The EU has launched compliance proceedings against the Republic of Colombia in view of its failure to comply with rulings by the WTO Panel and Appeal Arbitrators concerning anti-dumping duties on imports of frozen fries from Belgium, the Netherlands and Germany.
Colombia claimed to have implemented the findings and recommendations of the panel report and of the Multi-Party Interim Appeal Arbitration Arrangement's (MPIA) Appeal Arbitration Award through its Ministerial Resolution issued on 21 November 2023. However, the EU considers that Colombia artificially created and/or inflated the dumping margins by using WTO-incompatible methodologies.
This is why the EU is making recourse to the WTO's compliance consultation process. With this step, the EU seeks to preserve the rights of EU exporters and to send a signal to Colombia – as well as other countries intending to limit EU exports – that anti-dumping investigations need to be carried out in full respect of WTO rules.
Next steps
Parties should hold consultations within 15 days after the request for consultation. After the 15-day period has elapsed, the EU may request the establishment of a compliance panel pursuant to Article 21.5 of the WTO Dispute Settlement Understanding at any time.
Background
Exports of frozen fries from the three Member States to Colombia amounted to €23 million in 2016. The duties were imposed in November 2018, and target almost all (85% or €19.3 million) of EU exports of frozen fries to Colombia. Export volumes from the EU overall remained stable after the imposition of measures until 2020. While in 2021 and 2022 total exports from the EU grew substantially, imports from the companies subject to duties were substituted by other EU exporters not subject to anti-dumping duties. Notably, Germany has no longer been exporting to Colombia since 2022.
This dispute (DS591) was submitted by the EU against Colombia in November 2019. The panel issued its final report to the parties on 22 August 2022, while the Arbitrators' Award under the MPIA was issued on 21 December 2022.
For more information: policy.trade.ec.europa.eu