BERLIN, DEC 25: India has joined a group of countries, including Japan and the 15-nation European Union (EU), in filing a joint complaint with the World Trade Organisation (WTO) against a new US law that would award the proceeds of anti-dumping sanctions to the affected American industry.The complaint made before the Geneva-based WTO recently challenges an amendment passed by the US Congress last month to the anti-dumping law barring the sale of foreign goods in American markets at prices below their cost of production.The other countries who are party to the complaint are-Australia, Brazil, Chile, Indonesia, Thailand and South Korea. Most of the complaining countries have been subjected to punitive levies for selling steel at prices lower than the production costs.According to WTO officials, a three-member WTO Dispute Settlement Panel (DSP) would review the joint complaint if no agreement was reached between the US and the complaining parties through consultations in the next 60 days.The existing US law, which has been invoked by the American industry against foreign imports, allows the US government to impose tariffs against below-the-market price products.But, the new amendment known by it sponsor's name Robert Byrd, a Democrat senator of West Virginia, goes beyond and would divert the tarrif revenues from the treasury and award them to the complaining industry.The complaint alleged that the diversion of tariff revenues amounted to giving complaining US industry a subsidy, which is barred by global free trade rules. It also said the amended law encourgaged American companies to make claims of dumping because they would receive a "double reward"-less competition from imports and income from increased tariffs.Analysts said the revenues from anti-dumping levels could range from 40 million dollars to 200 million dollars a year, but it is uncertain because heavily taxed imports are less likely to be sold on the US markets, which would drive down any tariff income from them.The U s has been dragged to the WTO in recent weeks through several complaints by countries questioning its steel import policy. The EU said it wanted WTO consultations with the US to nagotiate on import restrictions on steel wire rod and welded line pipe that the Clinton administration had imposed this year. South Korea had already brought a complaint against the same measure.Last month, the EU began the dispute-resolution process over Washington's refusal to lift counter-vailing taxes on European steel makers.
