China, EU Go Head-To-Head Over Anti-Subsidy Duties

Law360, New York (May 16, 2011, 5:24 PM EDT) -- Two days after the European Union imposed its first-ever anti-subsidy duties on Chinese imports, China issued its own unprecedented provisional countervailing duties Monday on EU potato starch.

In a long-expected decision, the European Commission said Saturday that China had significantly subsidized its paper manufacturers through cheap loans, tax incentives and other benefits that ran afoul of international trade rules. As a result, the EU slapped Chinese coated paper imports with countervailing duties ranging from 4 to 12 percent.

At the same time, the regulator said it...
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