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Officially Announced: Anti-Dumping Duties for China Made Bikes Maintained

Laws & Regulations

The Official Journal of the European Community No; L 261 of October 6th announces that the current anti-dumping duties of 48.5% on bicycles imported from the People’s Republic of China (PRC) should be maintained. The publication in the Official Journal of the European Union says:

Officially Announced: Anti-Dumping Duties for China Made Bikes Maintained

BRUSSELS, Belgium – The Official Journal of the European Community No; L 261 of October 6th announces that the current anti-dumping duties of 48.5% on bicycles imported from the People’s Republic of China (PRC) should be maintained.

The publication in the Official Journal of the European Union says: “Following an interim review pursuant to Article 11(3) of the basic Regulation (the ‘previous investigation’), the Council, by Regulation (EC) No 1095/2005 ( 6 ), decided to maintain the anti-dumping duty in force.”

With the publication in the Official Journal of the European Community, anti-dumping duties of 48.5% on PRC bicycles become effective October 7, 2011 and will apply for a period of five years.

The maintained dumping duties are a result of complaints lodged by the European Bicycle Manufacturers Association (EBMA). For the determination of the price undercutting of bicycles originating in the PRC, the Commission based its analysis on the information submitted in the course of the investigation by the sampled Union producers and the average prices from Eurostat.

The Union producers were:

  • Accell Group NV, Heerenveen, the Netherlands,
  • Decathlon SA, Villeneuve d’Ascq, France,
  • Cycleurope Industries S.A.S., Romilly sur Seine, France,
  • Denver S.R.L., Dronero, Italy,
  • Derby Cycle Werke GmbH, Cloppenburg, Germany,
  • MIFA Mitteldeutsche Fahrradwerke AG, Sangerhausen, Germany,
  • Sprick Rowery Sp.zo.o., Świebodzin, Poland, and Sprick Cycle GmbH, Gütersloh, Germany,
  • UAB Baltik Vairas and UAB Baltic Bicycle Trade, Šiauliai, Lithuania, and Pantherwerke AG and Onyx Cycle GmbH, Löhne, Germany.

The European Commission’s investigation established the fact that: “That after deduction of the anti-dumping duty, imports from the PRC were undercutting the prices of the Union industry by 53 %.”

In its conclusions the European Commission states: “The Union industry had been suffering from the effects of the Chinese dumped imports for several years and is still currently in a fragile economic situation. The Union industry managed to recover from the Chinese dumping practice thanks to the anti- dumping measures in force. During the review period, however, it found itself in a difficult economic situation. In this context, should the Union industry be exposed to increased volumes of dumped low-priced imports from the country concerned, this would be likely to result in a further deterioration of its sales, market share and sales prices, as well as a further deterioration of its financial situation.

“In addition it was also found that the fact that the sales prices of Chinese producers undercut those of the Union industry on average by 53 % appears to indicate that in the absence of measures, Chinese exporting producers are likely to export the product concerned to the Union market at prices considerably lower than those of the Union industry."

“In view of the findings made during the investigation, namely the spare capacity in the PRC, the export oriented characteristic of the Chinese industry and the past behaviour of the Chinese exporters on foreign markets, any repeal of the measures would point to a likelihood of continuation of injury."

“Finally the circumvention (the EU investigation made clear that Sri Lanka and Philippines were circumventing the anti-dumping duties by re-packaging Chinese made bikes for export to Europe, editors note) is strongly underpinning the conclusion of the likelihood of the continuation of injury. It constitutes clear evidence that the Union market continues to be an attractive market for the Chinese producers who would likely direct higher volumes of exports into the Union in the absence of the anti- dumping measures."

“It follows from the above that the anti-dumping duties should be maintained for 5 years. A definitive anti-dumping duty is hereby imposed on imports of bicycles and other cycles (including delivery tricycles, but excluding unicycles), not motorised, currently falling within CN codes ex 8712 00 10 (TARIC code 8712 00 10 90), 8712 00 30 and ex 8712 00 80 (TARIC code 8712 00 80 90) and originating in the People’s Republic of China."

“The rate of the definitive anti-dumping duty applicable to the net free-at-Union-frontier price, before duty, for the products described in paragraph 1 shall be 48,5 %. Unless otherwise specified, the provisions in force concerning customs duties shall apply. This Regulation shall enter into force on the day following its publication in the Official Journal of the European Union.”

For the complete Council Implementing Regulation No 990/2011 of 3 October 2011 imposing a definitive anti-dumping duty on imports of bicycles originating in the People’s Republic of China; click here

 

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