Monsanto again raised the anti-absorption procedure in Europe. The final ruling was made in Feb. 2002, which was still in favor of Monsanto. The anti-dumping tax was increased from 24% to 48%.

 

In May 2001, Monsanto raised the anti-evading procedure for the third time in Europe against glyphosate exported from Taiwan and Malaysia, and the final ruling was made in November 2001. The 48% anti-dumping tax was therefore extended to glyphosate export companies in Taiwan and Malaysia. Glyphosate became the only product exported by China to the EU market that suffered from anti-dumping, anti-absorption and anti-evading verdicts at the same time.

 

On 15 Feb., 2003, upon the application of Glyphosate Association of Europe, the EU started the investigation of sunset review and expiry review on glyphosate originated from China. During this investigation, the European Committee chose Brazil as the substitute country to evaluate the actual value of Chinese glyphosate. At that time, Zhejiang Wynca appealed to the EU alone. On 30 Sept., 2004, the European Committee proclaimed the final verdict of sunset review and expiry review. As a result of the investigation, all glyphosate producers of China were levied an anti-dumping tax of 29.9%, and the effective period was extended to 2008.

 

The EU once canceled anti-dumping duties on Chinese glyphosate for a period of nine months from May 2009, mainly because the glyphosate market in the EU has undergone a change in 2009, especially the high market price resulting in fat profits.

 

In order to enter the EU market, Chinese glyphosate producers, such as Zhejiang Wynca, have kept fighting with Monsanto and other companies in the EU, and finally won the case in June 2009. The EU then canceled the 29.9% anti-dumping duty on Zhejiang Wynca's glyphosate. Zhejiang Wynca has become the only winner among all Chinese producers since 1995 when the EU began to initiate an anti-dumping investigation into Chinese glyphosate.

 

On 16 Dec., 2010, the EU announced that European Commission had decided to terminate the anti-dumping measures on glyphosate originated from China since 13 Dec., 2010.

 

On 19 July, 2012, the EU Court of Justice (ECJ) released its final judgment on the glyphosate anti-dumping case against Zhejiang Wynca. The ECJ ruled that the EU's anti-dumping measure on Zhejiang Wynca was invalid, and dismissed the EU Council's appeal entirely. Zhejiang Wynca got the final victory of the case.