EU Suspends Fertilizer Tariffs to Aid Farmers, as China and South Korea Resolve Steel Dispute Amicably

In a week marked by contentious disputes at the WTO, separate developments in Europe and Asia highlight alternative approaches to managing trade friction, from proactive tariff suspensions to negotiated settlements. The European Commission on February 24 proposed a one-year suspension of import duties on key nitrogen fertilizers, including ammonia and urea, in a bid to lower costs for EU farmers and bolster the region’s food security.

According to the Commission’s announcement, the suspension of ‘most favoured nation’ (MFN) duties will be implemented through duty-free tariff rate quotas. This measure, which will apply to imports from all countries except for Russia and Belarus, is designed to facilitate the diversification of supply and strengthen the EU’s agri-food sector. The Commission estimates the move could save approximately €60 million in import duties for farmers and the fertilizer industry, with standard MFN duties applying to any imports that exceed the quota amounts.

Meanwhile, China and the Republic of Korea (ROK) have successfully resolved a trade dispute concerning anti-dumping measures on Chinese hot-rolled steel coils, as reported by Xinhua on February 24. China’s Ministry of Commerce stated that the resolution was reached in accordance with World Trade Organization rules.

The agreement involves implementing a price commitment scheme as an alternative to continuing with anti-dumping duties. This “soft landing” has been welcomed by industry representatives from both nations, who believe it aligns with their mutual interests and will bring greater stability to the steel trade between the two economic partners. The ministry described the outcome as a positive signal for deepening bilateral economic cooperation, demonstrating a path for resolving disputes through mutual respect and negotiation.