REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL 42nd Annual Report from the Commission to the European Parliament and the Council on the EU’s Anti-Dumping, Anti-Subsidy and Safeguard activities and the Use of Trade Defence Instruments by Third Countries targeting the EU in 2023
Date: 2024-09-24
Institutions: Directorate-General for Trade and Economic Security, European Commission
Subjects: activity report, anti-dumping measure, anti-subsidy proceeding, countervailing charge, import (EU), import restriction, originating product, surveillance concerning imports, third country, trade dispute

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 24.9.2024  COM(2024) 413 final  REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL 42nd Annual Report from the Commission to the European Parliament and the Council on the EU’s Anti-Dumping, Anti-Subsidy and Safeguard activities and the Use of Trade Defence Instruments by Third Countries targeting the EU in 2023        {SWD(2024) 221 final}  
 
 
EXECUTIVE SUMMARY 

This  is  the  42nd  Report  on  the  European  Union’s  (EU)  trade  defence  activity.  It  covers  the 
EU’s  anti-dumping,  anti-subsidy  and  safeguard  activities,  third  countries’  trade  defence 
activities with respect to goods imported from the EU and the Hearing Officer’s activities in 
2023.  It  is  accompanied  by  a  Commission  staff  working  document  providing  more  detailed 
information and statistics. 

In 2023, the EU initiated more than twice as many new cases as in 2022. The figure is closer 
to  the  pre-2022  average.  One  new  case  in  2023  involved  an  anti-subsidy  investigation  into 
battery  electric  vehicles  from  China  launched  by  the  Commission  on  its  own  initiative  in 
response to the threat of economic injury. 

As a result of the EU’s continued robust approach to  addressing unfair trade, 182 measures 
were  in  place  at  the  end  of  2023,  protecting  almost  half  a  million  direct  jobs.  The 
effectiveness  of  these  measures  relies  on  proper  enforcement  to  ensure  they  achieve  the 
desired  impact.  Therefore,  the  Commission  continues  to  prioritise  monitoring  and  action 
where  exporters  try  to  evade  duties.  In  2023,  4  measures  were  investigated  where 
circumvention was suspected and 2 other measures were extended to other countries to deal 
with  transhipment  practices.  Over  a  fifth  of  the  current  measures  tackle  circumvention 
practices, thus reflecting the Commission’s robust response to the problem. 

The increase in new investigations initiated by the EU in 2023 was mirrored by an increase in 
third-country cases opened against the EU or its Member States. In 2023, 20 such cases were 
initiated, up from 7 in 2022. This poses a challenge for the EU exporters concerned, which is 
compounded  by  a  worrying  increase  in  the  use  of  safeguards  by  some  of  the  EU’s  trading 
partners.  An  important  part  of  the  work  of  the  EU  trade  defence  services  is  to  guide  and 
support  exporters  and  highlight  weaknesses  in  these  third-country  investigations  to  ensure 
continued access to third countries’ markets. In 2023, the Commission successfully intervened 
in  2  safeguard  investigations,  1  in  Morocco  which  was  terminated  and  the  other  in  India 
where no restrictions have been recommended on imports from the EU. 

The  report  also  focuses  on  small  and  medium-sized  enterprises  (SMEs)  and  how  the 
Commission helps this important economic group to navigate the trade defence instruments. 
SMEs  have  been  disproportionately  affected  by  the  sequence  of  crises  over  the  past  years: 
from  Covid,  Russia’s  military  aggression  against  Ukraine,  the  energy  crisis  and  the  rise  in 
inflation.  SMEs  still  face  volatility  and  are  more  vulnerable  to  supply  constraints,  labour 
shortages,  but  also  unfair  competition  distorting  the  level  playing  field.  The  Commission  is 
committed to ensuring that SMEs have the same access to and possibility to benefit from the 
trade  defence  instruments  as  larger  companies.  Trade  defence  measures  have  a  significant 
impact on SMEs, with the anti-dumping measures on ceramic tiles alone protecting over 100 
000 jobs. 

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Lastly, the report highlights some of the major challenges, developments and achievements in 
the area of trade defence over the last 5 years. 

I 

1. 

APPLICATION OF TRADE DEFENCE INSTRUMENTS (TDI) IN 2023 

INVESTIGATIVE ACTIVITY 

1.1. 

General overview 

At  the  end  of  2023,  the  EU  had  182  definitive  trade  defence  measures  in  force,  including 
120 definitive  anti-dumping  measures  (extended  in  36  cases  following  anti-circumvention 
investigations),  21  anti-subsidy  measures  (extended  in  4  cases  following  anti-circumvention   
investigations)  and  1  safeguard  measure.  There  were  5  more  such  measures  than  in  2022, 
protecting around 493 000 direct jobs in the EU. 

In 2023, 91 investigations were carried out, a similar number to previous years (99 in 2022). 
These  included  21  original  investigations  and  70  reviews.  At  the  end  of  2023,  39 
investigations were ongoing. 

This  report is  accompanied by a Commission  staff  working document  which provides  more 
information and statistics and includes annexes for the sections below. 

1.2. 

Anti-dumping (AD) and anti-subsidy (AS) investigations (see Annexes A to I) 

In 2023, the Commission initiated 12 investigations (10 AD and 2 AS), marking a return to 
pre-2022 period. In 2022, for reasons outlined in last year’s report, the Commission initiated 
the exceptionally low number of 5 new AD and AS investigations.  

Although  investigations  are  normally  based  on  complaints  from  industry,  in  2023,  the 
Commission  exceptionally  initiated  an  investigation  on  its  own  initiative.  This  concerned 
imports  of  battery  electric  vehicles  (BEVs)  from  China.  The  Commission  had  collected 
evidence showing the existence of a large range of Chinese subsidies, as well as a threat of 
injury to the EU BEV industry due to a massive increase in Chinese overcapacities. There was 
also evidence of rapidly growing low-priced and subsidised imports of BEVs into the EU. 

The number of reviews initiated dropped from 41 in 2022 to 31 in 2023. These included 10 
expiry  reviews  of  existing  measures  and  interim  reviews  to  revise  or  adjust  the  level  of  the 
measures  in  place.  The  drop,  particularly  in  expiry  reviews,  is  linked  to  the  fact  that  fewer 
measures were due to expire in 2023 than in previous years. 

In total, 43 new and review AD and AS investigations were initiated, which is broadly in line 
with annual levels of activity over the last 5 years. 

The  Commission  imposed  provisional  duties  in  5  AD  investigations  and  concluded  6  AD 
investigations by imposing definitive duties. The Commission terminated 1 AS investigation 
(fatty  acid)  without  imposing  measures  as  the  complaint  was  withdrawn.  However,  it 

2 

 
 
 
  
 
continued the AD investigation into the same product since termination was not in the EU’s 
interest. In 2023, 23 expiry reviews were concluded with the duty being confirmed. Two AD 
measures expired automatically at the end of the 5-year period of imposition. 

2019 - 2023 TDI Activity

45

40

35

30

25

20

15

10

5

0

2019

2020

2021

2022

2023

New investigations

Reviews

Definitive measures

1.3. 

Safeguard investigations 

Two safeguard measures were examined in 2023. 

The  Commission  carried  out  a  review1  of  the  safeguard  measure  which  the  EU  imposed  on 
imports of certain steel products in 2019 with the view to assess whether an early termination 
of  the  measure  was  warranted.  The  review  showed  that  the  import  pressure  remained  high: 
EU  market  continued  to  be  attractive  for  exporting  countries  both  in  terms  of  volume  and 
prices, and that there was  still a high level  of import penetration in  the  EU market. Imports 
had increased from 2021 to 2022, despite a reduction in consumption. Global overcapacity in 
the sector continued to rise and exporting countries had not found other outlets to compensate 
for the trade volumes lost in the US and EU markets since 2018 and therefore the risk of trade 
diversion  was  still  relevant/present.  The  Commission  therefore  concluded  that  an  early 
termination of the safeguard measure by 30 June 2023 would   have jeopardised the EU steel 
industry and its economic situation. On the basis of import data from the previous year, the 
Commission also updated the list of developing countries subject to, and excluded from, the 
measure.  Other  amendments  were  made  to  the  steel  safeguard  measure  to  facilitate  trade 
flows of certain products between Great Britain and Northern Ireland2. 

1 Commission Implementing Regulation (EU) 2023/1301 of 26 June 2023 amending Commission Implementing 
Regulation (EU) 2019/159 imposing a definitive safeguard measure on imports of certain steel products (OJ L 
161, 27.6.2023, p. 44). 
2 Commission Implementing Regulation (EU) 2023/1331 of 29 June 2023 amending Implementing Regulation 
(EU)  2019/159  imposing  a  definitive  safeguard  measure  on  imports  of  certain  steel  products  (OJ  L  166, 
30.6.2023, p.98) and Regulation (EU) 2020/2170 of the European Parliament and of the Council of 16 December 
2020 on the application of Union tariff rate quotas and other import quotas (OJ L 432, 21.12.2020, p. 1). 

3 

 
 
 
 
 
 
In January 2023, the Commission  opened a review to  implement  a General  Court judgment 
regarding  the  bilateral  safeguard  measure  imposed  in  20193  on  imports  of  Indica  rice  from 
Cambodia  and  Myanmar  under  the  Generalised  Scheme  of  Preferences.  The  review  was 
concluded in March 2024 with the re-imposition of the safeguard measure. 

1.4. 

Verifications in investigations 

To  ensure  sound  decision-making  and  a  correct  outcome,  it  is  crucial  that  the  information 
used in the trade defence investigations is accurate and complete. 

In 2023, the Commission verified data from 136 companies, 78 within the EU and 58 in third 
countries. Most of these verification exercises took place on site at the companies, with only 
15 companies’ data being verified remotely – a process which had been introduced in 2020 to 
cope with COVID-19 travel restrictions. 

2. 

 EFFECTIVE APPLICATION AND ENFORCEMENT OF TDI 

2.1.  Monitoring, surveillance and enforcement of measures (see Annexes J, K, M, Q) 

Ensuring  the effectiveness  of trade defence measures continues to  be a high priority for the 
Commisssion. It therefore monitors the impact of anti-dumping and countervailing duties on 
import  flows  and  takes  prompt  action  where  measures  are  being  circumvented  or  duties 
evaded. This monitoring strengthens the EU’s trade defence policy by ensuring that measures 
in  place  are  respected  and  ultimately  achieve  their  intended  purpose.  The  ultimate  aim  of 
monitoring is to combat circumvention and absorption practices4, including fraud. 

Circumvention is defined as a change in the pattern of trade between third countries and the 
EU  that  stems  from  a  practice,  process  or  work  for  which  there  is  insufficient  cause  or 
economic  justification,  other  than  the  imposition  of  the  duty.  Unchecked,  it  erodes  the 
effectiveness  of  trade  defence  and  weakens  the  impact  of  remedies,  making  it  harder  for 
countries to address and rectify unfair trade practices. 

the  Commission  has  been  confronted  with 

In  recent  years, 
increasingly  complex 
circumvention practices. More basic schemes such as the ‘screwdriver assembly’ of parts or 
the mere transhipment of goods through third countries are used less often. They are giving 
way to assembly processes that require some level of industrial activity that may change the 
nature  of  the  product  while  adding  very  limited  value  to  the  final  goods.  These  are  then 
imported into the EU evading the payment of the previously imposed duty. 

3 The measure expired in January 2022. 
4 This is when exporters decrease their prices to overcome or ‘absorb’ the duties.  

4 

 
 
 
 
 
 
 
 
 
 
Monitoring  involves  continuously  analysing  trade  flows,  taking  into  account  all  necessary 
factors to interpret market developments following the imposition of measures. 

One  aspect  which  is  closely  monitored  is  where  lower  or  zero  duty  rates  for  specific 
exporters,  granted  on  the  basis  of  individual  circumstances,  open  up  possibilities  for 
fraudulent  operators  to  evade  duties  through  channelling5.  These  risks  are  countered  by 
special monitoring provisions. In 2023, such clauses were included in all regulations imposing 
definitive measures with different individual duty rates, bringing the total number of measures 
with a special monitoring clause to 62. 

If the Commission has sufficient evidence, either from its own monitoring activities or from 
industry,  that  measures  are  being  circumvented,  it  will  open  an  anti-circumvention 
investigation. 

In  2023,  the  Commission  initiated  anti-circumvention  investigations  into  four  measures 
targeting transshipment and assembly operations: 

•  AS  measures  on  imports  of  biodiesel  from  Indonesia  via  China  and  the  United 

Kingdom; 

•  AD measures on imports of plywood from Russia via Türkiye and Kazakhstan; and 
•  AD  and  AS  measures  on  imports  of  stainless-steel  cold-rolled  flat  products  from 

Indonesia via Taiwan, Türkiye and Vietnam. 

The  Commission  concluded  two  anti-circumvention  investigations  in  2023  concerning  anti-
dumping measures on stainless-steel hot-rolled flat products (SSHR) originating in Indonesia 
and on certain stainless-steel tube and pipe butt-welding fittings originating in China. In both 
cases  the  Commission  found  that  the  measures  were  being  circumvented  via  operations  in 
other countries. In the SSHR case, the measures were extended to imports from Türkiye and 
in the steel tube and pipe fittings case, the measures were extended to imports from Malaysia. 

In 2023, the Commission also concluded an anti-absorption investigation into the measures on 
optical fibre cables originating in China, which resulted in a significant increase in the duties 
imposed. 

In  addition  to  the  anti-circumvention  and  anti-absorption  actions  described  above,  the 
Commission  also  alerts  customs  authorities  and  EU  industry  associations  to  cases  where 
problems  could  arise.  Thus,  it  encourages  them  also  to  monitor  and  check  trade  flows, 
imported  consignments  and  provide  feedback.  This  is  bolstered  by  close  cooperation  with 
enforcement  authorities  (European  Anti-Fraud  Office  (OLAF)  and  Member  States’ 
authorities). 

5 Selling the product to an exporting producer who is either not subject to anti-dumping measures or is subject to 
a lower duty, who then exports the product. 

5 

 
 
 
 
 
 
 
 
 
 
In  2023,  the  Commission  continued  to  monitor  the  undertakings  it  had  accepted  from 
exporting  producers  of  citric  acid  in  China  and  of  biodiesel  in  Argentina  to  ensure  that  the 
exporters complied with their obligations and that the duty suspensions granted to them were 
indeed  justified.  However,  early  in  2024,  the  Commission  withdrew  its  acceptance  of  the 
undertakings  on  citric  acid  owing  to  a  breach  of  the  conditions  and  trust,  and  the  exporters 
were made subject to the anti-dumping duty. 

The  ex-post  monitoring  system  on  steel  and  aluminium  imports  continued  in  2023  with  the 
data  published  monthly  on  the  trade  section  of  the  Commission  website6.    This  monitoring 
provides information on import flows of products covered by the US Section 232 measures.   

2.2. 

Judicial review by EU Courts (Annex S) 

In 2023, the General Court and the Court of Justice  issued 25 judgments  and orders in TDI 
cases.  The  General  Court  handed  down  14  rulings  whereas  the  Court  of  Justice  decided  on 
10 appeals  (of  which  one  concerned  an  application  to  intervene)  and  one  request  for  a 
preliminary ruling. In 2023, 18 new court proceedings for TDI cases were lodged – 9 before 
the General Court and 9 before the Court of Justice. 

Several important topics were addressed by the jurisprudence in 2023 which are described in 
the  staff  working  document.  Two  particularly  notable  issues  which  were  subject  to  judicial 
review for the first time, and confirmed by the Court, were: how the Commission deals with 
the attribution of cross-border financial contributions in anti-subsidy investigations; and, the 
methodology for calculating dumping in cases involving imports from countries where there 
are State induced distortions in the economy - i.e., Article 2(6a) of the basic AD Regulation7. 
Other  claims  which  arose  in  the  court  cases  included:  the  consequences  of  violating 
undertakings; price effects, undercutting and underselling (injury margin8); the definition of a 
representative association of importers or exporters and the analysis of significant distortions 
and  the  initiation  of  expiry  reviews.  The  Commission  prevailed  in  all  the  issues  mentioned 
except for the latter which is under appeal.  

3. 

SOCIAL AND ENVIRONMENTAL STANDARDS IN TDI 

Changes to the EU’s trade defence legislation in 2017 and 2018 reflect the EU’s commitment 
to high social and environmental standards. 

With  the  introduction  in  2017  of  the  dumping  calculation  methodology  for  where  state 
interference  significantly  distorts  the  market,  an  appropriate  representative  country  must  be 

6 Steel and Aluminium Monitoring (europa.eu) 
7  Regulation  (EU)  2016/1036  of  the  European  Parliament  and  of  the  Council  of  8  June  2016  on  protection 
against dumped imports from countries not members of the European Union 
8 Difference between import prices with the cost of production of the EU industry and a reasonable profit margin 

6 

 
 
 
 
 
 
 
selected to establish an undistorted normal value. Where there is more than one country with 
suitable data available, the Commission may take into account differences in levels of social 
and  environmental  protection  in  the  countries  proposed  when  selecting  the  representative 
country. 

In 2023, in two anti-dumping cases where the significant distortions methodology was used, 
the issue of social and environmental standards did not come into play in the selection process 
of a  representative  country.  In both  cases, only  one  potential representative country had the 
appropriate available data.  

The  legislative  changes  made  in  June  2018  to  modernise  trade  defence  introduced  further 
instances  where  investigations  take  social  and  environmental  considerations  into  account 
when  calculating  an  injury  margin.  Specifically,  EU  industry’s  costs  of  production  can 
include the cost of compliance with multilateral environmental agreements and International 
Labour  Organisation  Conventions  during  the  lifetime  of  any  measures.  For  instance,  they 
include  the  additional  future  cost  to  ensure  compliance  with  the  EU  Emissions  Trading 
System, which is a cornerstone of the EU’s policy to comply with multilateral environmental 
agreements.  In  each  case,  the  additional  cost  to  EU  producers  was  based  on  the  estimated 
price of the  EU  Allowances which would have  to  be purchased during the period when the 
measures  were  in  place.  These  costs  featured  in  the  following  5  (out  of  a  total  of  6)  anti-
dumping cases that ended in 2023 with the imposition of definitive measures: aluminium road 
wheels  (Morocco),  fatty  acid  (Indonesia),  ceramic  tiles  (India/Türkiye)  and  polyester  yarn 
(China). The addition of these costs increased the non-injurious prices9 and hence the injury 
margins. However, in all the cases, the measures imposed were not directly affected because 
they were based on dumping margins10. There is an impact on the final level of measures only 
where the duties imposed are based on injury margins. 

4. 

ACTIVITIES OF THE HEARING OFFICER 

The role of the Hearing Officer is to ensure that interested parties affected by procedures or 
measures  under  EU  legislation  concerning  international  trade  can  effectively  exercise  their 
procedural  rights,  such  as  the  right  to  be  heard.  In  2023,  the  Hearing  Officer  received 
16 requests to intervene, of which 15 concerned trade defence proceedings (13 requests from 
exporting  producers  and  2  from  EU  users), including  3  requests  for  the  extension  of  the 
deadline for comments. The main issues raised in the requests concerned additional disclosure 
or objections to the facts and findings. In 2 cases, the interested parties raised issues outside 
the mandate of the Hearing Officer, such as immediate termination of the investigation, and 
granting  a  company  the  status  of  interested  party.  In  another  case,  the  interested  party 
withdrew  their  request,  and  in  a  few  cases  the  Hearing  Officer  received  requests  that  were 
essentially addressed to the departments responsible for the investigation. 

9  The  price  which  the  industry  is  expected  to  have  charged  under  normal  circumstances  i.e.  in  the  absence  of 
dumped or subsidised imports 
10 The rate of duty is based on the dumping margin, unless a lower rate would remove the injury 

7 

 
 
 
No  hearings  were  held  in  2023  due  to  the  Hearing  Officer’s  established  practice  of  asking 
interested  parties  to  raise  their  concerns  first  with  the  Commission  departments  responsible 
for  the  investigation,  rather  than  granting  a  hearing  immediately.  In  2023,  the  interested 
parties  succeeded  in  resolving  their  concerns  directly  with  the  investigation  teams.  The 
Hearing  Officer  followed  the  resolution  process  closely  and  remained  at  the  disposal  of  the 
interested parties. 

The Hearing Officer found that the parties’ procedural rights had been respected in all cases. 

In  conclusion,  during  2023,  there  was  exemplary  cooperation  between  the  Hearing  Officer 
and the TDI services. 

5. 

DEALING WITH TRADE DEFENCE ACTIVITY AGAINST THE EU 

As  one  of  the  world's  leading  exporters,  the  EU  is  often  the  target  of  trade  defence 
investigations  by  third  countries.  While  the  right  to  use  trade  defence  instruments  in 
accordance with WTO rules is not disputed, investigations by third countries  can sometimes 
fall short of the required standards. Measures imposed following such investigations become a 
serious and unjustified obstacle for the EU industry to access third-country markets. 

The Commission therefore regularly monitors investigations carried out by third countries and 
intervenes to support EU industry or Member States. The Commission's interventions aim to 
minimise the negative impact that unjustified or unfair trade defence measures may have on 
EU companies in export markets. 

When a third country initiates a TDI investigation against the EU, the Commission intervenes 
where  appropriate  to  challenge  procedures  or  allegations  that  may  not  comply  with  WTO 
rules. On average, the Commission will intervene in around 50 cases a year, through written 
submissions  to  investigating  authorities  and  by  participating  in  hearings  to  ensure  that  the 
rights and interests of EU exporters are respected. 

On  several  occasions,  the  Commission's  interventions  have  resulted  in  a  more  favourable 
outcome  for  EU  exporters  than  may  otherwise  have  been  the  case.  The  Commission's 
accomplishments in 2023 are described in the accompanying staff working document, some 
examples are provided below. 

• 

• 

intervened 

In October 2022, Morocco initiated a safeguard investigation into imports of inner tubes 
for bicycles, velocipedes, motorcycles and scooters, potentially impacting EU exports of 
immediately,  highlighting 
around  EUR  2  million.  The  Commission 
shortcomings  in  the  initiation  as  well  as  in  the  injury  and  causality  analysis.  On  3 July 
2023, Morocco decided to terminate the investigation without imposing measures. 
In  October  2022,  India  initiated  a  safeguard  investigation  on  imports  of  polyvinyl 
chloride. The Commission strongly defended EU exports worth EUR 48 million, made a 
written  submission  and  participated  in  a  public  hearing.  In  May  2023,  India  issued 
findings recommending the imposition of quantitative restrictions on imports from China, 
the US, Taiwan and Russia. No restrictions were recommended to be imposed on imports 
from the EU. The investigation is still ongoing. 
8 

 
 
 
•  The Commission also intervened in 2023 in an anti-dumping investigation on ammonium 
nitrate  from  Lithuania  initiated  by  the  Australian  Anti-Dumping  Commission  in  June 
2022. The EU economic interest was around €5 million.  The investigation was terminated 
in August 2023, owing to lack of injury.   
In February 2023, the US initiated an anti-dumping investigation on tin mill products from 
Germany and the Netherlands. The economic interest in the case was very significant at 
€1 billion, higher than in any other US trade defence case against the EU or its Member 
States.  The  Commission  was  very  active  in  the  investigation  and  in  January  2024,  the 
investigation was officially terminated.  

• 

At the end of 2023, there were 176 trade defence measures in force affecting EU exports, 6 
more  than  in  2022.  The  total  number  of  measures  in  force  has  started  to  rise  again,  after 
falling  briefly  to  170  in  2022.  AD  remains  the  most  used  trade  defence  instrument.  There 
were 127 AD measures, 42 safeguard (SFG) measures and 7 AS measures in 2023, compared 
to 126 AD, 37 SFG and 7 AS measures in 2022. 

The  US  remains  the  most  frequent  user  of  TDIs  against  EU  exports,  with  38 measures  in 
force. It is followed by China and Türkiye with 18 measures each, while Brazil and Indonesia 
have 11 measures each. Other active users of TDIs are Canada, with 9 definitive measures in 
place,  followed  by  Australia,  Madagascar,  and  South  Africa,  each  with  7  measures  in  force 
against EU exports in 2023. 

In  2023,  20 new  investigations  were  initiated  against  the  EU/Member  States,  a  significant 
increase on 2022, when there were only 7, one of the lowest numbers in the last decade. New 
SFG investigations accounted for 60% of new cases (12 of 20 cases), while the other 8 were 
AD  investigations.  Indonesia  and  Madagascar  stand  out  as  having  initiated  a  significant 
number of new SFG investigations in the past year, with 5 and 4 investigations respectively. 

A  similar  trend  has  been  observed  in  the  imposition  of  new  measures.  Out  of  11  new 
measures affecting EU exports imposed in 2023, 7 were SFG and the rest AD. This compares 
to 12 measures imposed in 2022, only 2 of which were SFG, with the rest being AD. In 2023, 
Madagascar alone introduced 3 new SFG measures. 

This increase in the use of safeguard investigations is particularly worrying given that under 
the WTO rules, safeguard measures apply to imports from all origins, as opposed to targeting 
only  origins  where  unfair  trading  conditions  are  present.  This  makes  safeguards  the  most 
restrictive of all trade remedies, and they should be used only in response to an import surge 
caused by an unforeseen development and when strict criteria are met. The Commission has 
intervened in all cases where systemic problems and deficiencies have been identified. 

6. 

WTO-RELATED ACTIVITIES 

Twice  yearly,  in  spring  and  autumn,  the  WTO  hosts  meetings  of  the  Subsidies  and 
Countervailing,  Anti-dumping  and  Safeguards  Committees.  In  connection  with  the  Anti-

9 

 
 
 
 
 
 
 
 
dumping Committee, the WTO also hosts working groups on implementation where members 
share  their  practical  approach  to  such  investigations.  There  are  also  informal  sessions  for 
‘Friends of Safeguards Investigations’. In addition, in May 2023, the WTO hosted a workshop 
for the heads of investigating authorities. 

These  meetings  give  WTO  members  the  opportunity  to  monitor  the  implementation  of  the 
agreements  by  investigating  authorities  and  provide  a  forum  for  exchanging  views  and 
concerns on trade defence  cases. The EU plays  an active part in  all the  committees, raising 
issues of concern and defending its own actions. 

In the AD Committee, the EU raised concerns about the US investigation on tin mill products 
from  Germany  and  the  Netherlands,  among  other  countries  (the  investigation  against  the 
Netherlands  was  terminated  in  January  2024).  The  EU  highlighted  the  lack  of  evidence  of 
dumping  and  argued  that  the  case  was  tantamount  to  a  safeguard  investigation  covering 
almost  all  imports  into  the  US.  The  EU  defended  its  actions  against  criticisms  levelled  by 
other  members  in  some  cases,  including  cases  involving  bulb  flats  from  Türkiye,  fatty  acid 
from Indonesia and ductile tubes and pipes from India. It also rebutted unfounded criticisms 
from China regarding the long duration of some measures. 

The EU participated in the Anti-dumping Working Group on Implementation which was held 
only once in 2023. The discussion centred around price analysis and assessment of the causes 
of injury in AD investigations. 

Under  the  WTO  Agreement  on  Subsidies  and  Countervailing  Measures  (ASCM),  subsidy 
notifications,  which are  made every second year, were due in  2023.  The WTO Secretariat’s 
update  on  notifications  showed  that  just  over  a  third  of  members  had  complied  with  their 
notification  obligations  under  the  ASCM.  The  Commission  submitted  the  EU’s  subsidy 
notification covering subsidies granted at EU level as well as those of the Member States. The 
EU pushed for greater compliance with notification obligations. To help other WTO members 
in this exercise, the Commission participated in an event organised by the WTO Secretariat in 
June 2023 on how to make a subsidy notification. 

In  the  regular  Committee  on  Subsidies  and  Countervailing  Measures,  the  EU  defended  its 
decision  to  open  an  anti-subsidy  investigation  into  battery  electric  vehicles  from  China  in 
response  to  China’s  criticisms.  The  EU  raised  the  issue  of  China’s  decision,  following  an 
expiry review, to continue measures on potato starch from the EU, despite the subsidies being 
neither specific nor actionable. Committee members also discussed the impact of subsidies in 
creating overcapacities and the effects on developing countries. 

In  the  Safeguards  Committee,  several  countries  criticised  the  proliferation  of  safeguard 
measures  globally  and  the  fact  that  they  are  imposed  for  long  periods  with  extensions 
becoming the default. Also, concerns were raised that safeguard measures are often imposed 
concurrently  with  AD,  CVD  and  other  unilateral  measures  on  the  same  product.  The  EU 
defended its steel safeguard in the face of criticism from several countries who argued that the 
measure  should  have  been  terminated  and  not  extended.  The  EU  raised  concerns  about  the 
general safeguard practices of other members, particularly Indonesia’s worrying tendency to 
overuse  and  misuse  the  instrument,  with  poor  standards  of  initiation,  disclosure  and 

10 

 
 
transparency. No consensus was reached on a US proposal to transfer the informal ‘Friends of 
Safeguard Investigations’ group to the Committee due to India's opposition. 

In May 2023, the WTO hosted the workshop for the heads of investigating authorities which 
is designed to bring together decision-making officials for an open exchange of information, 
ideas, and best practices. There were discussions on topics such as developments in legislation 
and practice, challenges related to resources & training, conducting investigations during the 
pandemic, as well as administrative, arbitral and judicial reviews. 

In June 2023, the EU, on behalf of the 27 Member States, accepted the WTO Agreement on 
Fisheries Subsidies which had been concluded at the 12th Ministerial Conference the previous 
year. The Agreement will enter into force once two thirds of WTO members have accepted it. 
WTO  negotiations  continued  on  the  outstanding  issues  to  achieve  a  comprehensive 
agreement. 

Also in 2023, the EU and other like-minded WTO members continued subsidies-related work 
strands  under  the  WTO  Fossil  Fuel  Subsidy  Reform  initiative11  and  under  the  Trade  and 
Environmental Sustainability Structured Discussions12. 

In 2023, trilateral cooperation with the US and Japan continued to focus on tackling market-
distortive  policies  and  practices,  including  subsidies  that  currently  are  not  sufficiently 
addressed by WTO rules. The partners also concentrated on identifying specific examples and 
exchanging  information  on  non-market  behaviour  across  various  sectors,  and  on  potential 
tools to address the identified practices. 

II  

SMES AND TDIS 

Small and medium-sized enterprises (SMEs) are the backbone of the European economy. The 
24 million SMEs in the EU account for 99% of all EU businesses, provide two thirds of jobs 
in the private sector in the EU and are deeply embedded in local communities. They account 
for more than half of value added in the EU’s non-financial business sector and are Europe’s 
breeding ground for innovation, diversity and equality. SMEs are essential to the EU’s green 
and digital transitions and its long-term prosperity13. 

For  these  companies,  a  level  playing  field  is  particularly  important  as  they  are  especially 
vulnerable  to  the  harmful  effects  of  unfair  competition.  Generally,  though  not  always,  they 
have  less  experience,  knowledge  and  resources  when  it  comes  to  participating  in  trade 
defence investigations. 

11 Fuel Fossil Subsidy Reform - WTO 
12 Trade and Environmental Sustainability - WTO 
13 Annual Report on European SMEs 2023 

11 

 
 
 
 
 
 
 
 
 
Yet, at the same time, SMEs are subject to the same rights and obligations in trade defence 
investigations as larger companies since the legal requirements are the same, regardless of the 
size  of  the  company.  These  include  the  level  of  evidence  required  in  a  complaint,  the 
deadlines  for  replying  to  questionnaires  or  submitting  information,  access  to  files, 
cooperation, etc. In view of SMEs’ limited resources and capacity, the Commission has tried 
to  find  practical  ways  of  minimising  any  difficulties  they  may  encounter  in  using  trade 
defence. 

The  importance  of  helping  SMEs  to  access  the  TDIs  was  formally  acknowledged  in  2018 
when  the  TDIs  were  modernised  and  the  European  Parliament  and  the  Council  included 
specific  references  in  the  basic  Anti-Dumping  Regulation14  (Article  5(1a))  and  the  Anti-
Subsidy Regulation15 (Article 10(1a)). 

Information for SMEs 

As early as 2004, a Trade Defence Helpdesk for SMEs was set up to address SMEs’ questions 
of a general or a case-specific nature. Since then, many such companies have used this service 
and, in 2018, the SME Helpdesk was upgraded and given official status in the modernisation 
exercise. 

At  the  same  time,  the  Commission  published  a  guide  on  the  TDIs  aimed  specifically  at 
SMEs16  on  a  dedicated  SME  web  page17,  which  was  also  launched  in  June  2018.  The  web 
page helps these companies navigate the system, not only within the EU, but also if they are 
affected by trade defence investigations in third countries. 

The European Court of Auditors praised these initiatives in its audit report on the EU’s TDIs 
in  202018.  However,  the  report  urged  the  Commission  to  go  further  and  ‘Raise  awareness 
about  trade  defence  instruments  […]  paying  particular  attention  to  the  specific  needs  of 
SMEs’.  In  2021,  the  Commission  acted  on  that  recommendation  by  developing  and 
publishing  a  detailed  seven-module  guide  to  trade  defence  investigations,  which  it  made 
available online in all official EU languages19 in 2022. 

The  various  guides  have  been  complemented  by  training  and  information  sessions  provided 
directly  to  SMEs,  be  they  producers,  users  or  importers,  through  Market  Access  Days  in 
France, Croatia, Italy and Estonia  as well as online to ensure wider outreach across the EU. 
These  sessions,  which  were  held  more  frequently  in  2023,  were  often  some  SMEs’  first 

14  Regulation  (EU)  2016/1036  of  the  European  Parliament  and  of  the  Council  of  8  June  2016  on  protection 

against dumped imports from countries not members of the European Union 

15  Regulation  (EU)  2016/1037  of  the  European  Parliament  and  of  the  Council  of  8  June  2016  on  protection 
against subsidised imports from countries not members of the European Union  
16 TDI, trade defence instruments, anti-dumping & anti-subsidy - Publications Office of the EU (europa.eu)   
17 Help for SMEs - European Commission (europa.eu) 
18  Special  Report  17/2020:  Trade  defence  instruments:  system  for  protecting  EU businesses  from  dumped  and 

subsidised imports functions well | European Court of Auditors (europa.eu) 

19 Trade defence - Library (europa.eu) 

12 

 
 
 
 
encounter  with  trade  defence.  Member  States  have  been  encouraged  to  inform  their  SMEs 
about  these  information  sessions  to  step  up  outreach  to  the  SMEs  and  raise  their  awareness 
about the possibilities and opportunities under TDIs available to them. 

Practical assistance for SMEs in investigations 

The  Commission  supports  EU  industry,  including  when  consisted  of  SMEs,  at  all  stages  of 
trade  defence  investigations.  Lodging  complaints  can  be  a  challenging  exercise  for  these 
companies  and  the  recently  updated  guide  in  all  official  EU  languages  provides  useful 
assistance in this regard20. The Office of Complaints in the Trade Defence Services can also 
guide  SMEs  through  the  process.  For  instance,  in  2022,  the  Commission  opened  an  anti-
dumping investigation into imports of steel bulb flats from China and Türkiye. The producers 
of this product in the EU are exclusively SMEs, and the complaint was prepared by a single 
SME producer under the guidance of the Office of Complaints. That investigation resulted in 
measures being imposed in early January 2024. 

In  conducting  investigations,  the  Commission,  where  possible,  aligns  investigation  periods 
with financial years. This helps SMEs by reducing the burden and complexity in replying to 
questionnaires.  The  Commission  also  helps  SMEs  in  completing  these  questionnaires 
necessary for conducting the investigation. 

In  investigations  where  sampling  is  required,  and  where  an  industry  is  fragmented  and 
comprised of SMEs, the Commission ensures that the sample is representative of all company 
sizes.  Furthermore,  the  composition  of  an  industry  is  acknowledged  in  injury  analysis.  For 
instance,  in  2023,  the  Commission  imposed  definitive  anti-dumping  duties  on  ceramic  tiles 
from  India  and  Türkiye.  It  took  into  account  the  fragmentation  of  the  EU’s  ceramic  tiles 
industry, which is made up of over 300 companies of which around 240 are SMEs. Therefore, 
some  injury  data  were  weighted  to  ensure  that  the  results  of  large  producers  were  not 
overrepresented  in  the  findings  on  injury  and  that  the  situation  of  small  and  medium-sized 
producers was properly taken into account. 

In 2022, more than 690 000 EU SMEs exported outside the EU, representing 95% of EU total 
exporting companies and generating 30% of the EU total exports value21. This export activity 
can  be  affected  by  trade  defence  investigations  in  third  countries.  The  Guide  for  SMEs22 
encourages  SMEs  affected  by  third-country  trade  defence  cases  to  contact  the  DG  Trade 
departments that monitor these cases to seek information and guidance on how to proceed. 

Investigations involving SMEs 

20 How to make an anti-dumping complaint - Publications Office of the EU (europa.eu) 
21 DG Trade’s calculations based on Eurostat TEC data 
22 TDI, trade defence instruments, anti-dumping & anti-subsidy - Publications Office of the EU (europa.eu)   

13 

 
 
 
 
 
 
 
 
Despite the challenges posed by the legal and technical nature of trade defence investigations, 
there  are  several  manufacturing  sectors  in  the  EU  with  a  high  proportion  of  SMEs  that 
successfully use and benefit from the protection of the EU’s TDIs. The ceramics industry is a 
prime example where trade defence has had an impact.  Measures on ceramic tableware and 
tiles from China, and on ceramic tiles from India and Türkiye have been critical to safeguard 
domestic  production,  foster  investments  and  save  over  100 000  jobs  in  the  EU.      The 
European bicycle industry is another industry that largely attributes its existence in the EU to 
the protection afforded against dumped bicycles from China.   

There are other industries with a strong SME presence which also benefit from the protection 
afforded  by  the  TDIs.  These  include  trout  producers,  comprised  of  more  than  700 SMEs, 
where countervailing measures on imports from Türkiye were imposed in 2015 and renewed 
in May 2021. Anti-dumping and anti-subsidy measures imposed in 2018 on tyres originating 
in  China  are  currently  subject  to  expiry  reviews.  In  the  original  investigation,  the  industry 
comprised at least 380 tyre retreader SMEs. In 2023, the Commission imposed definitive anti-
dumping  duties  on  stainless-steel  refillable  kegs  from  China,  thereby  protecting  the  EU 
industry composed of a small number of SMEs. 

The Commission is committed to ensuring equal access for all industries suffering as a result 
of dumped and subsidised imports. Its approach – raising awareness and providing SMEs with 
more practical assistance in trade defence investigations – is yielding results. This is also due 
in no small part to good organisation and coordination on the industry side, with support from 
established industry associations or ad hoc  associations set  up  specifically  for trade defence 
purposes. 

III 

CHARTING PROGRESS: A 5-YEAR RETROSPECTIVE OF TDI 

This  annual  report  provides  an  opportunity  to  zoom  out  and  take  a  wider  view  of  trade 
defence  activity  over  the  last  5  years,  i.e.,  from  2019,  which  was  the  first  year  of  full 
implementation of modernised trade defence legislation, to 2023. This was a challenging and 
dynamic period. That period also saw, following the first such audit, the European Court of 
Auditors’  endorsement  of  the  application  of  the  rules  and  the  emergence  of  a  more  robust 
approach to tackle increasingly complex unfair trade practices used by trading partners. The 
Commission  also  ensured  that  the  challenges  posed  by  the  COVID-19  pandemic  did  not 
weaken its resolve and actions to apply trade defence correctly when industry needed it. 

By the end of 2023,  there were 53 more trade defence measures  in  place  than at  the end of 
2018.  This  rise  from  133  to  186  measures  represents  an  increase  of  40%.  These  additional 
measures  mean  that  trade  defence  is  now  responsible  for  protecting  almost  half  a  million 
(493 000) manufacturing jobs in Europe compared to 365 000 at the end of 2018. These jobs 
cover  several  sectors  including  steel,  ceramics,  aluminium,  bicycle  manufacturing  and 
products that are important in the sustainable energy value chain, such as solar glass, products 

14 

 
 
 
 
 
that are vital for our green transition, such as wind towers, as well as products that are critical 
for our digital transition, such as optical fibres. 

This  5-year  period  saw  the  first  investigations  completed  using  the  significant  distortions 
dumping  methodology.  In  all  the  investigations  concerning  imports  from  China  during  that 
period,  this  methodology  was  used  to  calculate  dumping,  as  complainants  had  provided 
evidence of significant distortions across the products or sectors concerned. A comprehensive 
report  documenting  State-induced  distortions  in  China23,as  well  as  its  updated  version, 
provides  solid  evidence  of  distortions  in  the  Chinese  economy  along  with  other  specific 
evidence from complainants. The methodology has uncovered the real extent of dumping  in 
Chinese cases, as opposed to margins derived from the distorted prices or costs in China.  In 
October  2020  Commission  also  published  a  report  on  significant  government-induced 
distortions in Russia24.   

While anti-dumping measures  against China account  for the bulk  of the  activity, there have 
also been significant developments on the anti-subsidy side in the last 5 years. The EU was 
the first  jurisdiction to  take anti-subsidy action against ‘cross-border’  financial support by  a 
WTO Member to companies established in the territory of another WTO Member. This means 
not  only  tackling  China’s  traditional  subsidies,  but  also  confronting  China’s  channelling  of 
financial  support  to  enable  its  companies  in  third  countries  to  establish  themselves,  e.g.  in 
economic  free  zones,  and  from  there  to  export  their  goods  on  to  the  EU.  In  2020,  the 
Commission  countervailed  such  a  financial  support  as  subsidies  granted  by  the  country  of 
origin  or  export  for  the  first  time  in  a  case  involving  glass  fibre  fabrics  and  glass  fibre 
products  from  Egypt,  and  in  a  second  case  in  2022  involving  stainless-steel  cold-rolled 
products  from  Indonesia.  In  March  2023,  the  General  Court  confirmed  the  Commission’s 
approach in these cases in landmark judgments, which are under appeal. 

Finally, the last 5 years have seen emphasis placed on the monitoring and enforcement of the 
measures.  Improved  monitoring  and  effective  action  against  circumvention  practices  mean 
that over a fifth (40) of the total 182 measures  currently in place specifically tackle evasion 
practices by economic operators. The Commission remains fully committed to robust use of 
trade  defence  instruments  to  continue  protecting  EU  industry  against  unfair  and  injurious 
trading practices and ensure their effective implementation.  

23 China distortions report  - SWD(2024)91  
24 Russia distortions report - SWD(2020)242  

15