2000/70/EC: Commission Decision of 22 December 1999 accepting an undertaking offered in connection with the interim review of the anti-dumping duty applicable to imports of certain seamless pipes and tubes of iron or non alloy steel originating, inter alia, in Russia
Date: 1999-12-22
Institutions: European Commission
Subjects: Russia, anti-dumping duty, import, originating product, piping, tube

L 23/78

EN

Official Journal of the European Communities

28. 1. 2000

COMMISSION DECISION

of 22 December 1999

accepting an undertaking offered in connection with the interim review of the anti-dumping duty
applicable to imports of certain seamless pipes and tubes of iron or non alloy steel originating, inter
alia, in Russia

(2000/70/EC)

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European
Community,

Having regard to Council Regulation (EC) No 384/96 of 22
December 1995 on protection against dumped imports from
countries not members of the European Community (1), as last
amended by Regulation (EC) No 905/98 (2), and in particular
Article 8(1) thereof,

After consulting the Advisory Committee,

Whereas:

A. PROCEDURE

(1)

(2)

(3)

1. Previous investigation

By Regulation (EC) No 2320/97 (3) (hereinafter referred
to as the ‘definitive Regulation’), the Council
imposed
definitive anti-dumping duties on imports of certain
iron or non-alloy steel
seamless pipes and tubes of
originating in Hungary, Poland, Russia,
the Czech
Republic, Romania and the Slovak Republic. Undertak-
ings were offered by most exporting producers in the
countries subject
to the above measures, and were
accepted by the Commission in all but one case.

The undertaking offered by the Russian exporting
producers was not accepted by the Commission as it did
not contain the necessary guarantees on the part of the
Russian authorities to allow adequate monitoring. The
definitive Regulation therefore imposed an ad valorem
anti-dumping duty at the level definitively established for
imports originating in Russia,

i.e. 26,8 %.

Recital 87 of the definitive Regulation provided for the
type of anti-dumping measure in respect of Russia to be
modified, if ever there was a change in circumstances
such that the conditions for the acceptance of an under-
taking were met.

2. Review investigation

(4)

The Russian authorities
subsequently provided the
Commission with guarantees which appeared to be suffi-
cient for the adequate monitoring of an undertaking, as

(5)

(6)

(7)

(8)

(9)

discussed in the framework of the original investigation,
and the Russian exporting producers requested that the
Commission accept such an undertaking.

after

Having determined,
consulting the Advisory
Committee, that sufficient evidence existed for the initia-
tion of an interim review, the Commission initiated such
a review pursuant to Article 11(3) of Regulation (EC)
384/96 (hereinafter referred to as the ‘basic Regulation’),
limited in scope to the examination of the acceptability
of an undertaking from the Russian exporting producers
concerned. The notice of initiation of the interim review
the European
was published in the Official
Communities (4).

Journal of

B. UNDERTAKING

1. Nature of the undertaking

All interested parties were invited to make their views
known and provide supporting evidence within the
deadline set in the notice of initiation.

The undertaking which is being offered jointly by the
Russian authorities and the Russian exporting producers
concerned is modelled on those offered, and accepted by
investigation by
the Commission,
in the original
Commission Decision 97/790/EC (5).
the
In addition,
Russian Ministry of Trade has guaranteed to supervise
and monitor the undertaking.

The exporting producers have undertaken to sell to or
for export to the Community up to a certain quantity of
the product concerned at revised prices so that
the
injurious effects of the dumping found in the original
investigation are eliminated.
they have
offered to ensure that their prices per product group fall
into line with the price structure prevailing on the
Community market.

In addition,

Having carefully examined the proposal for an under-
taking, the Commission is satisfied that, in case of accep-
tance, the elimination of the injury will be achieved by
two means: first a price undertaking up to an annual
volume threshold, and then an ad valorem anti-dumping
duty levied on any imports above this threshold.

(1) OJ L 56, 6.3.1996, p. 1.
(2) OJ L 128, 30.4.1998, p. 18.
(3) OJ L 322, 25.11.1997, p. 1.

(4) OJ C 77, 20.3.1999, p. 6.
(5) OJ L 322, 25.11.1997, p. 63.

28. 1. 2000

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Official Journal of the European Communities

L 23/79

for

The Russian Ministry of Trade has undertaken to control
and authenticate production certificates
each
invoiced shipment exported to the Community which
falls within the agreed threshold quantity free of anti-
dumping duty. In order to ensure that the quantity of
imports exempted from the ad valorem anti-dumping
duty does not exceed the threshold quantity in respect of
which the undertaking has been offered, the exemption
will be conditional on the presentation to the Communi-
ty's customs authorities of a valid original production
certificate. This certificate shall be issued in conformity
with the specifications set out in the Council Regulation
amending the anti-dumping measures applicable to
imports of certain seamless pipes and tubes originating,
inter alia,

in Russia (1).

2. Monitoring of the undertaking

(10)

The monitoring of this joint undertaking will be three-
fold: firstly, the Russian Ministry of Trade has agreed to
provide the Commission with a quarterly report listing
all production certificates which have been issued, speci-
fying the producer, the quantity exported, the importer
and the first independent customer in the Community:
secondly, the exporting producers, which are also parties
to the undertaking, have agreed to provide the Commis-
sion with a quarterly report giving information on their
sales for export to the Community, and to keep records
available
the
into the
Commission will monitor
Community and may verify the records kept at
the
premises of the exporting producers concerned.

verification;

subsequent

imports

thirdly,

the

for

3. Breach of the undertaking

(11)

The undertaking will be underpinned by a definitive
anti-dumping duty (the duty rate applicable to Russia is
26,8 %) which may be imposed in the event of a breach
in accordance with Article 8(9) of the basic Regulation.

(12) Moreover, if the Commission has reasons to believe that
the undertaking is being breached, a provisional duty
may be imposed pursuant to Article 8(10) of the basic
Regulation.

C. COMMENTS OF THE COMMUNITY INDUSTRY

(13) Having been informed of the main facts and considera-
tions on the basis of which the Commission intended to
industry
accept
expressed its opposition to the acceptance of an under-
taking from the Russian exporting producers concerned,
as the situation of the Community industry was wors-

the undertaking,

the Community

(1) See page 1 of this Official Journal.

ening due to the decrease in demand in the Community
and a decrease in the Community industry's exports. The
industry argued that allowing the Russian exporting
producers concerned to export each year
to the
Community a set quantity of the product concerned free
of anti-dumping duty (albeit at revised prices), would
worsen the situation of the Community producers even
further, resulting in additional
job losses and reduced
market share.

The Commission recalls that the undertaking submitted
in the framework of this review, which consists in a
pricing commitment within the limits of a threshold
quantity, is similar to those already accepted from other
exporting producers in the countries concerned by the
previous investigation, and to which the Community
industry did not
the time.
Furthermore, since the entry into force of these under-
takings, the Commission has not received any informa-
tion which would demonstrate that they do not have
their intended effect of removing injurious dumping.

raise any objections at

It should also be borne in mind that, should the
Community industry receive information that absorp-
tion practices by the exporting producers are taking
place, the Commission will examine whether an invest-
igation pursuant to Article 12 should be opened.

In addition, it is emphasised that the threshold quantity
for the price undertaking offered in this investigation has
been fixed at a level substantially below the volume
imported during the investigation period established in
the previous investigation.

the

The Commission therefore considers that the acceptance
of the undertaking submitted by the Russian authorities
jointly with the exporting producers concerned will not
have
the
Community industry. The undertaking will be closely
monitored and, in the event of any breach, the Commis-
sion will take the necessary steps to reimpose measures
forthwith,

consequences

negative

feared

by

(14)

(15)

(16)

(17)

HAS ADOPTED THIS DECISION:

Article 1

The undertaking offered jointly by the Russian authorities and
by the exporting producers mentioned below,
in the frame-
work of the interim review of the anti-dumping measures
applicable to imports of certain seamless pipes and tubes of
iron or non-alloy steel originating, inter alia, in Russia is hereby
accepted.

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Official Journal of the European Communities

28. 1. 2000

Country

Product manufacturer

Taric additional code

Russia

Taganrog Metallurgical Works

Pervouralsky Novotrubny

Chelyabinsk Tube-Rolling Plant

Article 2

A042

A043

A044

The investigation in connection with the interim review of the anti-dumping measures applicable to
imports of certain seamless pipes and tubes of iron or non-alloy steel originating, inter alia, in Russia is
hereby terminated.

This Decision shall enter into force on the day following its publication in the Official Journal of the European
Communities.

Article 3

Done at Brussels, 22 December 1999.

For the Commission

Pascal LAMY

Member of the Commission