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Caterpillar challenges UK tariff on Chinese excavators

Financial Times Companies •
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US manufacturer Caterpillar has launched a legal challenge against the UK's Trade Remedies Authority over an 18.81 per cent anti-dumping duty imposed on China-built excavators. The duty, in force for five years, follows complaints from British equipment maker JCB that Chinese diggers were sold at unfairly low prices. Caterpillar argues the TRA's analysis is flawed, contending its UK export prices were higher than domestic prices in China.

Lawyers say the case represents the first court challenge of its kind over anti-dumping tariffs since the UK's departure from the EU. The TRA maintains the duty is justified due to state-subsidised materials entering the UK market. The dispute stems from an investigation into midsized and heavy-duty excavators widely used on commercial construction sites.

This week's hearing before Mr Justice Richards marks a landmark test of post-Brexit enforcement powers. Caterpillar, the world's largest maker of construction equipment, previously had a judicial review dismissed by the High Court last year on procedural grounds. The case highlights the developing body of UK case law on anti-dumping investigation methodology.

Source: Financial Times Companies · Summarized by HeadlinesBriefing