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Decisions of the Appellate Body of the World Trade Organization

European Communities - Anti-Dumping Duties on Imports of Cotton-Type Bed Linen from India-Recourse to Article 21.5 of the DSU by India

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2. Facts

In the original case, the Appellate Body found that the EC practice of `zeroing' when establishing dumping margins was inconsistent with Art. 2.4.2 of the Anti-Dumping Agreement, and that the method of calculation of administrative, selling and general costs and profits was inconsistent with Art. 2.2.2(ii) of the Anti-Dumping Agreement. In order to comply with the original decision, the EC adopted Council Regulation (EC) No. 1644/2001, making revised determinations. The EC also re-examined the causal link between the dumped imports and the relevant injury suffered by the domestic industry. However, the EC did not review its analysis of the role of `other factors' in causing injury. The EC also included in `dumped imports' capable of causing dumping injury all imports from India, despite the fact that its investigation showed that only some Indian exporters were involved in dumping.

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