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Thompson Hine LLP, a full-service business law firm with approximately 400 lawyers in 11 offices, was ranked number 1 in the category “Most innovative North American law firms: New working models” by The Financial Times and was 1 of 7 firms shortlisted for The American Lawyer’s inaugural Legal Services Innovation Award. The firm has been recognized by the National Law Journal as a Legal Technology Trailblazer and featured by Bloomberg for its innovative service delivery models, which drive accuracy and predictability. The firm’s commitment to innovation is embodied in Thompson Hine SmartPaTHTM – a smarter way to work – predictable, efficient and aligned with client goals. For more information, please visit ThompsonHine.com and ThompsonHine.com/SmartPaTH.

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On November 1, the World Trade Organization (WTO) <a href="https://www.thompsonhinesmartrade.com/wp-content/uploads/sites/783/2019/11/WTO-AD-Decision-11-1-19.pdf" target="_blank" rel="noopener">issued a decision</a> arising from a longstanding dispute between the United States and China concerning certain methodologies used by the United States in anti-dumping (AD) proceedings involving imports of Chinese products. In this dispute, China argued that certain methodologies used by the U.S. Department of Commerce (Commerce) were inconsistent with WTO agreements and obligations, and a full WTO Dispute Settlement Body (DSB) concurred in May 2017. These inconsistencies fall into two categories: (1) findings of inconsistency concerning U.S. use of the weighted average-to-transaction (WA-T) methodology with &ldquo;zeroing&rdquo; in calculating dumping margins; and (2) findings of inconsistency concerning U.S. treatment of multiple exporters as a single government-wide entity under the so-called Single Rate Presumption.
The United States was given until August 22, 2018, to implement the DSB&rsquo;s recommendations and rulings. When Commerce failed to address these inconsistencies, China sought WTO authorization to retaliate in the amount of $7.043 billion in tariffs as to trade in goods. In considering this request, the WTO arbitration panelists reviewed 25 Commerce AD orders and &ndash; while rejecting China&rsquo;s proposed calculation model &ndash; nevertheless determined &ldquo;that the level of nullification or impairment of benefits accruing to China as a result of the WTO-inconsistent methodologies used by the United States in anti-dumping proceedings concerning products imported from China is 3,579.128 million USD per annum.&rdquo; As a result, China will be allowed to formally request the implementation of these retaliatory duties at the next DSB meeting on November 22, 2019.

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WTO Allows China $3.6 Billion in Retaliatory Tariffs Against United States Over Anti-Dumping Calculation Methodologies