Bloomberg quoted a Chinese commerce ministry official said China is poised to ask a World Trade Organization panel of judges to rule on the legality of European Union anti dumping duties on screws and bolts.

The official who wouldn’t be named ahead of an official announcement said consultations under the trade organization framework haven’t resolved the dispute. The case is China first complaint against the EU at the WTO.

Mr Tu Xinquan the deputy head of the China WTO Studies Center at the University of International Business and Economics in Beijing said “China has to take stronger positions against increasing protectionism. The EU tariff is mostly hurting small Chinese businesses and the government needs to protect them during the financial crisis.”

An official at the trade body said the WTO is yet to receive a request from China for a panel to be set up in the fastener case and can’t comment until it does. An EU trade official in Brussels declined to comment.

The EU imposed the five year tariffs on Chinese iron and steel fasteners in January and China asked for consultations on July 31st.

(Sourced from Bloomberg)