Notice of initiation of an expiry review of the anti-dumping measures applicable to imports of polyester staple fibre originating in Belarus

(2001/C 211/08)

Following the publication of a notice of impending expiry(1) of the anti-dumping measures in force on imports of polyester staple fibre originating in Belarus, ("the country concerned"), the Commission has received a request for review pursuant to Article 11(2) of Council Regulation (EC) No 384/96(2), as last amended by Regulation (EC) No 2238/2000(3) ("the basic Regulation").

1. Request for review

The request was lodged on 30 April 2001 by the International Committee of Rayon and Synthetic Fibres (CIRFS) ("the applicant") on behalf of producers representing a major proportion, in this case more than 50 %, of the total Community production of polyester staple fibre.

2. Product

The product under review is polyester staple fibre originating in Belarus ("the product concerned"), currently classifiable within CN code 5503 20 00. This CN code is given only for information.

3. Existing measures

The measures currently in force are a definitive anti-dumping duty imposed by Council Regulation (EC) No 1490/96(4), as extended by Regulation (EC) No 2513/97(5), to cover imports of polyester filament tow (PFT), which circumvented the original measure.

4. Grounds for the review

The request is based on the grounds that the expiry of measures would be likely to result in a recurrence of dumping and injury to the Community industry.

With regard to the recurrence of dumping, evidence was presented that the exports to other third countries (such as the United States of America, Ukraine, Hungary and Lithuania) were made at dumped prices. Furthermore, the fact that measures were circumvented (see below) shows a structural propensity to dump. Also, Belarus's exports of the product concerned are subject to anti-dumping measures in other third countries (Turkey, Poland), pointing to this same propensity.

The applicant presents evidence that, should measures lapse, the current import level of the product concerned is likely to increase. There is substantial unused capacity in Belarus which is likely to be directed to the Community due to the measures in force in traditional markets other than the Community (i.e. Turkey and Poland), to the saturation of other regional markets (in particular, the Americas and the Asia-Pacific region), and to the existence of well-established distribution channels for Belarus's products in the Community. Also, an indication of quantities that would be exported to the Community is given by the past circumvention activities (see below).

Concerning injury aspects, the applicant alleges that the situation of the Community industry is still fragile and that any recurrence of substantial imports at dumped prices from the country concerned would be likely to lead to a recurrence of further injury to the Community industry, should measures lapse.

Furthermore, the applicant points out that during the period of imposition of measures, the exporters/producers of the product concerned from Belarus undermined the existing measures by circumvention practices, which were counteracted by Regulation (EC) No 2513/97 by which measures were extended to imports of polyester filament tow from Belarus.

5. Procedure

Having determined, after consulting the Advisory Committee, that sufficient evidence exists to justify the initiation of an expiry review, the Commission hereby initiates a review in accordance with Article 11(2) of the basic Regulation.

5.1. Procedure for the determination of likelihood of dumping and injury

The investigation will determine whether the expiry of the measures would be likely, or unlikely, to lead to a continuation or recurrence of dumping and injury.

(a) Questionnaires

In order to obtain the information it deems necessary for its investigation, the Commission will send questionnaires to the Community industry and to any association of producers in the Community, to the exporters/producers in Belarus, to any association of exporters/producers, to the importers, to any association of importers named in the request or which cooperated in the investigation leading to the measures subject to the present review, and to the authorities of the exporting country concerned.

In any event, all parties should contact the Commission forthwith by fax in order to find out whether they are listed in the request and if necessary request a questionnaire within the time limit set in paragraph 6(a), given that the time limit set in paragraph 6(b) of this notice applies to all interested parties.

(b) Collection of information and holding of hearings

All interested parties are hereby invited to make their views known, submit information other than questionnaire replies and to provide supporting evidence. This information and supporting evidence must reach the Commission within the time limit set in paragraph 6(b) of this notice.

Furthermore, the Commission may hear interested parties, provided that they make a request showing that there are particular reasons why they should be heard. This request must be made within the time limit set in paragraph 6(c) of this notice.

(c) Selection of the market-economy third country

In accordance with Article 2(7) of the basic Regulation, it is envisaged to choose Taiwan as an appropriate market-economy country for the purpose of establishing normal value in respect of Belarus, since, inter alia, it was used as an analogue market in previous investigations concerning the same product. Interested parties are hereby invited to comment on the appropriateness of this choice within the specific time limit set in paragraph 6(d) of this notice.

5.2. Procedure for the assessment of Community interest

In accordance with Article 21 of the basic Regulation and in the event that the likelihood of a continuation of dumping and injury is confirmed, a decision will be reached as to whether to maintain or repeal the anti-dumping measures would not be against the Community interest. For this reason the Community industry, importers, their representative associations, representative users and representative consumer organisations, provided that they prove that there is an objective link between their activity and the product concerned, may, within the time limits set in paragraph 6(b) of this notice, make themselves known and provide the Commission with information. The parties which have acted in conformity with the precedent sentence may request a hearing, setting the particular reasons why they should be heard, within the time limit set in paragraph 6(c) of this notice. It should be noted that any information submitted pursuant to Article 21 will only be taken into account if supported by factual evidence at the time of submission.

6. Time limits

(a) For parties to request a questionnaire

All interested parties who did not cooperate in the investigation leading to the measures subject to the present review should request a questionnaire as soon as possible, but not later than 15 days after the publication of this notice in the Official Journal of the European Communities.

(b) For parties to make themselves known, to submit questionnaire replies and any other information

All interested parties, if their representations are to be taken into account during the investigation, must make themselves known by contacting the Commission, present their views and submit questionnaire replies or any other information within 40 days of the date of publication of this notice in the Official Journal of the European Communities, unless otherwise specified.

(c) Hearings

All interested parties may also apply to be heard by the Commission within the same 40-day time limit.

(d) Specific time limit for the selection of the market-economy country

Parties to the investigation may wish to comment on the appropriateness of Taiwan which, as mentioned in paragraph 5.1(c) of this notice, is envisaged as a market-economy country for the purpose of establishing normal value in respect of Belarus. These comments must reach the Commission within 10 days of the publication of this notice in the Official Journal of the European Communities.

7. Written submissions, questionnaire replies and correspondence

All submissions and requests made by interested parties must be made in writing (not in electronic format, unless otherwise specified), and must indicate the name, address, e-mail address, telephone and fax, and/or telex numbers of the interested party.

Commission address for correspondence: European Commission Directorate-General for Trade

Directorates B and C

TERV 0/13

Rue de la Loi/Wetstraat 200 B - 1049 Brussels Fax (32-2) 295 65 05 Telex COMEU B 21877.

8. Non-cooperation

In cases in which any interested party refuses access to or otherwise does not provide the necessary information within the time limits, or significantly impedes the investigation, findings, affirmative or negative, may be made in accordance with Article 18 of the basic Regulation, on the basis of the facts available.

Where it is found that any interested party has supplied false or misleading information, the information shall be disregarded and use may be made of the facts available.

(1) OJ C 29, 30.1.2001, p. 3.

(2) OJ L 56, 6.3.1996, p. 1.

(3) OJ L 257, 11.10.2000, p. 2.

(4) OJ L 189, 30.7.1996, p. 13.

(5) OJ L 346, 17.12.1997, p. 1.