27. 7. 90 Official Journal of the European Communities NoC 186/33 
Notice of initiation of an anti-dumping proceeding concerning imports of dihydrostreptomycin 
(DHS) originating in the People's Republic of China and Japan 
(90/C 186/05) 
The Commission has received a complaint alleging that 
imports of dihydrostreptomycin (DHS) originating in the 
People's Republic of China and Japan are being dumped 
and are causing material injury to the Community 
industry concerned. 
Complainant 
The complaint was lodged by the European Council of 
Chemical Manufacturer's Federations (Cefic) on behalf 
of the sole producer of DHS in the Community. 
Product 
The product allegedly being dumped is DHS, an anti-
infectious agent obtained from the hydrogenation of 
streptomycin, which is a first generation antibiotic, used 
especially in the veterinary field and falling within CN 
code 2941 20 10. 
Allegation of dumping 
In the case of the People's Republic of China, a 
non-market economy country, it is necessary to compare 
the export prices with a normal value established on the 
basis of prices or costs in a market economy country in 
which the product is manufactured or sold. For this 
purpose, the complainant has suggested the domestic 
prices in Japan, the only other market economy, apart 
from the European Community, where the product is 
sold for consumption on the domestic market. 
In the case of Japan, the allegation of dumping is also 
based on a comparison of the domestic prices with the 
prices charged for export to the Community. 
On this basis, the alleged dumping margins are 
significant. 
Allegation of injury 
With regard to injury, the complaint alleges and supplied 
sufficient evidence that the imports in question have 
increased from 62 tonnes in 1985 to 74 tonnes in 1988 
and 58 tonnes in the first half of 1989, i.e. an increase of 
19 % from 1985 to 1988 and of 57 % from 1988 to 
1989, using extrapolated 1989 half-year figures. This 
represents an increase in market share from 26 % in 
1985 to 39 % in 1988 and 46 % in the first half of 1989. 
It is further alleged that the prices at which these imports 
were sold in the Community significantly undercut the 
price of the Community producer. The consequent impact on the Community industry is 
claimed to be a reduction in production levels of 30 % 
between 1985 and 1989, a decrease of market share from 
63 % in 1985 to 60 % in 1988 and 53 % in the first half 
of 1989, a reduction in prices in the face of substantial 
price undercutting by the exporters concerned resulting 
in severe losses for one Community producer and the 
closure in 1989 of the other Community producer of 
DHS. 
Procedure 
Having decided after consultation that there is sufficient 
evidence to justify the initiation of a proceeding, the 
Commission has commenced an investigation in 
accordance with Article 7 of Council Regulation (EEC) 
No 2423/88 of 11 July 1988 (*). Interested parties may 
make their views known in writing, in particular by 
replying to the questionnaire addressed to the parties 
known to be concerned and by providing supporting 
evidence. The Commission will hear parties, who so 
request when making their views known, provided they 
can show that they are likely to be affected by the result 
of the proceeding. 
This notice is published in accordance with Article 7 (1) 
(a) of the abovementioned Regulation. 
Time limit 
Any information relating to this matter, any argument 
concerning the allegation of dumping and injury 
resulting therefrom, and any request for a hearing should 
be sent in writing to reach the Commission of the 
European Communities, Directorate General for 
External Relations, (Division I/C-2) 200 rue de la Loi, 
B-1049 Brussels (2), not later than 30 days following the 
date of publication of this notice or, in the case of parties 
known to be concerned, the date on which the letter 
accompanying the abovementioned questionnaire was 
received, whichever date is the later. The said letter shall 
be deemed to have been received seven days after the 
date of its dispatch. 
If the required information and arguments are not 
received in adequate form within the time limit specified 
above, the Community authorities may make preliminary 
or final findings on the basis of the facts available in 
accordance with Article 7 (7) (b) of Council Regulation 
(EEC) No 2423/88. 
0) OJ No L 209, 2. 8. 1988, p. 1. 
O Telex COMEU B 21877; telefax (32 2) 235 65 05.