16.2.79 OfficialJournaloftheEuropeanCommunities NoL41/29
COMMISSION RECOMMENDATION No294/79/ECSC
of13February1979
imposingaprovisionalanti-dumping dutyoncertainhematitepigironorigi
natinginBrazil
THECOMMISSION OFTHEEUROPEAN
COMMUNITIES ,
HavingregardtotheTreatyestablishingtheEuropean
CoalandSteelCommunity ,andinparticularArticles
74and86thereof,
HavingregardtoCommission recommendation
77/329/ECSConprotectionagainstdumpingorthe
grantingofbountiesorsubsidiesbycountrieswhich
arenotmembersoftheEuropeanCoalandSteel
Community('),asamendedbyrecommendations No
3004/77/ECSC(2)andNo158/79/ECSC(3),andin
particularArticles15and19thereof,
HavingheardtheopinionsexpressedwithintheAdvi­
soryCommitteeprovidedforbyrecommendation
77/329/ECSC,
WhereastheCommunity haspublishedbasic
prices(4)establishedonthebasisofthelowestnormal
pricesornormalcostsofproductioninthesupplying
countryorcountrieswherenormalconditionsof
competitionprevailandincludingthecostsoftrans­
port,insuranceandcustomsduties;
Whereas,theCommunity havingreceiveda
complaintallegingthatdumpingexistsonthepartof
Brazilianexportersoftheproductsmentionedin
Article 1ofthisrecommendation fromwhichmaterial
injuryhasresulted,hasopenedaninvestigation (5)
concerningtheproductsinquestion;
WhereastheCommission hasascertained thatthe
pricesofimportsintotheCommunityoftheproducts
inquestionoriginatinginBrazilarebelowthebasic
pricespublishedbytheCommission forthesesame
products;whereasitthusappearsfromapreliminary
examinationthatdumpingexists;
Whereas,withregardtotheinjurytotheindustry
concerned,theevidencesubmittedtotheCommis­
sionshowsthat,ontheonehandimportsintothe
Community oftheproductsinquestionhave
increasedoverallfrom416000tonnesin1974to
713000tonnesin1977,whileimportsoriginatingin
Brazilhaveincreasedfromapproximately 0tonnesto
401000tonnesduringthesameperiod;whereasoverallimportsintotheCommunity havethus
achievedamarketshareof33%andimportsorigi­
natinginBrazilamarketshareof19%;
Whereasin1978theevolutionofimportswasinflu­
encedbyanti-dumping measuresandtheconclusion
ofarrangementswithrespecttotradeinsteelproducts
betweentheCommunityandmostofthesupplying
countries ;whereas,however,Brazilhasbeenableto
keepanimportantshareofthemarket,namely12%,
duringthefirstninemonthsof1978;whereasthis
marketsharethreatenstoincreaseagainin1979;
whereasontheotherhandtheCommunityindustryis
inastateofcrisischaracterisedbyareductioninthe
regionof28-2%indeliveriesintheCommunityof
theproductsconcernedbetween1974and1978and
bythenumberofemployeesaffectedbyredundancies
andshorttimeworkinginthefirmsconcernedwhich
hasgonefromabout6000to4000between1974and
1978,andfinallythattheindustryshowedreduced
profitsorseriouslossesinmostofthefirms
concerned ;
WhereasthepricesofimportsintotheCommunityof
productswhichoriginateinBrazilareconsiderably
lowerthanthepricesforsaleswithintheCommunity
oftheseproductsmdebytheEuropeanindustry;
whereasthisundercuttingjeopardizestheequilibrium
ofthewholepricesystem,bothinsofarasit
concernstheEuropeanproducersandtheproducers
inthoseothersupplyingcountrieswhichhave
concludedarrangementswithrespecttotiradeinsteel
products;whereas,consequently ,theseimportsare
causingorthreatentocauseamaterialinjurytothe
Communityindustryortoamajorpartthereof;
Whereasimmediateactionhasbeenrequestedbya
MemberState;
Whereas,intheseriousconditionsbeingexperienced
bytheCommunityindustry,theinterestsofthe
Communityrequireimmediateaction;
WhereasitisfortheCommission ,withoutprejudice
totheresultsoftheinvestigationopenedinaccor­
dancewithArticle 11ofrecommendation 77/329/
ECSC,todecidepromptlytoapplyprovisional
measuresconsistingoftheimpositionofaprovisional
anti-dumping dutyonimportsoftheproducts
concernedoriginatinginBrazil,therateofwhich
correspondstothedifferencebetweenthebasicprice
publishedbytheCommissionfortheseproductsand
theirimportpriceintotheCommunity,(')OJNoL114,5,5.1977,p.6.
(2)OJNoL352,31.12.1977,p.13.
(3)OJNoL21,30.1.1979,p.14.
(4)SeetheCommissioncommunication of31.12.1977
concerningthebasicpriceofcertainsteelproducts(OJ
NoL353,31.12.1977,p.1),asamendedbythecommu­
nicationsof1.4.1978(OJNoL87,1.4.1978,p.4),13.
5.1978(OJNoL126,13.5.1978,p.6),5.7.1978(OJ
NoL183,5.7.1978,p.3)and30.12.1978(OJNoL
372,30.12.1978,p.2).
(5)OJNoC35,8.2.1979,p.3.

NoL41/30 OfficialJournaloftheEuropeanCommunities 16.2.79
4.Thisdutyshallbecollectedonthesamebasisas
customsduties.
Article2
TheentryoftheproductsdescribedinArticle1for
consumptionwithintheCommunityshallbecondi­
tionaluponthedepositofasecurityfortheamountof
theprovisionalduty.
Article3
Thisrecommendation isaddressedtotheMember
States.
Thisrecommendation willcomeintoeffectineach
MemberStatefromthedateofitspublicationinthe
OfficialJournaloftheEuropeanCommunities .HASADOPTEDTHISRECOMMENDATION :
Article1
1.Aprovisionalanti-dumping dutyishereby
imposedonthefollowingproductsoriginatingin
Brazil:
—hematitepigironwithacontentofmorethan
1%siliconandcontainingatleast0-1%of
manganesebyweight,
—CommonCustomsTariffsubheadingex73.01B,
—NIMEXEcodes73.01-23,25.
2.Theamountofthisdutyshallbetheamountby
whichtheeffectiveprice(basicpriceplusextras)esta­
blishedbycontract,freeatfrontierduty-paid,islower
thantheeffectiveprice(basicpriceplusextras)for
theseproductsmostrecentlypublishedbythe
Commissionatthetimeofitsentryforconsumption
withintheCommunity .
3.Theamountofthisdutyshall,however,be
reducedtotheextentthattheimporterestablishesto
thesatisfactionofthecompetentnationalauthorities
thatthepricedifferentialreferredtoinparagraph2
aboveisduetoadiminutioninvalueresultingfrom
thefactthatthequalityoftheseproductsisinferiorto
thelowestqualitydescribedinthelastpublicationof
basicpricesbytheCommission .DoneatBrussels,13February1979.
FortheCommission
ÉtienneDAVIGNON
MemberoftheCommission