The World Trade Organization (WTO) ruled Thursday that the US Department of Commerce (US DOC) has imposed excessive dumping fees on stainless steel strip and coils from Mexico. But the WTO also upheld the US method for calculating the tax, provided that it is done fairly.
In a 45-page panel report, the WTO panel told the US it needs to bring the steel duties into "conformity with its obligations under the WTO agreement."
A statement from US Trade Representative Susan Schwab said that the WTO ruling was in favor of the US, as it backed the US position that WTO rules do not prohibit the controversial method of zeroing.
Mexico, however, also called the WTO's ruling a victory, as the panel report found that some US measures were inconsistent with WTO rules and concluded that zeroing was not allowed in some cases.
Due to the mixed nature of this ruling, with both sides calling it a victory, there is also a good chance that both nations will appeal it.