Notice of initiation of an anti-dumping proceeding concerning imports of sulphanilic acid originating in the People's Republic of China and India
Date: 2001-07-06
Institutions: European Commission
Subjects: China, India, acid, anti-dumping legislation, import, originating product

C 190/2

EN

Official Journal of the European Communities

6.7.2001

Notice of initiation of an anti-dumping proceeding concerning imports of sulphanilic acid orig-
inating in the People’s Republic of China and India

(2001/C 190/02)

The Commission has received a complaint pursuant to Article
5 of Council Regulation (EC) No 384/96 (1), as last amended by
Regulation (EC) No 2238/2000 (2)
(the Basic Regulation),
alleging that imports of sulphanilic acid, originating in the
People’s Republic of China and India (the countries concerned),
are being dumped and are thereby causing material injury to
the Community industry.

1. Complaint

The complaint was lodged on 22 May 2001 by Sorochimie
Chimie Fine (the complainant), which represents a major
proportion,
the total
in this case more than 75 %, of
Community production of sulphanilic acid.

2. Product

The product allegedly being dumped is sulphanilic acid, a
chemical used as raw material to produce optical brighteners,
food colorants, speciality dyes and concrete additives orig-
inating in the People’s Republic of China and India (the
product concerned), currently classifiable within CN code ex
2921 42 10. This CN code is only given for information.

3. Allegation of dumping

The allegation of dumping in respect of India is based on a
comparison of normal value established on the basis of
domestic prices, with the export prices of
the product
concerned to the Community.

In view of provisions of Article 2(7) of the Basic Regulation,
the complainant established normal value for the People’s
Republic of China on the basis of
the price in a market
economy country, which is mentioned in paragraph 5.1(d) of
this notice. The allegation of dumping is based on a
in the preceding
comparison of normal value, as set out
sentence, with the export prices of
the product concerned
when sold for export to the Community.

On this basis, the dumping margin calculated is significant.

4. Allegation of injury

The complainant has provided evidence that imports of the
product concerned from the People’s Republic of China and
India have increased overall in absolute terms and in terms of
market share.

It is alleged that the volumes and the prices of the imported
product concerned have, among other consequences, had a
negative impact on the market share held, the quantities sold
and the level of prices charged by the Community industry,
effects on the overall
resulting
adverse
situation and the employment
performance,
situation of the Community industry.

in substantial

the financial

(1) OJ L 56, 6.3.1996, p. 1.
(2) OJ L 257, 11.10.2000, p. 2.

5. Procedure

Having determined, after consulting the Advisory Committee,
that the complaint has been lodged by or on behalf of the
Community industry and that there is sufficient evidence to
justify the initiation of a proceeding, the Commission hereby
initiates an investigation pursuant to Article 5 of the Basic
Regulation.

5.1. Procedure for the determination of dumping and injury

investigation will

The
the product
concerned originating in the People’s Republic of China and
India is being dumped and whether this dumping has caused
injury.

determine whether

(a) Sampling

In view of the apparently large number of parties involved
in this proceeding, the Commission may decide to apply
sampling in accordance with Article 17 of the Basic Regu-
lation.

(i) Sampling for

exporters/producers

in the People’s

Republic of China and India

In order to enable the Commission to decide whether
sampling is necessary and, if so, to select a sample, all
exporters/producers, or representatives acting on their
behalf, are hereby requested to make themselves known
by contacting the Commission and providing the
following information on their company or companies
within the time limit set in paragraph 6(b)(i) of this
notice:

(cid:151) name, address, e-mail address, telephone, and fax,

and/or telex numbers and contact person,

(cid:151) the turnover in local currency and the volume in kg
of the product concerned sold for export to the
Community during the period 1 July 2000 to 30
June 2001,

(cid:151) whether the company intends to submit a claim for
an individual margin or market economy status in
the case of companies in the People’s Republic of
China (individual margins and market economy
status can only be claimed by producers),

(cid:151) for all companies in India and those companies in
the People’s Republic of China claiming market
in local currency
economy status,
the turnover
and the sales volume in kg for
the product
concerned on the domestic market during the
period 1 July 2000 to 30 June 2001,

(cid:151) the precise activities of the company with regard to

the production of the product concerned,

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Official Journal of the European Communities

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(cid:151) the names and the precise activities of all related
involved in the production and/or
the product

companies (1)
selling (export and/or domestic) of
concerned,

(cid:151) any other relevant information that would assist the

Commission in the selection of the sample,

(cid:151) an indication of whether the companies agree to
sample, which implies
and accepting an

their
inclusion in the
replying to a questionnaire
on-the-spot investigation of their response.

In order to obtain the information it deems necessary
for the selection of the sample of exporters/producers,
the Commission will,
the auth-
in addition, contact
orities of
the exporting countries, and any known
associations of exporters/producers.

vidual examination would be unduly burdensome and
would prevent the timely completion of the investigation.

(c) 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 has to reach the Commission within
the time limit set in paragraph 6(a)(ii) 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(a)(iii) of this notice.

(ii) Final selection of the sample

(d) Selection of the market economy country

interested parties wishing to submit any relevant
the sample
in paragraph

All
information regarding the selection of
must do so within the time limit set
6(b)(i) of this notice.

The Commission intends to make the final selection of
the sample after having consulted the parties concerned
that have expressed their willingness to be included in
the sample.

Companies included in the sample must reply to a
questionnaire within the time limit set in paragraph
6(b)(ii) of this notice and must cooperate within the
framework of the investigation.

sufficient

cooperation is not

If
the
Commission will base its findings, in accordance with
Articles 17(4) and 18 of the Basic Regulation, on the
facts available.

forthcoming,

(b) 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 sampled exporters/
producers in the People’s Republic of China and India, to
any association of exporters/producers,
to the importers
importers named in the
and to any association of
complaint,
exporting
the
countries concerned.

authorities of

and to the

Exporters/producers in the People’s Republic of China and
India claiming an individual margin, with a view to the
application of Articles 17(3) and 9(6) of the Basic Regu-
lation, must submit a completed questionnaire within the
time limit set in paragraph 6(a)(ii) of
this notice. They
therefore have to request a questionnaire within the time
limit set in paragraph 6(a)(i) of this notice. However, such
parties should be aware that
if sampling is applied to
exporters/producers,
the Commission may nonetheless
decide not to calculate an individual margin for them, if
the number of exporters/producers is so large that indi-

(1) For guidance on the meaning of related companies, please refer to
Article 143(1) of Commission Regulation (EEC) No 2454/93
concerning the implementation of the Community Customs Code
(OJ L 253, 11.10.1993, p. 1).

In accordance with Article 2(7)(a) of the Basic Regulation, it
is envisaged to choose the United States of America as an
appropriate market economy country for the purpose of
the People’s
establishing normal value in respect of
Republic of China. Interested parties are hereby invited to
comment on the appropriateness of this choice within the
specific time limit set in paragraph 6(c) of this notice.

(e) Market economy status

For those exporters/producers in the People’s Republic of
China which claim and provide sufficient evidence that they
i.e. that they
operate under market economy conditions,
meet the criteria laid down in Article 2(7)(c) of the Basic
Regulation, normal value will be determined in accordance
with Article 2(7)(b) of
the Basic Regulation. Exporters/
producers intending to submit duly substantiated claims
must do so within the specific time limit set in paragraph
6(d) of this notice. The Commission will send claim forms
to all exporters/producers in the People’s Republic of China
who have either been included in the sample or named in
the
exporters/
producers named in the complaint, as well as to the auth-
orities of the People’s Republic of China.

and to any association of

complaint

5.2. Procedure for assessment of Community interest

this

their

industry,

they prove that

link between their

the Community interest. For

In accordance with Article 21 of the Basic Regulation and in
the event that the allegations of dumping and injury caused
thereby are substantiated, a decision will be reached as to
whether the adoption of anti-dumping measures would not
reason the
be against
Community
representative
importers,
associations, representative users and representative consumer
organisations, provided that
there is an
objective
and the product
in
concerned, may, within the general
paragraph 6(a)(ii) 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
in paragraph
6(a)(iii) of this notice. It should be noted that any information
to Article 21 will only be taken into
submitted pursuant
account
the time of
submission.

if supported by factual evidence at

activity

limits

time

set

set

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Official Journal of the European Communities

6.7.2001

6. Time limits

(a) General time limits

(i) For parties to request a questionnaire or claim forms

All interested parties should request a questionnaire or
claim forms as soon as possible, but not later than 15
days after the publication of this notice in the Official
Journal of the European Communities.

(ii) For parties to make themselves known, to submit ques-

tionnaire 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.

Companies selected in a sample must submit ques-
tionnaire replies within the time limits specified in
paragraph 6(b)(ii) of this notice.

(iii) Hearings

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

(b) Specific time limit in respect of sampling

(i) All information relevant for the selection of the sample
should reach the Commission within 15 days of the
date of publication of this notice in the Official Journal
of the European Communities, given that the Commission
intends
concerned that have
expressed their willingness to be included therein on
the final selection of the sample within a period of
21 days of
this notice in the
Official Journal of the European Communities.

to consult parties

the publication of

(ii) The questionnaire replies from sampled parties must
reach the Commission within 37 days from the date
of the notification of their inclusion in the sample.

comments must reach the Commission within 10 days of
the date of publication of this notice in the Official Journal
of the European Communities.

(d) Specific time limit for submission of claims for market economy

status

Duly substantiated claims for market economy status, as
mentioned in paragraph 5.1(e) of this notice, must reach
the Commission within 21 days of the date of the selection
of any sample or as determined by the Commission.

7. Written submissions, questionnaire replies and corre-

spondence

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 (cid:151) 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 does
not provide the necessary information within the time limits,
or significantly impedes the investigation, provisional or final
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.

9. Schedule of the investigation

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

Parties to the investigation may wish to comment on the
appropriateness of
the USA which, as mentioned in
paragraph 5.1(d) of this notice, is envisaged as a market-
economy country for the purpose of establishing normal
value in respect of the People’s Republic of China. These

The investigation will be concluded, according to Article 6(9)
of the Basic Regulation within 15 months of the date of the
publication of this notice in the Official Journal of the European
Communities. According to Article 7(1) of the Basic Regulation,
provisional measures may be imposed no later than nine
months from the publication of
this notice in the Official
Journal of the European Communities.