Joined Cases C-269/23 P and C-272/23 P: Judgment of the Court (Second Chamber) of 28 November 2024 – Hengshi Egypt Fiberglass Fabrics SAE (C-269/23 P) and Jushi Egypt for Fiberglass Industry SAE (C-269/23 P and C-272/23 P) v European Commission (Appeal – Common commercial policy – Protection against subsidised imports from third countries – Agreement on Subsidies and Countervailing Measures of the World Trade Organization (WTO) – Articles 1 and 2 – Regulation (EU) 2016/1037 – Articles 2 to 4 – Concepts of subsidy, government, specificity and benefit – Financial contributions granted by Chinese public bodies to undertakings incorporated under Egyptian law owned by Chinese entities established in the China-Egypt Suez Economic and Trade Cooperation Zone – Possibility of classifying such financial contributions as subsidies granted by the Government of Egypt, having regard to that government’s own conduct – Whether permissible – Conditions – Financial contribution consisting in forgoing government revenue that is otherwise due – Benefit conferred on the recipient undertakings – Choice of the relevant reference situation for the purpose of characterising the existence of that financial contribution and that benefit – Articles 5 and 6 – Calculation of the benefit – Concepts of recipient and undertaking)
Date: 2024-11-28
Institutions: Court of Justice
Subjects: China, Egypt, State aid, Suez Canal, aid to undertakings, financial aid, glass fibre, import (EU), originating product, textile product








C_202500367EN.000101.fmx.xml












Official Journal of the European Union


EN
C series













C/2025/367


27.1.2025






Judgment of the Court (Second Chamber) of 28 November 2024 – Hengshi Egypt Fiberglass Fabrics SAE (C-269/23 P) and Jushi Egypt for Fiberglass Industry SAE (C-269/23 P and C-272/23 P) v European Commission


(Joined Cases C-269/23 P and C-272/23 P)
                (1)

(Appeal - Common commercial policy - Protection against subsidised imports from third countries - Agreement on Subsidies and Countervailing Measures of the World Trade Organization (WTO) - Articles 1 and 2 - Regulation (EU) 2016/1037 - Articles 2 to 4 - Concepts of ‘subsidy’, ‘government’, ‘specificity’ and ‘benefit’ - Financial contributions granted by Chinese public bodies to undertakings incorporated under Egyptian law owned by Chinese entities established in the China-Egypt Suez Economic and Trade Cooperation Zone - Possibility of classifying such financial contributions as subsidies granted by the Government of Egypt, having regard to that government’s own conduct - Whether permissible - Conditions - Financial contribution consisting in forgoing government revenue that is otherwise due - Benefit conferred on the recipient undertakings - Choice of the relevant reference situation for the purpose of characterising the existence of that financial contribution and that benefit - Articles 5 and 6 - Calculation of the benefit - Concepts of ‘recipient’ and ‘undertaking’)
(C/2025/367)
Language of the case: English

Parties


Appellants: Hengshi Egypt Fiberglass Fabrics SAE (C-269/23 P) and Jushi Egypt for Fiberglass Industry SAE (C-269/23 P and C-272/23 P) (represented by: V. Crochet and B. Servais, avocats)

Other parties to the proceedings: European Commission (represented by: P. Kienapfel, G. Luengo and P. Němečková, acting as Agents), Tech-Fab Europe eV (C-269/23 P) and Association des producteurs de fibres de verre européens (APFE) (C-272/23 P) (represented by: J. Beck, advocaat, and L. Ruessmann, avocat)

Operative part of the judgment

The Court:






1.


Dismisses the appeals;










2.


Orders Hengshi Egypt Fiberglass Fabrics SAE and Jushi Egypt for Fiberglass Industry SAE, in addition to bearing their own costs, to pay those incurred by the European Commission in Case C-269/23 P;










3.


Orders Jushi Egypt for Fiberglass Industry SAE, in addition to bearing its own costs, to pay those incurred by the European Commission in Case C-272/23 P;










4.


Orders Tech-Fab Europe eV to bear its own costs in Case C-269/23 P;










5.


Orders the Association des producteurs de fibres de verre européens (APFE) to bear its own costs in Case C-272/23 P.






(1)  
            OJ C 216, 19.6.2023.


ELI: http://data.europa.eu/eli/C/2025/367/oj
ISSN 1977-091X (electronic edition)