News Article

Canada Renews Dumping Penalties Against Taiwan and China

Industry- & Retail Organizations

renewed anti-dumping penalties against bicycles and frames from Taiwan and China, while adding a new twist. The maximum dumping penalty was set at 64% for importers who filed incorrect or faulty submissions with investigators. The new regulations further allow investigators to assess such penalties retroactively. Retroactive taxation, however, has been a part of Canada’s anti-dumping […]

renewed anti-dumping penalties against bicycles and frames from Taiwan and China, while adding a new twist. The maximum dumping penalty was set at 64% for importers who filed incorrect or faulty submissions with investigators. The new regulations further allow investigators to assess such penalties retroactively. Retroactive taxation, however, has been a part of Canada’s anti-dumping penalties against Taiwan and China-made bikes since at least 1997. Officials at the Taiwan Bicycle Exporters’ Association (TBEA) say that’s the first year Canada implemented the penalty against bicycles with wheels of 16 inches or larger as well as frames for such bicycles. Canada’s anti-dumping penalties generally take place in two stages. Interim values for bicycles, frames, and other parts are declared at the beginning of the CCRA’s taxation calendar year, which runs from 1 August to 1 August. During that year re-investigations are used to adjust the normal values, which are used as a measure of how severely a company is dumping its products. When such changes of the normal value take place, the agency has the power to levy taxes retroactively. “They can still change the amounts for 1998,” expressed one TBEA official. Though a bit stiff, Canada’s dumping stance has yet to cause much stir in Taiwan. “It’s not like Europe, that was big,” said TBEA secretary general Singer Chen. “Let’s face it. Canada is a small market.” Statistically speaking, Taiwan’s exports to Canada accounted for only around 100,000 units in 1999, or 1.4% of Taiwan’s total bicycle exports for that year. (DF)

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