ETRA: Pro Chinese Review; Anti Proceedings against Vietnam

GAND, Belgium (July 21) - Today, the European Twowheel Retailers' Association (ETRA) has officially presented the European Commission with position papers on the proceedings against China and Vietnam. ETRA is in favour of the interim review of the anti-dumping measures on the import of Chinese bicycles. As for Vietnam however, the association opposes the initiation of anti-dumping proceedings and asks the Commission to dismiss the complaint filed by the European Bicycle Manufacturers Association (EBMA). Both positions are based on an analysis of the non-confidential EBMA complaints, an evaluation of the European bicycle market and of the share of the concerned imports in that market and on an assessment of the interests of independent bicycle dealers (IBDs) in both matters. The European Twowheel Retailers' Association (ETRA) is a European economic interest grouping of 9 national twowheel retailers' organisations in Belgium, Denmark, France, Germany, Great-Britain, Holland, Luxembourg, Sweden and Switzerland. Thus ETRA currently represents some 6,000 independent bicycle, moped and motorcycle retailers who employ approximately 14,000 people. As for the Chinese imports, ETRA has found that, since 2002, imports are increasing to an extent that is cause for concern again. At the same time, the average value of the imports is extremely low. These developments lead ETRA to believe that the anti-dumping measures in force are insufficient to counteract the dumping which is causing injury to, among others, IBDs in Europe. As for Vietnamese bicycle imports, the association says that, if the EU were to introduce anti-dumping measures, these could well result in a sudden decline of Vietnamese imports into the EU as well as in a restriction of competition. ETRA warns that in those countries, which import branded and private label bikes from Vietnam such a decline cannot be compensated at short notice. Importers cannot move from one subcontractor to another just like that. Dealers cannot switch from one brand to another very easily. ETRA concludes that as a result, a number of jobs in the IBD-sector will be in the balance. Moreover, in their position paper, the association argues in detail how the EBMA fails to establish conclusive proof of dumping and injury. (JO)