2002R1011 — EN — 29.05.2003 — 001.001 — 1
This document is meant purely as a documentation tool and the institutions do not assume any liability for its contents
►B COUNCILREGULATION(EC)No1011/2002
of10June2002
imposing a definitive anti-dumping duty on imports of powdered activated carbon (PAC) origi-
natinginthePeople's RepublicofChina
(OJ L 155, 14.6.2002, p. 1)
Amended by:
Official Journal
No page date
►M1Council Regulation (EC) No 931/2003 of 26 May 2003 L 133 36 29.5.2003
▼B
COUNCILREGULATION(EC)No1011/2002
of10June2002
imposing a definitive anti-dumping duty on imports of powdered
activated carbon (PAC) originating in the People's Republic of
China
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty establishing the European Community,
Having regard to Council Regulation (EC) No 384/96 of 22 December
1995 on protection against dumped imports from countries notmembers of the European Community (
1), and in particular Article
11(2) thereof,
Having regard to the proposal submitted by the Commission after
consulting the Advisory Committee,
Whereas:
A.PREVIOUSINVESTIGATION
(1)By Regulation (EC) No 1006/96 of 3 June 1996 (2), the Council
imposed a definitive anti-dumping duty on imports of powderedactivated carbon originating in the People's Republic of China.
B.PRESENTINVESTIGATION
(2)Following the publication of a notice of impending expiry (3)o f
the anti-dumping measures in force, the Commission received arequest for an expiry review lodged by the European Chemical
Industry Council (CEFIC) on behalf of two producers, together
representing a major proportion (more than 80 %) of the totalCommunity production of powdered activated carbon (PAC).The request alleged that injurious dumping of imports origi-nating in the People's Republic of China (China) would belikely to recur if the measures expired.
(3)Having determined, after consulting the Advisory Committee,that sufficient evidence existed for the initiation of a review,the Commission initiated an investigation (
4) pursuant to Article
11(2) of Regulation (EC) No 384/96 (the basic Regulation).
(4)The investigation into the likelihood of a continuation or recur-rence of dumping and injury covered the period from 1 June2000 to 31 May 2001 (IP). The examination of trends relevantfor the assessment of a likelihood of a continuation or recurrenceof injury covered the period from 1997 up to the end of the IP
(analysis period).
(5)The Commission officially advised the applicant Community
producers, the exporters and exporting producers in China,importers/traders, users and suppliers, which were known to beconcerned, of the initiation of the review. The Commission sent
questionnaires to all these parties and to those who made them-
selves known within the time limit set in the Notice of initiation.The Commission also gave the parties directly concerned theopportunity to make their views known in writing and to requesta hearing.
(6)The Commission sent out 26 questionnaires to unrelated impor-ters/traders and 49 questionnaires to exporters and exportingproducers in China. Furthermore, due to the apparent highnumber of exporters and exporting producers of the productconcerned in China, the Commission sent out a questionnaire2002R1011 — EN — 29.05.2003 — 001.001 — 2
(1) OJ L 56, 6.3.1996, p. 1. Regulation as last amended by Regulation (EC) No
2238/2000 (OJ L 257, 11.10.2000, p. 2).
(2) OJ L 134, 5.6.1996, p. 20.
(3) OJ C 349, 6.12.2000, p. 5.
(4) Notice of initiation: OJ C 163, 6.6.2001, p. 7.
▼B
asking specific information on average sales volume and prices
of PAC (sample questionnaire) of eachexporter and exportingproducer concerned, in order to determine whether sampling
was necessary. No answer was received from importers/traders,
and one exporter in China replied to the sample questionnaire,but subsequently stopped cooperating.
(7)The Commission also sent questionnaires to all other partiesknown to be concerned and received replies from the two
Community producers on whose behalf the request for review
was lodged and from two suppliers of raw materials and twousers.
(8)The Commission sought and verified all the information itdeemed necessary for the purpose of the determination of thelikelihood of continuation or recurrence of dumping and injury
and for the determination of the Community interest. Verifica-
tion visits were carried out at the premises of the followingcompanies:
Producer in the analogue country United States of America:
— NORIT Americas Inc, Atlanta, Georgia;Community producers:— Norit NV, Netherlands,
— Ceca SA, France.
C.PRODUCTUNDERCONSIDERATIONANDLIKEPRODUCT
(9)The product under consideration is the same as in the original
investigation, i.e. PAC currently classifiable within CN codeex 3802 1000. It is a microporous form of carbon, obtainedfrom a variety of raw material suchas coal, peat, wood, lignite,olive stones or coconut shells, which are activated by means of
steam or chemical process. PAC is a very fine powder. Activated
carbons are also sold in granular forms (granulated activatedcarbon or GAC) which are not covered by the measures in force.
(10)Subsequently to the imposition of definitive measures in 1996,certain difficulties appeared as to the distinction of activatedcarbon sold in powder from activated carbon sold in granular
form. In this regard, it is important to note that both products
are made of ensembles of particles of carbon whose size varyand there is no international standard in respect of PAC. There-fore, for the purpose of implementation of the measures, theCommunity Customs Code Committee defined PAC in thefollowing way: ‘powdered activated carbon consists of at least
90 percent by mass ( % m/m) of particles witha size less th an
0,5 mm’. The investigation confirmed the accuracy of this defi-nition.
(11)The general applications of PAC are: water treatment (potableprocess and waste water), gas and air purification, solventrecovery, decolourisation of sugar, vegetables oils and fats,
deodorisation and purification of different products in the
chemical (i.e. organic acids) or pharmaceutical (i.e. gastrointest-inal capsule) or food industries (i.e. alcoholic and soft drinks).
(12)As shown in the previous investigation, and as confirmed in thepresent investigation, it has been established that PAC producedand sold by the Community producers and PAC imported from
China are in all respects identical and share therefore the same
basic physical and chemical characteristics. China is an economyin transition and, as mentioned in recital 18, normal value had tobe established on the basis of information obtained in a marketeconomy third country. According to the information available,
PAC produced and sold in the market economy third country,
the United States of America has the same basic physical andchemical characteristics as PAC produced in China and exportedto the Community. Therefore, they are considered to be likeproducts within the meaning of Article 1(4) of the basic Regula-tion.2002R1011 — EN — 29.05.2003 — 001.001 — 3
▼B
D.LIKELIHOOD OF CONTINUATION OR RECURRENCE OF
DUMPING
1.Preliminaryremarks
(13)In accordance with Article 11(2) of the basic Regulation, the
purpose of an expiry review is to determine whether the expiryof the measures is likely to lead to a continuation or recurrenceof dumping.
(14)In this respect, the volumes exported to the Community duringthe IP were examined. It should be noted that since none of theChinese exporters nor any importer in the Community coop-erated during the present investigation, export data were
established in accordance with Article 18 of the basic Regula-
tion, i.e. on the basis of information available. Since theimposition of definitive anti-dumping duties in 1996, Commu-nity statistics are available for imports of PAC. These statisticshave been confirmed by market research information submittedby the complainant Community producers. On this basis, and in
the absence of any other more reliable information, these statis-
tics were used. They showed that during the IP 993 tonnes ofPAC were imported from China into the Community.
(15)During the original IP, the import volume of Chinese PAC into
the Community amounted to 4 008 tonnes, i.e. approximately
10 % of Community consumption. Imports dropped in 1996 afterthe imposition of the anti-dumping duty to 960 tonnes andremained relatively stable in the following years, reaching 842tonnes in 1999, and 811 tonnes in 2000.
(16)The market share of Chinese imports of PAC in the Communityas recorded in Eurostat is less than 3 % but nonetheless signifi-cant, i.e. above the de minimis threshold of the basic
Regulation (
1).
2.Likelihoodofcontinuationofdumping
(17)In the context of the likelihood of a continuation of dumping, it
was investigated whether dumping of exports from China wascurrently taking place. This was on the grounds that, if dumpingwas taking place now, this could be an important indication thatdumping would be likely to continue in future, should the
measures be allowed to expire.
(a)Analogue country
(18)Since China is an economy in transition, normal value was deter-
mined on the basis of information obtained in an appropriatemarket economy third country selected in accordance withArticle 2(7) of the basic Regulation.
(19)The United States of America were selected as an appropriateanalogue country in the original proceeding. As indicated in theNotice of initiation, the Commission envisaged to use the UnitedStates of America as an appropriate analogue country also in the
present proceeding. In this respect, the investigation revealed
that the United States of America were the most appropriateanalogue country for the following reasons:
The United States of America is one of the largest producing
countries of PAC worldwide. Figures submitted by the coop-erating producer in the United States of America and the
Community producers behind the request for review showed
that the production volume of both countries is comparable.Furthermore, as mentioned in recital 12 PAC produced and soldin the United States of America was found to be a like productto PAC produced in China and exported to the Community.Domestic sales made by the cooperating United States producer2002R1011 — EN — 29.05.2003 — 001.001 — 4
(1) Article 5(7) and Article 9(3).
▼B
(in terms of volume) were representative when compared to the
imports of PAC from China into the Community. Finally, thelevel of competition in the United States of America was found
to be very high. In addition to the competition amongst several
producers in the United States of America, there was alsocompetition from imported PAC (mainly from China, Philippinesand Sri Lanka), which could be imported without quantitativerestrictions or import duties. The main United States producer
of PAC was furthermore willing to cooperate.
(20)Given the above, and as no comments were received on thechoice of the analogue country by any of the interested parties,
the United States of America was consequently selected as themost appropriate analogue country.
(b)Normal value
(21)In accordance withArticle 2(1) of th e basic Regulation, it was
considered whether domestic sales of PAC in the United Statesof America could, considering the price charged, be seen to bemade in the ordinary course of trade. For so doing the Commis-
sion examined whether domestic sales were profitable. For this
purpose the full cost of production per unit of each grade duringthe IP was compared to the average unit price of the sales trans-actions of eachgrade made during th e same period. It was foundthat all sales were made at a profit. The investigation also
revealed that all sales were made to independent customers. As
a result the prices paid or payable for PAC by independentcustomers on the United States domestic market in the ordinarycourse of trade were used to determine the normal value inaccordance withArticle 2(1) of th e basic Regulation.
(c)Export price
(22)As already mentioned, neither the Chinese exporters nor
exporting producers, nor any importer of PAC in the Community
cooperated in this proceeding. Therefore, the export price was
determined on the basis of facts available in accordance withArticle 18 of the basic Regulation. As already mentioned inrecital 14 of the present Regulation, and in the absence of anyother more reliable information, this was done by reference toEurostat.
(23)Data in Eurostat are recorded on a cif European Communityfrontier basis. These prices were brought to a fob basis by
deducting ocean freight and insurance cost. The necessary infor-
mation on these costs has been submitted by the Communityindustry and used in the calculations, in the absence of any othermore reliable information.
(d)Comparison
(24)For the purpose of ensuring a fair comparison between normal
value and export price, account was taken of differences infactors, which were found to affect prices and price compar-
ability in accordance withArticle 2(10) of th e basic Regulation.
In this regard, adjustments for differences in the level of trade,commissions, packing and inland transport costs were made.
(25)As far as the normal value is concerned, the weighted averageinland transport cost and packing cost per unit were deductedfrom the domestic sales price. Inland transport cost includedinsurance, loading and unloading costs. Given the non coopera-
tion of the Chinese exporters or exporting producers, and in the
absence of any more reliable information, the same amount forinland transport and packing was deducted from the fob exportprice.
(26)As far as packing costs are concerned, evidence was submittedto the Commission by the complainant Community industry,which showed that at least some of the product exported to theCommunity was packed in bags while the normal value was2002R1011 — EN — 29.05.2003 — 001.001 — 5
▼B
established on an ex packaging costs basis. The export price was
therefore adjusted downwards for an appropriate amount ofpackaging costs.
(27)Domestic sales in the United States of America were mainlymade to end-users, while Chinese exports of PAC are, on the
basis of information available, mainly made to traders/distribu-
tors. Therefore, the normal value was adjusted by a distributordiscount applicable on the United States domestic market.
(28)Furthermore and according to evidence submitted by theCommunity industry, almost all export sales from China weremade via export agencies, due to the requirement of exportlicences. Therefore, a commission fee of 1 % was deducted
from the export price.
(e)Dumping margin
(29)The weighted average normal value and the weighted average
export price of all grades were compared at the same level oftrade, i.e. distributors/traders. The comparison showed thatexports of PAC to the Community have been dumped at asubstantial margin during the IP. The dumping margin was equalto the amount by which the normal value exceeded the prices for
exports to the Community. The weighted average dumping
margin exceeded 40 %.
3.Developmentofimportsshouldmeasuresexpire
(30)It was also examined as to how imports of PAC from China
would develop should measures expire. For that purpose thespare production capacity in China, export volume and thedomestic market in China as well as the Chinese price behaviourto other third countries were examined. In the absence of coop-
eration from exporting producers, market researchinformation
submitted by the Community industry was used.
(a)Production capacity, domestic market in China and export
volume
(31)The information available to the Commission showed that China,together with the United States, is the largest producer andexporter of activated carbons (granular and powdered) in the
world. Actual production of activated carbons in China
amounted to about 100000 tonnes in 1998 according to a statis-tical industrial census, provided by the Community industry, ofwhich 40 % or 40 000 tonnes in powder form. Production capa-city was estimated at 140000 tonnes during the same periodbased on the capacity of the most important Chinese producers
representing 31 % of total Chinese capacity, of which at least
half can be dedicated to the production of PAC, i.e. 70000tonnes. A spare capacity of approximately 30 000 tonnes wasthus available in 1998 for producing PAC.
(32)On the basis of data available for prior years included in theabovementioned statistical industrial census, it was estimatedthat the annual growth rate of consumption, production andproduction capacity of PAC in China amounted to at least 5 %.
On this basis spare capacities of PAC will reach up to 36 000
tonnes in 2003. Due to the specific situation on the domesticmarket (see the following) the total spare capacity would beavailable for export.
(33)Furthermore, according to the abovementioned statistical indus-trial census, the Chinese domestic market was characterised bya significant oversupply resulting in unstable prices. Therefore,
Chinese PAC producers turned increasingly to export markets,
often the only possibility to maintain production at all. It isimportant to note that there were no export restrictions (otherthan export licences) of PAC in China. Given the situation onthe Chinese domestic market, the significant spare capacitiesand the consequent need to explore export markets, it was2002R1011 — EN — 29.05.2003 — 001.001 — 6
▼B
considered likely that export prices would be on a low level and
dumped.
(34)Main export markets for Chinese PAC were south-east Asia,
Japan, the Republic of Korea, the United States of America and
Europe. However, according to the evidence submitted by theCommunity industry, the additional need for imported PAC inthe other third countries would be minimal and the capability toabsorb further Chinese exports therefore almost negligible.
Furthermore it should be noted that a number of potential export
markets in the Asian region apply high customs tariffs for PAC,suchas India and Indonesia.
(35)In contrast, should the anti-dumping duty be removed, theCommunity market would be able to absorb large quantities ofChinese PAC due to the significant Community consumption.
In this respect, it should also be noted that Chinese exporters
are still present on the Community market via related importers,which facilitates increased imports and distribution of PAC.
(36)In conclusion, should the measures be removed, it is likely thatChinese producers will increase their capacity utilisation, as theCommunity would become an attractive export market.
(b)Price behaviour
(37)An analysis of the price behaviour of Chinese exporters to other
third countries, such as the United States of America and Japanrevealed that exports of PAC to these countries were made at
very low prices and were dumped when compared to the normal
value established in this investigation. As regards the UnitedStates and according to the evidence provided by the Commu-nity industry, as well as the information provided by thecooperating producer in the United States of America, the levelof dumping would exceed 40 %, while the dumping margin for
exports to Japan would be over 90 %.
(38)Considering the vast spare capacity available for exports and the
export-driven Chinese PAC production, it is reasonable toassume that the dumping margins that could be practised in theCommunity, are likely to be at least at the same level as those toother major exporting markets of Chinese PAC, should anti-
dumping measures lapse.
4.Conclusiononthelikelihoodofacontinuationofdumping
(39)Imports of Chinese PAC during the IP were made above de
minimislevels and were still dumped. It was established that
dumping continued and that there is a strong likelihood that it
would continue should measures be allowed to lapse. Moreover,it is likely that exports of Chinese PAC to the Community willsignificantly increase (and return to at least the levels found inthe original IP) and that prices of these additional import quanti-
ties will in all likelihood be dumped at significant levels, should
the anti-dumping measures lapse.
E.DEFINITIONOFTHECOMMUNITYINDUSTRY
(40)The two Community producers on whose behalf the complaint
was lodged cooperated in the investigation. They represented
more than 80 % of the Community production of PAC and
therefore constitute the Community industry within the meaningof Article 4(1) and Article 5(4) of the basic Regulation.
F.SITUATIONOFTHECOMMUNITYMARKET
1.Communityconsumption
(41)Apparent Community consumption of PAC was established on
the basis of the sales volumes of the Community industry onthe Community market, the information contained in the request2002R1011 — EN — 29.05.2003 — 001.001 — 7
▼B
for review concerning the other Community producers and Euro-
stat in relation to imports of PAC.
(42)On this basis Community consumption was practically stableduring the analysis period at slightly below 40 000 tonnes a year.
2.ImportsfromChina
(a)Volume, market share and prices
(43)Based on information from Eurostat, volumes imported from
China during the analysis period slightly increased but remainedbelow 3 % of consumption, whilst their market share was above10 % in the previous investigation.
(44)In the analysis period, prices of imports from China increased by
28 %, mainly for two reasons. Firstly, because of the evolution
of the euro/dollar exchange rate, especially between 1999 and2000. Secondly, worldwide prices of coal went up as indicatedby market researchinformation.
Imports from China 1997 1998 1999 2000 IP
Volume (tonnes) 818 647 842 811 993
Indexed 100 79 103 99 121Price (EUR/tonne) 832 834 863 1 089 1 067Indexed 100 100 104 131 128
(b)Price behaviour of imports
(45)Even after the imposition of an anti-dumping duty in 1996,
prices of PAC originating in China remained lower than the
Community industry's prices. The difference with Community
industry's prices was 15 % during the IP. This differential wasestablished on the basis of average sales prices (ex-works) ofthe Community industry, Chinese import prices being derivedfrom Eurostat and adjusted for post importation cost, customsand anti-dumping duties.
3.EconomicsituationoftheCommunityindustry
(a)Preliminary remarks
(46)As the Community industry is constituted by two companies, in
order to protect confidentiality, the information concerning theCommunity industry had to be indexed, while market shares forall market participants have been rounded.
(b)Production, capacity and capacity utilisation rates
(47)The Community industry's production of PAC decreased by 5 %
in the analysis period to just over 30 000 tonnes. The totalproduction capacity of the Community industry, from 1998 tothe IP, was stable at around 35000 tonnes, with a high utilisa-tion rate.
(c)Sales in the Community and market share
(48)The sales volumes of the Community industry decreased by 11 %
between 1997 and 1999. It increased slightly in 2000 and in theIP but remained 6 % below its 1997 level. As consumption waspractically stable, market share showed the same trend as sales.Overall, it fell in the analysis period by 7 percentage points toreachapproximately 60 % in th e IP.2002R1011 — EN — 29.05.2003 — 001.001 — 8
▼B
Sales in tonnes 1997 1998 1999 2000 IP
Indexed 100 91 89 92 94
(d)Stocks
(49)In the analysis period, the Community industry's year end stocks
of PAC increased by 15 % as sales decreased and the equipmentwas continuously run in order to avoid furnace reignition coststhat are very high.
(e)Sales prices in the Community
(50)The Community industry's average net sales prices increased by
7 % in the analysis period. In 1999 and 2000 prices were higherthan in the IP.
Prices of PAC 1997 1998 1999 2000 IP
Indexed 100 103 111 110 107
(f)Profitability and return on investment
(51)After having registered losses of 10 % in 1993, the IP of the
previous investigation, the Community industry returned to
profits in 1997. With the exception of 2000 for which profits
were satisfactory thanks to the combination of a high level ofprice and fairly low unit costs, however the profit level achievedby the Community industry never exceeded 6 %. Return oninvestments was stable and positive during the analysis period.
Profitability 1997 1998 1999 2000 IP
Indexed 100 94 85 198 131
(g)Cashflow
(52)The Community industry proved to be cash generative
throughout the period, with a similar trend to the one of profit-
ability.
(h)Ability to raise capital
(53)No specific problem to raise capital or obtain loans was experi-
enced by the Community industry during the analysis period.
(i)Employment and wages
(54)Employment in the Community industry decreased by 9 % in the
analysis period to less than 350 persons while total labour costsincreased by 11 % (an increase by around 20 % per employee).
(j)Investment
(55)During the analysis period, the Community industry made
sustained investment to increase its productivity and rationaliseits production process. The sums invested each year were fairly
stable.
(k)Productivity
(56)The Community industry's productivity based upon tonnes
produced per person employed for the production and sales ofPAC increased by 7 % in the analysis period.2002R1011 — EN — 29.05.2003 — 001.001 — 9
▼B
(l)Magnitude of dumping and recovery from past dumping
(57)As concerns the impact on the situation of the Community
industry of the magnitude of the actual margin of dumping foundduring the IP, it should be noted that the margin found for Chinais significant. Due to the existence of anti-dumping measures
however, the Community industry could recover from past
dumping.
4.Exportactivity oftheCommunityindustry
(58)The Community industry's exports of PAC slightly increased
over the analysis period, and represent somewhat more than athird of total production.
5.Importvolumesandpricesfromotherthirdcountries
(59)The total import volumes of PAC from third countries other than
China decreased during the analysis period from about 7 600tonnes in 1997 to 5 400 tonnes in the IP, corresponding to
market shares of around 20 % and 15 % respectively. The major
exporters to the Community have been the United States ofAmerica, Malaysia and Indonesia. While imports from theUnited States of America have halved, imports from these lattercountries increased from about 1 100 tonnes in 1997 to 1 900
tonnes in the IP. Average import prices from Malaysia and Indo-
nesia were lower than those of the Community industry and inthe same range as prices of imports originating in China.
6.SalesofotherCommunityproducers
(60)Other Community producers of PAC are mainly processors of
GAC not subject to anti-dumping measures. In the analysisperiod, they started to import more GAC from China to grind itinto PAC. They, thus, were able to gain market share from 10 %
in 1997 to more than 20 % in the IP. This competition, however,
did not prevent the Community industry to sell its PAC at aprice allowing a reasonable profitability.
7.Conclusion
(61)The measures have enabled the Community industry to return to
profitability and have alleviated the price pressure exerted by thedumped imports originating in China. However, the Communityindustry continued to lose market share especially as other
Community producers started to sell PAC made from GAC
originating in China. Thus, while its financial situation is satis-factory, its market position remains fragile.
G.LIKELIHOODOFRECURRENCEOFINJURY
(62)It is recalled that in recital 39 it was concluded that the expiry of
the measures would be likely to lead to a significant increase ofdumped imports from China into the Community.
(63)Indeed, should the measures lapse, it is likely that considerablevolumes will be shipped to the Community market at very lowprices which significantly undercut the Community industry's
prices. The current price differential of 15 % between the
imported product and the Community industry's product (seerecital 45) could increase to exceed 30 % (the amount of dutyin relation to current import prices), if the measure were allowedto expire. It should be noted that the current Chinese export
price to the Community (on a cif basis) is in line with Chinese
export prices to other third countries.
(64)It is estimated that at least 10000 tonnes of PAC originating inChina could be exported to the Community as soon as the dutyhas lapsed. This would represent more than a fourth of theCommunity market. As in this type of industry there are highfixed costs and very high reignition costs in case of productionstoppage, the arrival of such a quantity of dumped imports2002R1011 — EN — 29.05.2003 — 001.001 — 10
▼B
would immediately cause a severe price depression on the
market as the Community industry would first try to maintainits market share rather than reduce its production. This would
in turn completely erode the Community industry's profitability
and the industry would return to losses similar to those experi-enced in 1993. In the medium term the Community industrycould be forced out of the market as there is no more room forsignificant gains in productivity which would allow it to operate
at lower unit costs.
(65)The above should be seen in the following context. The situation
of the Community Industry has undoubtedly improved (althoughthis industry is still fragile). For instance, the Communityindustry recorded losses of 10,8 % in the original IP which
have been turned into a profit of about 6 %. The likely impact
of increased imports made at dumped prices set out in thepreceding paragraph is also confirmed when looking at themain changes which occurred in the market between the originalIP and the current IP.
— During the current IP, the market share of imports from
China was significantly lower than during the original IP.
— The price differential between the Community prices and
prices of the Chinese imports has been significantly reduceddue to the existence of the duty.
— During the current IP there were low-priced imports from
Indonesia and Malaysia but the quantities still remainedconsiderably below the levels found for China in the originalIP. It is also recalled that imports from Malaysia were
already present on the Community market during the original
IP.
— The market share of producers in the Community, which are
not part of the Community industry, has increased.
On this basis, it is concluded that the main change which led to
an improvement of the situation of the Community industry, was
the restoration of a level playing field vis-à-vis imports of PAC
from China. Therefore, the positive situation of the Communityindustry would quickly deteriorate should Chinese exportingproducers again have the possibility to dump on the Communitymarket at significantly increased quantities.
(66)On the basis of the above, it is concluded that, should the
measures be allowed to expire, there is a likelihood of recur-
rence of injury.
H.COMMUNITYINTEREST
1.Preliminary remark
(67)In accordance withArticle 21 of th e basic Regulation it was
examined whether a prolongation of the existing anti-dumpingmeasures would be against the interest of the Community as a
whole. The determination of Community interest was based on
an appreciation of all the various interests involved, i.e. thoseof the Community industry, other Community producers, theimporters/traders as well as the users and suppliers of theproduct under consideration.
(68)It should be recalled that, in the previous investigation, the adop-tion of measures was considered not to be against the interest ofthe Community. Furthermore, the present investigation is areview, thus analysing a situation in which anti-dumpingmeasures have already been in place, which would allow the
assessment of any undue negative impact of the current anti-
dumping measures on the parties concerned.
(69)On this basis it was examined whether, despite the conclusion onthe benefit of the measures for the Community industry and onthe likelihood of a recurrence of injurious dumping shouldmeasures expire, compelling reasons existed which would lead2002R1011 — EN — 29.05.2003 — 001.001 — 11
▼B
to the conclusion that it is not in the Community interest to
maintain measures in this particular case.
2.InterestsoftheCommunityindustry
(70)The Community industry has proven to be a structurally viable
industry, able to adapt to the changing conditions on the market.This was confirmed in particular by the positive development of
its situation at a time when effective competition had been
restored after the imposition of anti-dumping measures onimports originating in China and by the industry's investment instate of the art production capacity. However, it can beconcluded that, without the continuation of anti-dumping
measures, its situation will in all likelihood severely deteriorate.
3.Interestsofotherproducers
(71)Taking into account the likely quantities and prices of Chinese
PAC likely to be exported to the Community if measures were
allowed to lapse, other producers of PAC, including from gran-ular activated carbon originating in China, would also see theirmarket share and economic situation deteriorate.
4.Interestsofunrelatedimporters/traders
(72)The Commission sent out questionnaires to 26 unrelated impor-
ters/traders. No answer was received.
(73)In these circumstances it was concluded that the continuation ofmeasures would not affect the unrelated importers/traders.
5.Interestsofusers
(74)The Commission sent out questionnaires to 42 users. Two
incomplete answers were received from which it was evidentthat PAC had a very small impact on costs (less than 0,1 %).
6.Interestsofsuppliers
(75)The Commission sent out questionnaires to 11 suppliers of raw
materials to PAC producers to which only two answers werereceived. The replies were positive to keeping the measures in
place as that would mean continued secured sales in the
Community.
7.Conclusion
(76)Given the above, it is concluded that there are no compelling
reasons, on the grounds of Community interest, against theprolongation of the anti-dumping measures.
I.ANTI-DUMPINGMEASURES
(77)All parties were informed of the essential facts and considera-
tions on the basis of which it is intended to recommend themaintenance of existing measures. They were also granted aperiod to make representations subsequent to this disclosure. Nocomments were received.
(78)It follows from the above that, as provided for by Article 11(2)of the basic Regulation, the anti-dumping measures applicable to
imports of PAC originating in China, imposed by Regulation
(EC) No 1006/96, should be maintained,
HAS ADOPTED THIS REGULATION:
Article 1
1. A definitive anti-dumping duty is hereby imposed on imports of
powdered activated carbon falling within CN code ex 3802 10 002002R1011 — EN — 29.05.2003 — 001.001 — 12
▼B
(TARIC code 3802 1000*20) originating in the People's Republic of
China.
2. The amount of the definitive anti-dumping duty shall be EUR 323
per tonne (net weight).
3. In cases where goods have been damaged before entry into free
circulation and, therefore, the price actually paid or payable is appor-tioned for the determination of the customs value pursuant to Article145 of Commission Regulation (EEC) No 2454/93 of 2 July 1993laying down provisions for the implementation of Council Regulation
(EEC) No 2913/92 establishing the Community Customs Code (
1), the
amount of anti-dumping duty, calculated on the basis of the amountsset above, shall be reduced by a percentage which corresponds to theapportioning of the price actually paid or payable.
Article 2
Unless otherwise specified, the provisions in force concerning customs
duties shall apply.
Article 3
This Regulation shall enter into force on the day following that of its
publication in the Official Journal of the European Communities .
This Regulation shall be binding in its entirety and directly applicable
in all Member States.2002R1011 — EN — 29.05.2003 — 001.001 — 13
(1) OJ L 253, 11.10.1993, p. 1. Regulation as last amended by Regulation (EC)
No 444/2002 (OJ L 68, 12.3.2002, p. 11).▼M1
▼B