GENEVA: Japan has launched a complaint at the World Trade Organisation to contest what it says is illegal financial support given by South Korea to commercial shipbuilders, according to a WTO filing published on Tuesday.

“The measures in question relate to the development, production, marketing, and/or sale or purchase of commercial vessels, including vessels designed to carry crude oil, liquefied natural gas (LNG), and shipping containers,” Japan’s complaint said.

Japan said South Korea had implemented a range of measures to help its shipbuilders, including “producer support” such as direct financing that enabled shipbuilders to remain afloat in prolonged periods of otherwise unsustainable low pricing. It also provided “sales support” to the shipbuilders and their customers, which helped stimulate sales, including during periods of relatively low demand.

Published in Dawn, November 14th, 2018