Abstract

The debate whether antidumping measures have to applied on MFN basis has started with two decisions of the dispute settlement body in EC-Anti-dumping Measures on Certain Footwear from China and EC-Definitive Anti-dumping Measures on Certain Iron and Steel Fastners from China. The author argues that that the text, context and purpose of article VI of GATT 1994 and the Antidumping Agreement do not require application of antidumping measures on MFN basis. To that extent antidumping measures are exception to MFN. But procedural fairness has to be maintained which mandates application of MFN because absence of procedural fairness puts a question mark on the existence of conditions for application for antidumping measures. However, decision of the appellate body on the facts of the case was right as country wide dumping margin required as per EC law which was questioned in the two cases is another method for application of zeroing.

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