Chinese Bike Makers in for Bumpy Ride in Europe

BEIJING, China (June 9) - Chinese bicycle exporters are facing stricter market conditions in European countries after preliminary anti-dumping penalty tariff has been slapped on them, media reports said today in China. The European Commission has made the preliminary rulings to impose a 48.5 % penalty tariff on bicycles originated from China for dumping. "Chinese enterprises are still making every effort to gain a better result," China Daily quoted Hu Xiaofeng, an official with the China Bicycle Association. She said the proposal to reach a reference price had been declined by the European side. The final ruling is scheduled to be made on July 15. China's bicycle makers have been charged of dumping and imposed with a 30.6 % punitive tariff since 2000. The prior ruling will expire in July. They claimed they never conducted any dumping in the European market and their exports had done no harm to the local industry. Hu said the China bicycle manufacturing industry was complementary with that of European countries as they focus on low and high end respectively. Several Chinese companies, including Giant, a leading bicycle maker in the country, have filed appeal to the European Commission to reconsider their market economy treatment. China exported some 1.5 million bicycles to the EU last year to become a major supplier, particularly low and medium end products in the 25-member bloc. (Source: The Hindu Times)