Commission Regulation (EC) No 1178/98 of 5 June 1998 initiating an investigation concerning the alleged circumvention of anti-dumping measures imposed by Council Regulation (EC) No 1015/94 on imports of certain television camera systems originating in Japan and making the latter imports subject to registration
Date: 1998-06-05
Institutions: European Commission
Subjects: EU control, Japan, anti-dumping duty, import, recording equipment, television

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Official Journal of the European Communities

6. 6. 98

COMMISSION REGULATION (EC) No 1178/98

of 5 June 1998

initiating an investigation concerning the alleged circumvention of anti-
dumping measures imposed by Council Regulation (EC) No 1015/94 on imports
of certain television camera systems originating in Japan and making the latter
imports subject to registration

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

B. REQUEST

Having regard to the Treaty establishing the European
Community,

(4)

Having regard to Council Regulation (EC) No 384/96 of
22 December 1995 on protection against dumped imports
from countries
the European
Community (1), as last amended by Regulation (EC) No
905/98 (2), and in particular Articles 13 and 14 thereof,

not members

of

After consulting the Advisory Committee,

Whereas:

(1)

(2)

(3)

A. PREVIOUS INVESTIGATIONS

In April 1994, the Council, by Regulation (EC) No
1015/94 (3), as last amended by Regulation (EC) No
1952/97 (4), imposed a definitive anti-dumping duty
on imports of television camera systems (herein-
after TCS) originating in Japan. The rate of the
definitive anti-dumping duty amounted to 62,6 %
for Sony Corporation (hereinafter ‘Sony'), to 82,9 %
(hereinafter
for
‘Ikegami') and to 52,7 % for Hitachi Denshi Ltd
(hereinafter ‘Hitachi').

Ikegami Tsushinki Co Ltd

In October 1995, the Council, by Regulation (EC)
No 2474/95 (5), amended Regulation (EC) No
1015/94, in particular as regards the like product
definition and as regards certain models of profes-
sional cameras explicitly exempted from the scope
of the definitive anti-dumping duties.

for

In October 1997, the Council, by Regulation (EC)
No 1952/97 amended the rates of the definitive
anti-dumping duty
Sony Corporation to
to 200,3 % in
108,3 % and Ikegami Tsushinki
accordance with Article 12 of Regulation (EC) No
384/96 (hereinafter ‘the Basic Regulation'). Further-
more, the Council decided that certain models of
professional camera should be explicitly exempted
the definitive anti-dumping
from the scope of
duties and therefore be added to the Annex of the
abovementioned Regulation (EC) No 1015/94.

(1) OJ L 56, 6. 3. 1996, p. 1.
(2) OJ L 128, 30. 4. 1998, p. 18.
(3) OJ L 111, 30. 4. 1994, p. 106.
(4) OJ L 276, 9. 10. 1997, p. 20.
(5) OJ L 255, 25. 10. 1995, p. 11.

The Commission has received a request pursuant
to Article 13(3) of the Basic Regulation to invest-
igate alleged circumvention of anti-dumping duties
imposed by Regulation (EC) No 1015/94 on
imports of television camera systems originating in
Japan, by the importation of modules, kits, sub-
assemblies and parts from Japan, which are al-
legedly used to assemble television camera systems
in the Community;
these
modules, kits, sub-assemblies and parts subject to
registration by customs authorities pursuant
to
the Basic Regulation; and to
Article 14(5) of
propose to the Council, where justified, the exten-
sion of the above anti-dumping duties to the latter
imports.

to make imports of

C. APPLICANT

(5)

The request has been lodged on 23 April 1998 by
Philips Broadcast Television Systems bv.

D. PRODUCT

(6)

(7)

The product concerned by the allegation of
circumvention are television camera modules, kits,
sub-assemblies and parts thereof from Japan, which
the assembly in the European
are used for
Community of television camera systems. These
products
classified within the
following CN codes ex 8529 90 72, ex 8529 90 81,
ex 8542 13 72,
ex 8531 20 80,
ex 8531 20 59,
ex 8538 10 00, ex 8539 90 91 and ex 9002 90 90.
These codes are given for information only.

currently

are

E. EVIDENCE

request

contains

sufficient

The
preliminary
evidence in accordance with Article 13(3) of the
Basic Regulation to initiate an investigation to
examine whether
the anti-dumping duties on
imports of television camera systems originating in
Japan are being circumvented by imports of televi-
sion camera modules, kits, sub-assemblies and parts
from that country, subsequently used in assembly
or completion operations in the Community. The
request concerns only two Japanese exporters,
namely Sony and Ikegami.

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Official Journal of the European Communities

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(8)

The evidence is as follows:

F. PROCEDURE

(a) Since the introduction of

the anti-dumping
duties in 1994, and especially since the imposi-
tion of further duties in 1997 on imports of
Ikegami and Sony in accordance to Article 12
of the Basic Regulation, a change has taken
place in the pattern of trade between Japan and
the European Community. Between 1995 and
television camera systems
1997,
from Japan have
decreased,
whereas sales volumes,
turnover and market
shares of the product concerned of Japanese
importers/assemblers in the Community would
have remained stable or have even increased.

significantly

imports of

This change in the pattern of trade is alleged to
stem from an increase in assembly operations
in the Community, for which it is alleged there
is insufficient due cause or economic justifica-
tion, apart from the existence of anti-dumping
duties. The two Japanese exporters in question
set up assembly operations at the time of the
imposition of anti-dumping duties in 1994. The
most obvious cause of
the abovementioned
change in the pattern of trade is that imports of
television camera modules, kits, sub-assemblies
and parts are not subject to the anti-dumping
duty imposed on imports of assembled televi-
sion camera systems originating in Japan,
which amount to 108,3 and 200,3 % for televi-
sion camera systems produced by Sony and
Ikegami respectively.

the parts of

Moreover,
the request provides preliminary
evidence that the value of Japanese parts or
components is not less than 60 % of the total
value of
the television camera
systems assembled in the Community, and that
the added value to the parts brought in, during
the assembly completion operation in the
Community, is not greater than 25 % of the
manufacturing cost.

(b) Furthermore, the request contains preliminary
evidence of dumping in relation to the normal
values established in the previous investigations
in respect of television camera systems origin-
ating in Japan. It shows that the prices of tele-
vision cameras assembled in the Community
from Japanese modules, kits, sub-assemblies
and parts are lower than the non-dumped level
of the export prices of the television camera
systems as established in the previous Article 12
investigation.

(c) Finally,

the

request
contains preliminary
the alleged circumvention is
evidence that
undermining the
the
existing anti-dumping duties in terms of quant-
ities and prices of the assembled like product.

effects of

remedial

(9)

In the light of
the evidence contained in the
request, the Commission has concluded that suffi-
cient evidence exists to initiate an investigation
pursuant to Article 13(3) of the Basic Regulation,
and to make imports from Japan of
television
camera modules, kits,
subassemblies and parts
mentioned in recital 7 subject to registration, in
accordance with Article 14(5) of the said Regula-
tion.

Investigation

(10) Owing to the complexity of the product concerned
and the specificities of this case as well as the
seriousness of the alleged circumvention of anti-
dumping duties by the exporters concerned, the
Commission considers it appropriate to start its
investigation by visits and inspections, particularly
amongst importers and parties related to the ex-
porters concerned, in order to obtain the informa-
tion deemed necessary to permit an efficient
investigation.

These visits shall take place starting immediately
after the publication of this Regulation in the Offi-
cial Journal of the European Communities.

(11)

In order to obtain the information it deems neces-
sary for the investigation, the Commission may
send questionnaires to the Japanese producers of
television cameras named in the request, as well as
to their related importers in the Community which
are deemed to be the assemblers of
television
cameras.

(12) Other interested parties which can show that they
are likely to be affected by the outcome of the
investigation should ask for a copy of the question-
naire as soon as possible, as they are also subject to
the time limit set out
in this Regulation. Any
request for questionnaires must be made in writing
to the address mentioned below, and should indi-
cate the name, address, telephone and fax numbers
of the requesting party.

Certificates of non-circumvention

(13)

In accordance with Article 13(4) of the Basic Regu-
lation, certificates exempting imports of the prod-
ucts concerned from registration or measures may
be granted, when the importation does not consti-
tute circumvention. Since the issue of these certi-
ficates
the
Community institutions, requests for such author-
isations should be addressed to the Commission as
early as possible in the course of the investigation
so they may be considered on the basis of a thor-
ough appraisal of their merits.

the prior authorisation of

requires

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Official Journal of the European Communities

6. 6. 98

G. REGISTRATION

(14)

Pursuant to Article 14(5) of the Basic Regulation,
customs authorities shall be instructed to register
the modules, kits, sub-assemblies and parts listed
below, in order to ensure that, should the anti-
dumping duties applicable to imports of television
camera systems originating in Japan with regard to
Sony and Ikegami be extended to the former
imports, they may be collected from the date of
such registration:

(cid:190) television camera housing panels, whether or

not assembled,

(cid:190) colour splitters with three or more charge-
coupled
attached
pick-up
including electronic (sub)assemblies, whether or
not including a filter wheel,

devices

device

ested parties, provided that they can show that they
are likely to be affected by the results of the invest-
igation, may make their views known in writing. A
period should also be fixed within which interested
parties may make a written request for a hearing
and show that they have particular reasons why
they should be heard.

Furthermore, it should be stated that, in cases in
which any interested party refuses access to, or
otherwise does not provide necessary information
within the time limit, or significantly impedes the
investigation, provisional or final findings, affirma-
tive or negative, may be made in accordance with
Article 18 of the Basic Regulation, on the basis of
the facts available,

(cid:190) wide-angle oculars for TV camera viewfinders,
including optics with certain anti-reflect coat-
ings,

(cid:190) printed circuit boards with active elements of a
kind used for television cameras, operational
control panels, master control panels and TV
camera base stations,

HAS ADOPTED THIS REGULATION:

Article 1

in MOS

(cid:190) signal processor in the form of an integrated
of
circuit
processing and correcting (including gamme-
flare-correction
correction, contour-correction,
and leaking-pixel-correction) digital
(video)
images of television,

technology

capable

(cid:190) liquid crystal displays of a kind used in camera

control systems,

(cid:190) boards, panels, consoles, desks, cabinets and
other bases of a kind used in camera control
systems

ex 8529 90 72,

ex 8529 90 81,

An investigation pursuant to Article 13(3) of Regulation
(EC) No 384/96 of imports of television camera systems
modules, kits, sub-assemblies and parts falling within CN
ex 8542 13 72,
codes
ex 8531 20 59,
ex 8538 10 00,
ex 8531 20 80,
ex 8538 90 91 and ex 9002 90 90, originating in Japan
and used in assembly operations of television camera
systems in the Community is hereby initiated. The above-
mentioned codes are given for information. They are only
indicative and have no binding effects on the classifica-
tion of the product.

H. TIME LIMIT

Article 2

(15)

In the interest of sound administration, a period of
40 days from the date of publication of this Regula-
tion in the Official Journal of the European
Communities should be fixed within which inter-

Customs authorities are hereby directed, pursuant
to
Article 13(3) and 14(5) of Regulation (EC) No 384/96, to
take the appropriate steps to register imports from Japan
of the following parts:

Parts/modules

CN code

Television camera housing panels, whether or not assembled

Colour splitters with three or more charge-coupled device
pick-up devices attached including electronic (sub) assemblies,
whether or not including a filter wheel

ex 8529 90 81
(TARIC code: 8529 90 81*39)

ex 8529 90 72
(TARIC code: 8529 90 72*40)

Wide-angle oculars for TV camera viewfinders, including optics
with certain anti-reflection coatings

ex 9002 90 90
(TARIC code: 9002 90 90*40)

Printed circuit boards with active elements of a kind used for
television cameras, operational control panels, master control
panels and TV camera base stations

ex 8529 90 72
(TARIC code: 8529 90 72*50)

ex 8538 90 91
(TARIC code: 8538 90 91*91)

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Parts/modules

CN code

Signal processor in the form of an integrated circuit in MOS
technology capable of processing and correcting (including
and
gamme-correction,
leaking-pixel-correction) digital
television
cameras.

contour-correction,
(video)

flare-correction
images of

Liquid crystal displays of a kind used in camera control systems

ex 8542 13 72
(TARIC code: 8542 13 72*10)

ex 8531 20 59
(TARIC code: 8531 20 59*30)

ex 8531 20 80
(TARIC code: 8531 20 80*40)

Boards, panels, consoles, desks, cabinets and other bases of a
kind used in camera control systems

ex 8538 10 00
(TARIC code: 8538 10 00*91)

Registration shall expire nine months following the date
of entry into force of this Regulation.

Any information relating to the matter and any request
for a hearing should be sent to the following address:

Imports shall not be subject to registration where they are
accompanied by a customs certificate issued in accord-
ance with Article 13(4) of Regulation (EC) No 384/96.

Article 3

Interested parties must, if their representations are to be
taken into account during the investigation make them-
selves known, present their views in writing, submit in-
formation and apply to be heard by the Commission
within 40 days from the date of publication of this Regu-
lation in the Official Journal of the European Commun-
ities. This time limit also applies to all interested parties
not named in the request, and it is consequently in the
interest of all these parties to contact the Commission
without delay at the address indicated below.

European Commission,
Directorate General I,
External Relations: Commercial Policy and Relations with
North America, the Far East, Australia and New Zealand,
Directorates C and E,
DM 24, 8/144,
Rue de la Loi/Wetstraat 200,
B-1049 Brussels;
fax:

(32 2) 295 65 05.

Article 4

into force on the day
This Regulation shall enter
following 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.

Done at Brussels, 5 June 1998.

For the Commission

Leon BRITTAN

Vice-President