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BRUSSELS, March 31 (Reuters) - A World Trade Organisation (WTO) disputes panel has found that the U.S. Anti-Dumping Act of 1916 breaks global trade rules, the European Union said on Friday.

The EU's executive Commission said in a statement it welcomed the panel's finding, which is due to be published by the WTO later on Friday.

The EU launched the WTO dispute after a complaint by the European Confederation of Iron and Steel Industries. The United States can appeal. The Commission said the U.S. Anti-Dumping Act of 1916, which provides civil and criminal sanctions to remedy anti-dumping practices, had been invoked several times against European companies in recent years.

It said the act "constitutes a powerful and dangerous tool to hinder competition from imports." The EU said the 1916 act was separate from provisions in the U.S. Tariff Act which implemented anti-dumping rules that had been agreed multilaterally.: