COLIBI Fears Negative Effects of Dumping Duties On Internal Gear Hubs

BRUSSELS Belgium (November 7) - After first taking a neutral stance in the SRAM-Shimano controversy, the liaison committee for the European bicycle industry, COLIBI is now expressing its fears of negative effects the imposed dumping duty will have on the prices for bicycles. In a yesterday issued press statement, the 'Comite de Liaison des Fabricants Europeens de Bicyclettes' (COLIBI) states, "Considering that this dumping case was a clear matter between two important suppliers to the European industry, COLIBI took a neutral stance. However, in the recently published Regulation, the European decision makers state that, "In view of the limited proportion of bicycles equipped with internal gear hubs, it is concluded that the possible negative effects of the measure on users (= defined in the text as bicycle manufacturers & assemblers, as well as certain retailers), cannot be considered such as to outweigh the expected benefits for the Community industry (parts' producers)". According to COLIBI, the European decision makers are underestimating the possible repercussions of the measure with this conclusion. COLIBI states, "It is obvious that the imposition of additional duties will affect price-fixing and therefore the final selling price of a bicycle." The liaison committee for the European bicycle industry continues in its statement, "Whereas everyone is convinced that an increased cycle usage will contribute positively to traffic safety, environmental and mobility problems, the above result will undoubtedly show to be very counter-productive." COLIBI President, René Takens therefore concludes, "It is incomprehensible that the European Commission allows measures that will injure a European industry that is already facing hard times". (JO)