News Article

Importers Unite in Canadian Dumping Actions

Industry- & Retail Organizations

BIKE EUROPE: VANCOUVER, Canada (April 28) – The Canadian Association of Specialty Bicycle Importers (CASBI) has been re-formed to fight CBMA actions to obtain anti-dumping duties on imported bicycles. CASBI’s14 member companies will present a vigorous defense for the Canadian specialty bicycle market at the Canadian International Trade Tribunal in June. “For over two decades, […]

BIKE EUROPE: VANCOUVER, Canada (April 28) – The Canadian Association of Specialty Bicycle Importers (CASBI) has been re-formed to fight CBMA actions to obtain anti-dumping duties on imported bicycles. CASBI’s14 member companies will present a vigorous defense for the Canadian specialty bicycle market at the Canadian International Trade Tribunal in June.

“For over two decades, Procycle and Raleigh have enjoyed government
protection from imported bicycles, and today they are looking for more,” said
Jacob Heilbron, chairman of Kona Bicycles and founding member of CASBI.
“CASBI feels that these companies have had enough protection to become
profitable, improve their quality standards, become involved in the sport of
cycling and expand into world markets. It is sad to report this has not
happened, and now they seek to destroy a dynamic Canadian marketplace for
bicycles.”

Following the complaint of the Canadian Bicycle Manufacturer’s Association
(CBMA), which consists of Procycle and Raleigh, the CITT has decided to hold a
Global Safeguard Hearing (which has only been used in two previous industry
actions, namely steel and boneless beef). Procycle and Raleigh, whose main
business is in the bicycle mass market, are seeking protection of 48% duty and
1997 import quota levels for all imported bicycle and painted frames
regardless of their origin. All categories of bicycles such as BMX, road and
mountain will be affected.

It is CASBI’s position that this would destroy the health and diversity of
the specialty bicycle sport business. The direct ramifications of the
proposed action include a 30% increase in retail pricing of bicycles, less
product selection and less competition with the potential for Canadian
customers having only four or five brands from which to choose.

The specialty bicycle industry includes more than 25 importers employing
more than 400 employees, and representing more than 35 brands who would be
affected. Retail prices could rise by 50% over today’s levels. The
800 retailers who employ more than 5000 employees across Canada rely on these brands for the health of their businesses.

Over the past 25 years, importers and retailers have been major
contributors to the health of the sport of Canadian cycling.

CASBI members include, Aurora Cycle Supply (KHS), Argon 18, Asama Cycles
(Kuwahara), Banshee Bikes, Cove Bikes, Cybersport (Brodie), Louis Garneau
Sports, Marin Bikes Canada, RB Inc. (Jamis), Revolution Cycles (Electra), Ten
Pack Distribution (McNeil BMX), The Bicycle Group (Kona) and Vellendtech
(Fuji). Source: Canada Newswire

Comment on this article