EU goes to WTO to challenge China dairy subsidy investigation

Published Sep 23, 2024

Tridge summary

The European Commission has initiated a challenge at the World Trade Organisation (WTO) against an investigation by China into subsidies provided to European dairy producers, including an Irish scheme named the 'Dairy Equipment Subsidy Scheme'. This action is in response to China's assertions that certain EU dairy products are harming China's domestic dairy industry. This situation is part of a broader series of trade disputes between China and the EU, with the EU also planning to impose countervailing duties on Chinese electric vehicles. The commission's decision to refer the issue to the WTO signifies its effort to safeguard the interests of the EU dairy industry and the Common Agricultural Policy (CAP) against what it perceives as baseless and under-evidenced trade defence measures by China.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The European Commission has challenged an investigation taken by authorities in China into subsidies paid under certain EU schemes to dairy producers, by taking the issue to the World Trade Organisation (WTO). Last month. the Ministry of Commerce of China began an investigation into subsidies paid to European dairy farmers, with one Irish farm scheme specifically cited by the country’s authorities. The basis for the investigation is that certain subsidised EU dairy products impact on the domestic dairy industry in China. Among the 20 EU subsidy schemes cited in the investigation is an Irish scheme which is referred to (when translated into English) as the “Dairy Equipment Subsidy Scheme”. This likely refers to the Dairy Equipment Scheme under the Targeted Agricultural Modernisation Scheme (TAMS). The investigation is seen as the latest issue in a series of trade tensions between China and the EU. Earlier in the same week, the commission, as part of its own anti-subsidy ...

Source: AgriLand