WT/DS603/2  
 
14 January 2022  
(22-0366) Page: 1/9 
  Original: English  
 
 
AUSTRALIA – ANTI -DUMPING AND COUNTERVAILING  DUTY MEASURES ON CERTAIN 
PRODUCTS FROM CHINA  
REQUEST FOR THE ESTABLISHMENT OF A PANEL  BY CHINA  
The following communication, dated  13 January 2022 , from the delegation of China  to the 
Chairperson of the Dispute Settlement Body, is circulated pursuant to Article 6.2 of the DSU.  
 
 
_______________  
 
 
On 24 June 2021 the Government of the People 's Republic of China ( "China") requested consultations 
with the Government of Australia ( "Australia ") pursuant to Article 4 of the Understanding on Rules 
and Procedures Governing the Settlement of Disputes (DSU), Article XXII of the General Agreement 
on Tariffs and Trade 1994 (GATT 1994), Article 17 of the Agreement on Implementatio n of Article 
VI of the General Agreement on Tariffs and Trade 1994 (Anti -Dumping Agreement) and Article 30 
of the Agreement on Subsidies and Countervailing Measures (SCM Agreement) with respect to 
Australia 's measures imposing anti -dumping measures on impo rts of wind towers, deep drawn 
stainless steel sinks (stainless steel sinks) and certain railway wheels (railway wheels), and 
countervailing measures on imports of stainless steel sinks, in each case as exported from China to 
Australia.  
China  held consulta tions with Australia  on 11 August 2021. These consultations failed to resolve the 
dispute.  
As a result, in order to resolve the dispute, China respectfully requests, pursuant to Articles 4 .7 and 
6 of the DSU, Article XXIII :2 of the GATT 1994, Article 17.4 of the Anti -Dumping Agreement and 
Article 30 of the SCM Agreement, that the Dispute Settlement Body (DSB) establish a panel to 
examine this matter, with the standard terms of reference as set out in Article 7.1 of the DSU.  
A Measures at issue  
The measures at issue are explained and identified below.  
1 With respect to wind towers  
By way of notices dated 14 April 2014, the Parliamentary Secretary to the Minister for Industry of 
Australia  imposed final anti -dumping duties in respect of wind towers imported into Australia from 
China. The imposition of the duties was based on the findi ngs and recommendations reported to the 
Parliamentary Secretary in Anti-Dumping Commission Report No. 221 - Dumping of Wind Towers 
Exported from the People 's Republic of China and the Republic of Korea (21 March 2014) . 
The specific legal instruments that i mposed those duties, and other legal instruments that were 
subsequently published with respect to those instruments, are set out in the Appendix. The measures 
at issue include those specific legal instruments and all annexes, amendments, modifications, 
replacements, implementing acts or related measures in connection with those legal instruments.  
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  2 With respect to stainless steel sinks  
By way of notices dated 19 March 2015, the Parliamentary Secretary to the Minister for Industry 
and Science of Australia  imposed final anti -dumping and countervailing duties in respect of stainless 
steel sinks imported into Australia from China. The imposition of the duties was based on the findings 
and recommendations reported to the Parliamentary Secretary in Anti-Dumping Commission Report 
No. 238 - Alleged Dumping of Deep Drawn Stainless Steel Sinks Exported from the People 's Republic 
of China and Alleged Subsidisation of Deep Drawn Stainless Steel Sinks (19 February 2015) . 
The specific legal instruments that imposed those  duties, and other legal instruments that were 
subsequently published with respect to those instruments, are set out in the Appendix. The measures 
at issue include those specific legal instruments and all annexes, amendments, modifications, 
replacements, i mplementing acts or related measures in connection with those legal instruments.  
3 With respect to railway wheels  
By way of notices dated 12 July 2019, the Minister for Industry, Science and Technology of Australia  
imposed final anti -dumping duties in resp ect of railway wheels imported into Australia from China. 
The imposition of the duties was based on the findings and recommendations reported to the Minister 
in Anti-Dumping Commission Report No. 466 – Alleged Dumping of Certain Railway Wheels Exported 
from the People 's Republic of China and France (1 March 2019) . 
The specific legal instruments that imposed those duties are set out in the Appendix. The measures 
at issue include those legal instruments and all annexes, amendments, modifications, replacements , 
implementing acts or related measures in connection with those legal instruments.  
B Legal basis  
1 Anti-dumping measures  
The legal claims with respect to the anti -dumping measures relate to each of the measures 
concerning wind towers, stainless steel sink s and railway wheels, unless otherwise stated.  
China considers that the anti -dumping measures at issue are inconsistent with Australia 's obligations 
under the relevant Articles of the covered agreements as set out below.  
1. Articles 2.1, 2.2 and 2.2.1.1 o f the Anti -Dumping Agreement and Article VI:1 of the GATT 
1994, because in the determination of the margin of dumping Australia did not use the cost of 
production of the products concerned in China, nor base the cost of production of the products 
concerned  on the cost of production in China, when China was the country of origin of the products. 
For example:  
a. in the case of wind towers, the cost for plate steel and flanges was a non -China cost 
calculated by reference to information from a previous investig ation concerning hot rolled 
plate steel, and in a related later measure the non -China cost was adjusted by an index 
based on movements in the Steel Bulletin Board (Platts) benchmark from the original 
investigation period;  
b. in the case of stainless steel sinks, the cost for 304 stainless steel cold rolled coil was 
calculated by reference to MEPS (International) Ltd -based average price using monthly 
reported MEPS North American and European prices (excluding the Asian price), and in a 
related later measure by reference to an average price of grade 304 stainless steel cold 
rolled coil for North America and Europe published by Steel Business Briefing Ltd;  
c. in the case of railway wheels, the cost for steel billet was calculated by reference to a steel 
billet price paid by a French producer of railway wheels adjusted for selling, general and 
administrative expenses of a third -party company.  
2. Articles 2.1, 2.2, 2.2.1 and 2.2.1.1 of the Anti -Dumping Agreement and Article VI:1 of the 
GATT 1994, because in the de termination of domestic sales in the ordinary course of trade for the 
determination of the margin of dumping in the case of stainless steel sinks Australia  did not use the WT/DS603/2  
 
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  cost of production of the products concerned in China, being the country of origin o f the products. 
Instead, the cost for 304 stainless steel cold rolled coil was calculated by reference to MEPS 
(International) Ltd -based average price using monthly reported MEPS North American and European 
prices (excluding the Asian price), and in a rela ted later measure by reference to an average price 
of grade 304 stainless steel cold rolled coil for North America and Europe published by Steel Business 
Briefing Ltd.  
3. Articles 2.1, 2.2 and 2.2.1.1 of the Anti -Dumping Agreement and Article VI:1 of the GATT 
1994, because in the determination of normal value Australia : 
a. failed to determine whether the records kept by the exporters reasonably reflected the costs 
of production associated with the production of the products concerned before determining  
not to calculate the exporters ' costs on the basis of their records ; 
b. wrongly determined that the costs of the exporters should not be calculated on the basis of 
their records, where those records were kept in accordance with the generally accepted 
accounting principles of China and reasonably reflected the costs of production associated 
with the production of the products concerned.  
4. Articles 2.1, 2.2, 2.2.1 and 2.2.1.1 of the Anti -Dumping Agreement and Article VI:1 of the 
GATT 1994 because, in the ca se of stainless steel sinks, in treating the exporters ' sales of like 
products in the domestic market as not being in the ordinary course of trade Australia:  
a. failed to determine whether the records kept by the exporters reasonably reflected the costs 
of production associated with the production of the products concerned before determining 
not to calculate the exporters ' costs on the basis of their records;  
b. wrongly determined that the costs of the exporters should not be calculated on the basis  of 
their records, where those records were kept in accordance with the generally accepted 
accounting principles of China and reasonably reflected the costs of production associated 
with the production of the products concerned.  
5. Articles 2.1, 2.2 and 2. 2.1.1 of the Anti -Dumping Agreement and Article VI:1 of the GATT 
1994, because Australia did not properly determine:  
a. whether the exporters ' costs should be calculated on the basis of their records; and  
b. the exporters ' costs of production,  
when:  
c. in the case of the determinations relating to wind towers, Australia considered and used a 
plate steel input cost difference to ascribe a higher cost of that input to the exporter, where 
the cost difference was not a cost difference in the country of origin a nd was not based on 
the records kept by the exporter;  
d. in the case of the determination relating to railway wheels, Australia considered and used a 
cost of an input, being a purchase cost of steel billet, where the exporter did not have such 
a cost in it s financial records because steel billet was self -made by the exporter from raw 
materials including iron ore and coking coal . 
6. Article 2.4 of the Anti -Dumping Agreement, because Australia:  
a. used an item of cost in the calculation of the normal value fo r exporters under investigation 
that was different to the cost of production in either and both the country of origin and their 
records but then failed to make , or in the alternative failed to consider the requirement to 
make, a due allowance to ensure a f air comparison between the export price and the normal 
value for the effect of that cost difference on price comparability;  
b. in the case of stainless steel sinks:  WT/DS603/2  
 
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  i. made a due allowance for taxation to an extent that did not exist;  
ii. for one exporter,  in one instance, made a due allowance for accessories that included 
an amount for the exporter 's profit on its domestic sales of the stainless steel sinks 
concerned where the accessories were produced by the exporter, but did not include an 
amount for the  exporter 's profit on its domestic sales  of the stainless steel sinks 
concerned where the accessories were purchased by the exporter; and, in another 
instance, failed to make a due allowance based on the actual costs of accessories of the 
specific products  as reported by the exporter;  
iii. for another exporter, made a due allowance for accessories where the amount of the 
due allowance was determined by comparing the cost of two export models, instead of 
by comparing the cost of the export model and its comp arable domestic model.  
7. Articles 2.1, 2.2 and 2.2.2 of the Anti -Dumping Agreement and Article VI:1 of the GATT 1994, 
because:  
a. in the cases of wind towers and stainless steel sinks, Australia failed to determine the amount 
for profits based on actual d ata pertaining to production and sales of the product concerned 
in the ordinary course of trade by the exporters under investigation;  
b. in the case of railway wheels, Australia failed to determine the amount for profits on the 
basis of the actual amounts incurred and realized  by the exporter under investigation in 
respect of production and sales in the domestic market of the country of origin of the same 
general category of products;  
c. in the case of wind towers, Australia considered the products that wer e destined for 
consumption in the exporting country to be like products for the purposes of calculating the 
amount for profits, but not to be like products for the purposes of considering whether there 
were sales of like products in the domestic market. In  so doing, Australia either:  
i. improperly determined that the exporter 's normal value could not be determined under 
Article 2.1 due to a lack of domestic sales of like products; or  
ii. improperly determined the amount for profit on the basis that there we re no domestic 
sales of like goods for normal value purposes under Article 2.2 and 2.2.2.  
8. Article 9.3 of the Anti -Dumping Agreement and Article VI:2 of the GATT 1994, because the 
amount of the anti -dumping duties imposed by Australia exceeds any margins  of dumping  that may 
have been properly established under Article 2 of the Anti -Dumping Agreement and Article VI:1 of 
the GATT 1994.  
2 Countervailing measures  
The legal claims with respect to the countervailing measures relate to the measures concerning 
stainless steel sinks, and only with regard to the alleged Program 1 - Raw Materials Provided by the 
Government at Less than Fair Market Value ("the alleged prog ram").  
China considers that the countervailing measures at issue are inconsistent with Australia 's 
obligations under the relevant Articles of the covered agreements as set out below.  
1. Article 1.1(a)(1) of the SCM Agreement, because Australia incorrectly  determined that a 
certain State -invested enterprise (SIE) was a "public body " within the meaning of that Article, based 
on an erroneous interpretation of this term and/or in the absence of any evidence or any sufficient 
evidence that the enterprise possessed, exercised or was vested with governmental authority.  
2. Article 1.1(b) of  the SCM Agreement, because Australia failed to determine, or improperly 
determined, that the alleged provision of goods conferred a "benefit " to the recipient, in 
circumstances where the recipient was not or was not shown to be placed in a more advantageo us 
position than it would have been in the absence of the alleged financial contribution.  WT/DS603/2  
 
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  3 Article 14(d) of the SCM Agreement, because Australia wrongly determined that  the alleged 
provision of cold rolled stainless steel coil was made for less  than adequ ate remuneration and failed 
to determine the adequacy of remuneration for the cold rolled stainless steel coil in relation to 
prevailing market conditions in the country of alleged provision.  
4. Articles 1.2 and 2.1 (c) of the SCM Agreement, because Austral ia failed to make a proper 
determination that the alleged provision of goods for less than adequate remuneration was specific 
to an enterprise or industry or group of enterprises or industries and did not clearly substantiate its 
determination on the basis  of positive evidence. This includes, inter alia , Australia 's: 
a. failure to  properly consider the existence or duration of a "subsidy programme", predominant 
use by certain enterprises, whether disproportionately large amounts of the alleged subsidy 
were granted to certain enterprises, and the manner in which the alleged subsidy was 
granted; and  
b. failure  to account for the diversification of economic activities.  
5. Articles 11.1, 11.2, and 11.3 of the SCM Agreement, because Australia initiated the 
count ervailing investigation without sufficient evidence of the existence of the alleged program with 
regard to the existence, amount and the nature of the subsidy in question, and without proper review 
of the accuracy and adequacy of the evidence provided in t he application.  
C Request  
By imposing the anti -dumping and countervailing duties, Australia appears to have failed to carry 
out and comply with its obligations under the agreements to which reference has been made. The 
measures at issue appear to nullify o r impair benefits accruing to China directly or indirectly under 
those agreements.  
China asks that this request be placed on the agenda for the meeting of the Dispute Settlement 
Body to be held on 25 January 2022 . 
_______________  
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  APPENDIX  
A.1 Wind towers  
The specific legal instruments that imposed the anti -dumping duties with respect to wind towers, 
and other legal instruments that were subsequently published with respect to those instruments, 
are set out below. The measures at issue include those specifi c legal instruments and all annexes, 
amendments, modifications, replacements, implementing acts or related measures in connection 
with those legal instruments.  
No. Procedure  Legal instrument  Date of 
instrument  Date of 
Publication  
1. Investigating 
authority report 
concerning anti -
dumping duty final 
determination  Customs Act 1901  – Part XVB – 
Report Number 221 – Dumping of 
Wind Towers Exported from the 
People 's Republic of China and the 
Republic of Korea  21 March 2014  16 April 2014  
2. Anti-dumping duty 
final determination  Customs Act 1901  – Part XVB – Wind 
Towers Exported from the People 's 
Republic of China and the Republic of 
Korea – Findings in relation to a 
Dumping Investigation – Public 
notice under subsections 269TG(1) 
and (2) of the Customs Act 1901  14 April 2014  16 April 2014  
3. Anti-dumping duty 
final determination  Customs Tariff (Anti -Dumping) Act 
1975 – Wind Towers Exported from 
the People 's Republic of China and 
the Republic of Korea – Notice under 
subsection 8(5) of the Customs Tariff 
(Anti-Dumping) Act 1975  14 April 2014  16 April 2014  
4. Investigating 
authority report 
concerning expiry 
review of anti -
dumping duty  Customs Act 1901  – Part XVB – 
Report No. 487 – Inquiry into the 
Continuation of Anti -Dumping 
Measures Applying to Wind Towers 
Exported to Australia from the 
People 's Republic of China and the 
Republic of Korea  12 March 2019  27 March 2019  
5. Expiry review of 
anti-dumping duty 
determination  Anti-Dumping Notice No. 2019/33 – 
Customs Act 1901  – Part XVB – Wind 
Towers Exported from the People 's 
Republic of China and the Republic of 
Korea – Findings of the Continuation 
Inquiry into Anti -Dumping Measures 
– Notice under subsection 
269ZHG(1) of the Customs Act 1901  25 March 2019  27 March 2019  
6. Administrative 
review body report 
concerning expiry 
review of anti -
dumping duty 
determination  ADRP Report No. 100 – Wind Towers 
Exported from the People 's Republic 
of China and the Republic of Korea  6 April 2020  9 July 2020  
7. Administrative 
review of expiry 
review of anti -
dumping duty 
determination  Customs Act 1901  – Notice under 
section 269ZZM(4) – Wind Towers 
Exported from the People 's Republic 
of China and the Republic of Korea  8 July 2020  9 July 2020  WT/DS603/2  
 
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  A.2 Stainless steel sinks  
The specific legal instruments that imposed the duties with respect to stainless steel sinks, and other 
legal instruments that were subsequently published with respect to those instruments, are set out 
below. The measures at issue include those  specific legal instruments and all annexes, amendments, 
modifications, replacements, implementing acts or related measures in connection with those legal 
instruments.  
No. Procedure  Legal instrument  Date of 
instrument  Date of 
publication  
8. Investigating 
authority report 
concerning anti -
dumping duty and 
countervailing duty 
final determination  Customs Act 1901  - Part XVB - 
Report No. 238 - Alleged Dumping of 
Deep Drawn Stainless Steel Sinks 
Exported from the People 's Republic 
of China and Alle ged Subsidisation of 
Deep Drawn Stainless Steel Sinks 
Exported from the People 's Republic 
of China  19 February 
2015 26 March 2015  
9. Anti-dumping duty 
and countervailing 
duty final 
determination  Anti-Dumping Notice No. 2015/41 – 
Deep Drawn Stainless Stee l Sinks 
Exported from the People 's Republic 
of China - Findings in Relation to a 
Dumping and Subsidisation 
Investigation - Customs Act 1901  – 
Part XVB  26 March 2015  26 March 2015  
10. Anti-dumping duty 
final determination  Customs Tariff (Anti-Dumping) Act 
1975 – Deep Drawn Stainless Steel 
Sinks Exported from the People 's 
Republic of China – Notice pursuant 
to subsection 8(5) and 8(5BA) of the 
Customs Tariff (Anti -Dumping) Act 
1975 19 March 2015  26 March 2015  
11. Countervailing duty 
final determination  Customs Tariff (Anti -Dumping) Act 
1975 – Deep Drawn Stainless Steel 
Sinks Exported from the People 's 
Republic of China – Notice pursuant 
to subsection 10(3B) and 10(3D) of 
the Customs Tariff (Anti -Dumping) 
Act 1975  19 March 2015  26 March 201 5 
12. Investigating 
authority report 
concerning anti -
dumping duty 
review 
determination  Customs Act 1901  - Part XVB - 
Report No. 352 - Review of Anti -
Dumping Measures Applying to Deep 
Drawn Stainless Steel Sinks 
Exported to Australia from the 
People 's Repu blic of China by 
Shengzhou Chunyi Electrical 
Appliances Co. Ltd.  October 2016  21 November 2016  
13. Anti-dumping duty 
review 
determination  Anti-Dumping Notice No. 2016/107 – 
Customs Act 1901  – Part XVB – 
Certain Deep Drawn Stainless Steel 
Sinks Exported from the People 's 
Republic of China by Shengzhou 
Chunyi Electrical Appliances Co. Ltd - 
Findings in Relation to a Review of 
Anti-Dumping Measures – Notice 
under subsection 269ZDB(1)(a)(iii) 
of the Customs Act 1901  and 
subsections 8(5BA) and 10(3D) of 
the Customs Tariff (Anti -Dumping 
Act 1975  17 November 
2016 21 November 2016  WT/DS603/2  
 
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  No. Procedure  Legal instrument  Date of 
instrument  Date of 
publication  
14. Administrative 
review body report 
concerning anti -
dumping duty 
review 
determination  ADRP Report No. 49 - Certain Deep 
Drawn Stainless Steel Sinks 
Exported from the People 's Republic 
of China  27 February 
2017 6 April 2017  
15. Administrative 
review of anti -
dumping duty 
review 
determination  Customs Act 1901  – Notice under 
section 269ZZM(4) – Certain Deep 
Drawn Stainless Steel Sinks 
Exported from the People 's Republic 
of China  31 March 2017  6 April 2017  
16. Investigating 
authority report 
concerning anti -
dumping duty 
review 
determination  Customs Act 1901  - Part XVB - 
Report No. 459 - Review of Anti -
Dumping Measures Applying to Deep 
Drawn Stainless Steel Sinks 
Exported to Australia from the 
People 's Republic of China by 
Shengzhou Chunyi Electrical 
Appliances Co. Ltd.  April 2018  15 June 2018  
17. Anti-dumping d uty 
review 
determination  Anti-Dumping Notice No. 2018/75 – 
Customs  Act 1901  – Part XVB  – 
Certain Deep Drawn Stainless Steel 
Sinks Exported from the People 's 
Republic of China by Shengzhou 
Chunyi Electrical Appliances Co. Ltd 
– Findings in Relation to a Rev iew of 
Anti-Dumping Measures – Notice 
under subsection 269ZDB(1)(a)(iii) 
of the Customs Act 1901  14 June 2018  15 June 2018  
18. Investigating 
authority report 
concerning anti -
dumping duty 
review 
determination  Customs Act 1901  - Part XVB - 
Report No. 461 - Review of Anti -
Dumping Measures Applying to Deep 
Drawn Stainless Steel Sinks 
Exported to Australia from the 
People 's Republic of China by 
Guangdong Yingao Kitchen Utensils 
Co. Ltd.  September 2018  12 October 2018  
19. Anti-dumping duty 
review 
determination  Anti-Dumping Notice No. 2018/143 – 
Customs Act 1901  – Part XVB – 
Certain Deep Drawn Stainless Steel 
Sinks Exported from the People 's 
Republic of China by Guangdong 
Yingao Kitchen Utensils Co. Ltd – 
Findings in Relatio n to a Review of 
Anti-Dumping Measures – Notice 
under subsection 269ZCD(1)(a)(iii) 
of the  Customs Act 1901  and 
subsections 8(5), 10(3B) and 10(3D) 
of the Customs Tariff (Anti -Dumping) 
Act 1975  9 October 2018  12 October 2018  
20. Investigating 
authority report 
concerning expiry 
review of anti -
dumping duty and 
countervailing duty  Customs Act 1901  - Part XVB - 
Report No. 517 - Inquiry Concerning 
the Continuation of Anti -Dumping 
Measures Applying to Deep Drawn 
Stainless Steel Sinks Exported to 
Australia from the People 's Republic 
of China  February 2020  28 February 2020  WT/DS603/2  
 
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  No. Procedure  Legal instrument  Date of 
instrument  Date of 
publication  
21. Expiry review of 
anti-dumping duty 
and countervailing 
duty determination  Anti-Dumping Notice No. 2020/003 – 
Customs Act 1901  – Part XVB – 
Deep Drawn Stainless Steel Sinks 
Exported to Australia from the 
People 's Republic of China – Findings 
of the Continuation Inquiry No. 517 
into Anti -Dumping Measures - Public 
Notice under section 269ZHG(1) of 
the Customs Act 1901  and sections 
8(5), 8(5BA), 10(3B), and 10(3D) of 
the Customs Tariff (Anti -Dumping) 
Act 1975  27 February 
2020 28 February 2020  
22. Administrative 
review body report 
concerning expiry 
review of anti -
dumping duty and 
countervailing duty  ADRP Report No. 124 - Deep Drawn 
Stainless Steel Sinks Exported from 
the People 's Republic of China  5 June 2020  8 July 2020  
23. Administrative 
review of expiry 
review of anti -
dumping duty and 
countervailing duty 
determination  Customs Act 1901  – Notice under 
section 269ZZM(4) – Deep Drawn 
Stainless Steel Sinks Exported from 
the People 's Republic of China  3 July 2020  8 July 2020  
A.3 Railway wheels  
The specific legal instruments that imposed the duties with respect to railway wheels are set out 
below. The measures at issue include those specific legal instruments and all annexes, amendments, 
modifications, replacements, implementing acts or related measures in connection with those legal 
instruments.  
No. Procedure  Legal instrument  Date of 
instrument  Date of 
Publication  
24. Investigating 
authority report 
concerning anti -
dumping duty final 
determination  Customs Act 1901  - Part XVB - Report 
No. 466 - Alleged Dumping of Certain 
Railway Wheels Exported from the 
People 's Republic of China and France  1 March 2019  16 July 2019  
25. Anti-dumping duty 
final determination  Customs Act 1901  – Part XVB – Certain 
Railway Wheels Exported from the 
People 's Republic of China and France – 
Findings in relation to a dumping 
investigation (Investigation No. 466) – 
Public notice under subsections 
269TG(1) and (2) of the Customs Act 
1901 – Anti-Dumping  Notice (ADN) 
2019/30  12 July 2019  16 July 2019  
26. Anti-dumping duty 
final determination  Customs Tariff (Anti -Dumping) Act 1975 
– Certain Railway Wheels Exported from 
the People 's Republic of China and 
France – Notice pursuant to subsection 
8(5) of the  Customs Tariff (Anti -
Dumping) Act 1975  12 July 2019  16 July 2019  
 
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