BEIJING: China has condemned the European Commission for imposing new anti-dumping duties on its steel products, accusing the EU鈥檚 executive of making China an industrial scapegoat.
The 28-nation bloc said on Friday that it would levy duties of up to 35.9 percent on Chinese hot-rolled flat steel in an attempt to create a level playing field with China as it broadens its campaign to protect Europe鈥檚 struggling steel manufacturers.
The EU alleged China, which makes more than half of the world鈥檚 steel, has flooded global markets in violation of international trade agreements.
According to the EC, Chinese producers benefit from preferential lending, tax rebates and other financial help that allow exports to the EU at artificially low prices. But China said the bloc鈥檚 action stemmed from a misunderstanding of China鈥檚 financial loan system and trade trends.
鈥淭he European Commission ignores the fact that China鈥檚 steel exports to Europe clearly declined in 2016, using China鈥檚 steel overcapacity as an excuse to claim that China鈥檚 hot-rolled flat steel products threaten to damage industry in the EU when that is mere speculation with little bearing on reality,鈥� China鈥� Commerce Ministry official Wang Hejun said in a statement Friday.
鈥淐hina strongly questions the legitimacy and legality of the European Commission鈥檚 ruling.鈥�
The EU has had a series of trade disputes with China, its second-largest trading partner but it is also seeking to resolve the standoff over steel with Beijing through the Organization for Economic Co-operation and Development (OECD), the Paris-based group of developed economies.
In January, the commission imposed anti-dumping duties on China鈥檚 stainless steel tube and pipe butt-welding fittings. Like hot-rolled flat steel, the products are commonly used in shipbuilding as well as energy and construction.
Wang noted that China has not only refrained from subsidizing steel exports but also adopted several measures to control them.
鈥淚t is biased and unfair for Europe to blame China for its own industrial issues,鈥� he said.
鈥淯njustified accusations and reckless trade rescue measures will not help to solve the problem.鈥�