ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(80)178
Vol.1980/0054

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM (80)178 final
Brussels ,2nd April 1980
PROPOSAL FOR ACOUNCIL REGULATION (EEC )
CONCERNING THE DEFINITIVE COLLECTION OFPART OFTHE
PROVISIONAL ANTI-DUMPING DUTY ONCERTAIN ACRYLIC FIBRES
ORIGINATING INTHE UNITED STATES OFAMERICA
(presented bytheCommission totheCouncil )
» .
v?-'■■■v.-^
\\-
COM (80)178 final

EXPLANATORY MEMORANDUM
J
ByRegulation (EEC)No.2712/79of30November1979theCommission
imposedaprovisional anti-dumping dutyoncertainacrylicfibres
originating intheUnitedStatesofAmericawhichwasextendeduntil
4May1980byCouncilRegulation (EEC)No.522/80.TheCommunity's-
anti-dumping Regulation (EEC)No.3017/79requirestheCommissionto
submitaproposalfordefinitive measurestotheCouncilnotlater
thanonemonthbeforetheexpiryofthemeasure.
Sincetl>eextensionoftheDutytheCommission'sserviceshave .^
continuedtheirexamination ofthismatterandhavecarriedout
anenquirywiththeonlyAmericanexporterconcerned .
Thisfurther ,examination hasestablished thatsincetheentryinto
forceoftheprovisional measurenodumpinghasoccuredforoneof
theproductsconcernedwhilstdumpingcontinuedtotake-placefor
theotherproductinvolved/theaveragemarginofwhich.is2.6%.
Inthesecircumstances ,theCommission submitstheattachedproposal
foraCouncilRegulation concerning thedefinitivecollectionofthat
partoftheprovisional dutywhichrelatestotheproductfor
whichdumpingandinjuryhavefinallybeenestablished .

PROPOSAL
COUNCIL REGULATION (EEC)
theaefinitivecollectionofpartoftheorovisional anti-damping dutyon.
acrylicfibresoriginating intheUnitedStatesofAmerica
THECOUNCIL OFTHEEUROPEAN COMMUNITIES ,
»
HavingregardtotheTreatyestablishing theEuropeanEconomicCommunity,
HavingregardtoCouncilRegulation (EEC)No.3017/79of20December1979on
protection againstdumpedorsubsidized importsfromcountriesnotmembersofthe
EuropeanEconomicCommunity (1),
Havingregardtotheproposalsubmitted bytheCommissionafterconsultation with
theAdvisoryCommitteesetupunderArticle6ofRegulation (EEC)No.3017/79,
Whereason11May1979theCommission received acomplaintsubmitted byCIRFS,the
International RayonandSyntheticFibresCommittee onbehalfofthequasi-tota Iity
oftheCommunityproducersofacrylicfibres,settingoutevidenceastothe
existenceofdumpingofthelikeproductoriginating inGreece,Japan,Spain,Turkey
andtheUnitedStatesofAmericaandofmaterial .injuryresultingtherefrom;
Whereas,sincetherewassufficient evidencetojustifyinitiating aproceeding
theCommission publishedintheOfficialJournaloftheEuropeanCommunities of
12June1979anoticeoftheinitiation ofahanti-dumping procedureconcerning
importsofcertainacrylicfibresoriginating inGreece,Japan,Spain,Turkeyand
theUnitedStatesofAmerica(2),soadvisedtheexporters andimporters knownbythe
Commission tobeconcerned,aswellasrepresentatives ofthecountriesconcerned
andthecomplainants andcommencedtheinvestigation atCommunitylevelandgave
thepartiesdirectlyconcernedtheopportunity tomakeknowntheirviewsin t
writingandtobeheardorally,andtomeetsothatopposingviewsmightbe j
presented andrebuttalargumentsputforward; '–
^preliminary
Whereas,forthepurposesofadetermination ofdumpingandinjury,theCommission
madeonthespotinvestigations attheofficesoftheAmericanexporterswhoseoperations
weredeemedtorequireinvestigation ,namelytheAmericanCyanamidCompany,Wayne,
NewJersey,USAandtheBadischeCorporation,Williamsburg ,Virginia,USA;whereasConçerninq
certain
(1)0JNo.L339,31.12.1979,p.1
(2)0JNo.C146,12.6.1979,p.2m

-2-
similarinvestigations werecarriedoutattheofficesofVomvicryl S.A.
Athens,Greece,AkritikKimyaSanayiiA.S.,Istanbul,Turkey;whereastheCommission had
carriedoutonthespotinvestigations attheofficesofthemainCommunitypredueei**
involvednamelytheItaliancompaniesAnjCSPA,.;Milan;Montefibre SPA,Milan,
SocietàItalianaResinaSPA(S.I.R.),MilanandSNIAViscosaSPA,Milan;
Whereasitemergedfromtheinvestigations carriedoutinGreeceandTurkeythatno
clumpingexistedinthecaseoftheexportsof-theseproducerstotheCommunity and
theinvestigation wasconsequently closedinsoiafastheyareconcerned;
Whereastomakeapreliminary examination oftheexistenceofdumpingbyAmerican -
producers,theCommission comparedtheirexportpricestotheCommunitywiththose
rulingontheAmericanmarket;
Whereasweightedaverageswereusedforthesecomparisons ,whichweremadeatthe
ex-factorylevel-forsalesduringtheperiod1June1976-to31May1979; ~
Whereasalltheallowance 'sclaimedbytheBadische'Corporation fortransport and
sellingexpensesweregranted;whereas,however,thecompany'sclaimthatfirst
qualitymaterialsoldasdevelopment samplesatlowpricesshouldnotbeincluded
intheoverallnetweightedaveragecalculation forfirstqualitymaterialwas
disallowed sincethevolumeofthesalesconcernedconstituted ahigh
proportionoftotalsalesandthecompanydidnotprovidesufficient evidence
tojustifyitsclaim; _i
Whereas ,theallowanceclaimedbytheAmericanCyanamidCompanyfortransport
costswasgranted;whereas,intheabsenceofsufficient evidenceinsuppott ,
oftheirclaimthattherewerevirtuallynosellingexpensesonexportstothe
Community,thebreakdownofthesecostswasbasedontheavailableaccounting
data,allocatedproportionately totheturnoverforeachproductandmarketunder
consideration ;whereastheexporterinquestionrequestedinaddition .asupplementary
adjustmentforcertainadministrative andotherexpenses;whereas,intheabsenceof
sufficientproofastothedirectrelationship oftheseexpenseswithithesalesunder
consideration ,theCommission wasnotabletotakethisrequestintoaccount;whereas
aclaimmadebytheAmericanCyanamidCompanyfordifferences intheproduction costof
certainacrylicfibressoldinthedomesticmarketasopposedtothosesoldinthe
Communitymarketwasnotallowedsincetheexporterinquestionrefusedtoprovide ,,
documentary proofinsupportofitsclaim;

-3-
WhereaswithregardtoinjurytheevidenceavailabletptheCommissionduring
I ^ industry
Ithepreliminary sxaminetionshewedthattheCommunity/Tisdbeenmakingstrenuous
effortstorecoverfromtheeffects,experienced overmanyyears,ofvirtual
stagnationofproductionandconsumption accompanied byconsiderable overcapacity
andextremelyhighlosses;
Whereasthisprocessofrecoveryhadentailedmajoreffortstoreducecapacity
andtorationalize whichhadresultedinanoverallreductionofapproximately 8%
oftheworkforcesince1977,andattemptsbytheEuropeanproducersto
increasetheirsellingpricesinordertocoversharplyincreasedrawmaterialcosts
andtoreachareasonableprofitsituation;
Whereas,whilsttheseattemptswerebeingmadebyCommuntiyproducers asignificant
increaseinimportshadtakenplaceespecially fromtheUnitedStatesofAmerica;
whereastheevidenceavailabletotheCommission showedthatimportsintotheCommunity
ofacrylicfibresoriginating intheUnitedStatesofAmericahadincreasedfrom7611
tonnesin1977to10719tonnesin1978representing anincreaseof41%,andto4301
tonnesinthefirstquarterof1979;whereasonthebasisofavailablestatistics
continuousfilamenttowrepresented approximately 60%anddiscontinuous acrylicfibre
represented 40%ofAmericanimports;whereastheAmericanmarketsharehadnearly
doubledsince1977from1.7%in1977to3.4%inthefirstthreemonthsof1979;
WhereasUSimportswereconcentrated -inItalywhich,forthefirstquarterof1979,
receivedalmost75%ofAmericanexportstotheCommunty;whereastheseexportsto
Italyhadincreasedfrom1794tonnesin1977to6225tonnesin1978representing ap
increaseof246%andto3181tonnesforthefirstquarterof1979indicatinganannual
increaseof104%comparedwith1978;whereasthemarketshareoftheseimportshad
increased from1.1%in1977to2.9%in1978andto6.0%forthefirstthreemonths
of1979;whereastheseincreasedAmericanexportstoItalyhadbeenatextremely
Lowpricesundercutting Italianproducersbyapproximately 25%;whereasthishad
resultedinalossofordersforItalianproducersanddepressionofpricesand
additionaIlossesforItalianproducers;
WhereastheevidenceavailabletotheCommissionalsoindicatedthatthissituationin
Italywhichrepresentsapproximately ~,30%ofCommunityproduction andapproximately8%
costs

-4-
40%ofCommunityconsumption hadaconsiderable impacton>'OtherCommunityproducers
whotraditionally exporttoItalyandwhowerealsofacingadifficultsituation
characterized byheavylosses,andwhowerecurrentlyforcetomeetartifically low
Americanprices;
X
Whereastherefore therewassufficient evidencetoshowthatthedumpedimports
originating intheUSAwereundermining theprocessofrecoveryofCommunityproducers;
whereas,consequently ,theseimportsconstituted injurytoaCommunityindustry;
Whereas,sincethispreliminary examination ofthemattershowedthatthere
wasdumping,thattherewassufficient evidenceofinjuryandthattheinterests
oftheCommunitycalledforimmediateintervention ,theCommission,byRegulation (EEC)
No.2712/79(1),imposedaprovisional anti-dumping dutyoncertainacrylicfibres
originating intheUnitedStatesofAmerica;
sinceithad • (
Whereas/emergedfromthepreliminary examination ofthefactsthatnodumping
existedonimportsfromE.I.DupontdeNemoursandCompany,Wilmington,Delaware,
USA.tJiisfirmwasexcludedfromtheapplication oftheprovisional duty;
furthermore
Whereas/oneoftheAmericanexporters,BadischeCorporation,Williamsburg ,Virginia,
USAhadvoluntarilyundertakento /'
increaseitspricestolevelswhichwereconsideredsatisfactory ;whereasthis
undertaking wasacceptedbytheCommission,whichaccordingly decidedtoterminate
theprocedureconcerningthiscompanyandtoexcludeitfromtheapplication ofthe
provisional duty! /
Whereassubsequently theCommission byRegulation (EEC)No.61/80(2),
excludedEastmanChemicalInternational A.G.andMonsantoInternational SalesCompany
from.theapplicationoftheprovisionalduty;sincetheinformationreceivedbythe
Commission wassufficienttosatisfyitthatnodumpingexistedontheir.,exports
totheCommunity. ''• '•
Wereasmoreoverinvestigations' " •., ''"7".'. ..wereearnedoutwithtiremainSpanishexporterinthecourseofwhichapriceundertaking
wasreceivedwhichwasconsidered satis*actorybytheCommission andtheprocedure was
consequently terminated asregardsimportsfromSpain(3);
(1)0JNo.L308,4.12.1979,p.11
(2)0JNo.L10,15.1.1980,p.7
(3)0JNo.C2,4.1.1980,p.6

-.5-
Whereassincetheexamination ofthefactsofthematterhadnotyetbeencompleted
andtheAmericanCyanamidCompanytheonlyknownexportertowhomtheprovisional
dutyappliedhadreqye3tadthatthedutybeextendedforaperiodnotexceeding
twomonths,theCouncilbyRegulation (EEC)No.522/80(1)soextendedtheduty,®
Whereasinthecourseofthesubsequentexamination ofthematter,completed
aftertheimpositionoftheprovisional anti-dumping duty,theinterestedparties
hadtheopportunity tomakeknowntheirviewsinwriting,tobeheardbythe
Commission andtoorallydeveloptheirviews,toinspectnon-confidential
information relevanttothedefenceoftheirinterests andtobeinformed
oftheessentialfactsandconsiderations onthebasisofwhichitwasintendedto
madeafinaldetermination ;whereastheCommunityproducersand someoftheexporters
andimportersconcernedavailedthemselvesofthesepossibilities bymakingknown
theirviewsinwritingandorally;
Whereasduringthesubsequentexamination theCommissioncarriedoutafurther
on-the-spotinvestigation attheofficesoftheAmericanCyanamidCompany;
Whereasforthepurposeofthisexamination theCommissioncomparedtheexportpricesto
theCommunityofthecompanyinquestionwiththoserulingontheAmericanmarket;
Whereasweightedaverageswereusedforthesecomparisons,whichweremadeatthe
ex-factorylevelforsalesduringtheperiod1December1979to29February19S0,
thelatestdateforwhichinformationisavailable;
Whereaswithregardtoalltheotherelementsaffectingthedumpingcalculations,
nonewinformation wasreceivedorfurtherargumentsadvancedwhichwouldhave
alteredthecalculations ;
Whereasconsequently itwasfinallyestablishedthatsincethedateofentryinto
forceoftheprovisional' anti-dumping duty,no.dumpingexistedfordiscontinuous
acrylicfibreandthattheweightedaveragedumpingmarginforcontinuousfilament
towofacrylicfibresduringthisperiodis2,6%.
(1)0JNoL594,3.1980,p.1

Whereaswithregardtoalltheotherelementsaffectingthedetermination ofinjury,
none-winformation wasreceivednorfurtherargumentsadvancedwhichcouldhave
alteredthatdetermination ;
Whereas,therefore,thefactsasfinallyestablished showtheexistenceof
dumpingandmaterialinjurytotheCommunityindustryconcerned;
Whereas,-inthesecircumstances ,protectionoftheCommunity'sinterestscallsforthe
definitivecollection oftheamountssecuredbywayofprovisional dutyinrespect
ofthoseacrylicfibresoriginating intheUnitedStatesofAmericaforxhichdumping
existedduringtheperiodofapplication oftheduty;
\
Whereas,justpriortotheexpiryoftheprovisional dutyAmericanCyanamid
Companyvoluntarily undertooktoincreaseitsprices;whereasacceptanceofthis
undertaking andthesubsequenttermination oftheproceeding withrespectto
AmericanCyanamidCompanyisunderconsideration bytheCommission;
Whereas,thepossibletermination oftheproceedingwithrespecttoAmerican
CyanamidCompanywilleliminatethenecessitytoimposeadefinitive anti-dumping
dutybecauseallmajorAmericanexporters knownwilleitherhavebeenexcluded
fromtheapplicationoftheprovisional dutyorwillhavegivenpriceundertakings ;
HASADOPTEDTHISREGULATION :
Article 1'
Theamountssecuredbywayofprovisional duty.underRegulation (EEC)No.2712/79
asamendedbyRegulation (EEC)No.61/80shallbedefinitively collected insofar
astheyconcerncontinuous filamenttowofacrylicfibrefallingwithinCommon
CustomsTariffsubheading ex56.02Aandcorresponding toNimexeCode56.02-15
attherateof2,6%onthebasisofthevaluedeclaredinaccordance with
Commission Regulation No.375/69of27February1969onthedeclaration of
particulars relatingtothevalueofgoodsforcustomspurposesd).

-7-
Article 2
This Regulation shall enter into force ontheday ofitspublication intheOfficial
Journal ofthe European Communities .
This Regulation shall bebinding initsentirety anddirectly applicable in .
all Member States .
Done atBrussels For the ,Council
(1)OJNo.L54of3.3.1969 ,p. 1