2022 part2

26/ Members note continued high level of activities on safeguards

25 APRIL 2022

At a meeting of the WTO’s Committee on Safeguards on 25 April, members reviewed safeguard actions taken by fellow members with regard to 24 investigations. Once again, several members reiterated concerns with the high level of activities in the safeguard area.

Notifications of various safeguard actions received since the committee’s October 2021 meeting – namely, actions regarding 24 products — were reviewed and a number of general issues were raised at the meeting, which was chaired by Ms Mary Lisa Madell (United Kingdom).

China, Japan and Australia reiterated their general concern about the high level of activities in the safeguard area and the impact of safeguards on the global economy and trade. They stressed the importance of strictly adhering to WTO disciplines on the use of safeguards.

Nine members took the floor at the start of the meeting to express their strong opposition to the invasion of Ukraine. The Russian delegate responded by saying that the WTO was not the proper venue for a discussion of this nature.

Review of legislative notifications

The committee reviewed notifications of new or amended safeguard legislation or regulations from Brazil, Cameroon, Liberia and the United Kingdom. It continued its review of the previous legislative notifications from Ghana, India and Zimbabwe.

Notification of safeguard actions

Notifications of various safeguard actions, including initiation of investigations and imposition of measures, submitted from the following members were reviewed by the committee:  the European Union; India; Indonesia (five investigations); Madagascar (three investigations); Morocco (four investigations); Peru; South Africa (two investigations); Turkey; Ukraine (three investigations); the United Kingdom; the United States; and Viet Nam.

Eight members took the floor in respect of the European Union’s safeguard measure on certain steel products. This measure was originally imposed in February 2019. In one of the notifications discussed at the meeting, the European Union informed the committee that it had adjusted the measure to reflect the fact that the European Union had banned imports of steel products originating in Russia and Belarus.

Seven members took the floor in respect of the United Kingdom’s safeguard measure on certain steel products. The UK had “transitioned” the European Union measure to a UK-only measure in the context of its exit from the European Union. In one of the notifications discussed at the meeting, the UK explained that it has initiated a process to review the measure in light of the trade measures it has imposed on imports from Russia and Belarus.

Specific agenda items

The United States commented on the safeguard action by the Philippines on imports of high-density polyethylene and linear low-density polyethylene pellets and granules.

Japan commented on the safeguard measure imposed by Indonesia on imports of carpets and other textile floor coverings.

Brazil commented on the safeguard measure imposed by Costa Rica on imports of refined white sugar.

Next meeting

The next meeting of the Committee on Safeguards is provisionally scheduled for the week of 24 October 2022.

Background

Under WTO rules, a member may apply measures to imports of a product temporarily (take “safeguard” actions) through higher tariffs or other measures if it determines through an investigation that increased imports of a product are causing or threatening to cause serious injury to its domestic industry. Unlike anti-dumping duties, safeguard measures cover imports from all sources, although imports from developing country members with a small share of imports are exempted through special and differential treatment provisions.

 Source: wto.org