China has protested at the European Union's (EU) decision to impose anti-dumping duties on seamless steel pipe imported from China and expected the EU to end its anti-dumping investigation, the Ministry of Commerce (MOC) said in an online statement Friday.

The European Commission announced on April 8 it would impose anti-dumping duties on Chinese seamless steel pipe. On July 9 of 2008 the European Commission launched anti-dumping probe into the case.

The duty rates stood at slightly more than 15 percent for Hubei Xinye Steel and Shangdong Luxing Steel Pipe and 24.2 percent for the general imports from other Chinese steel companies.

An official from MOC fair trade bureau noted the EU's decision to impose anti-dumping duties was made merely on the accusation that imports of the product from China might cause material injury or threat, which sent a wrong signal to the industry.

The official added China opposed trade remedy investigations, such as anti-dumping and countervailing duty investigations, arguing imposition of anti-dumping duties, under the World Trade Organization (WTO) rules, should be based on findings of material injury or threat, rather than accusation and speculation.

According to the WTO rules, anti-dumping complaint must include accurate and adequate evidence of dumping, injury and a causal link between the two elements.

During the period of investigation, the whole industry in Europe performed well and experienced no injury or threat, the official added.

The official said supply relied on market demand and any increase of exports of Chinese products to Europe during a certain period was determined by the market demand, which could not be attributed to dumping.

Exports of seamless steel pipe to Europe posted apparent decline in 2008, especially after the financial crisis started to bite. In 2008, the amount of such product fell 13.18 percent and the value rose 14.5 percent year on year. In the first two months of this year, the amount fell 43.48 percent and the value dropped 29.1 percent, the statement said, with no specific figures about the amount and value.

The official said world leaders attending the G20 summit had reiterated the opposition against trade protectionism and trade remedy measures.

China hoped EU would maintain its objective and fair stance when dealing with the case and make a decision according to WTO rules. China and the EU should enhance cooperation and consultations upon the issue, and create win-win result, according to the statement.

(Xinhua News Agency April 11, 2009)