Council Regulation (EC) No 1011/2002 of 10 June 2002 imposing a definitive anti-dumping duty on imports of powdered activated carbon (PAC) originating in the People's Republic of China
Date: 2002-06-10
Institutions: Council of the European Union
Subjects: China, anti-dumping duty, coal, dumping, import, originating product

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Official Journal of the European Communities

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I

(Acts whose publication is obligatory)

COUNCIL REGULATION (EC) No 1011/2002

of 10 June 2002

imposing a definitive anti-dumping duty on imports of powdered activated carbon (PAC)
originating in the People's Republic of China

THE COUNCIL OF THE EUROPEAN UNION,

igation (4) pursuant to Article 11(2) of Regulation (EC)
No 384/96 (the basic Regulation).

(4)

(5)

(6)

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), and in
particular Article 11(2) thereof,

Having regard to the proposal submitted by the Commission
after consulting the Advisory Committee,

Whereas:

(1)

(2)

A. PREVIOUS INVESTIGATION

By Regulation (EC) No 1006/96 of 3 June 1996 (2), the
Council
imposed a definitive anti-dumping duty on
imports of powdered activated carbon originating in the
People's Republic of China.

B. PRESENT INVESTIGATION

impending
Following the publication of a notice of
expiry (3) of the anti-dumping measures in force, the
Commission received a request for an expiry review
Industry Council
lodged by the European Chemical
(CEFIC) on behalf of
together repre-
senting a major proportion (more than 80 %) of the
total Community production of powdered activated
carbon (PAC). The
injurious
dumping of imports originating in the People's Republic
of China (China) would be likely to recur if the measures
expired.

two producers,

alleged that

request

(3)

Having determined,
consulting the Advisory
Committee, that sufficient evidence existed for the initia-
tion of a review, the Commission initiated an invest-

after

(7)

(1) OJ L 56, 6.3.1996, p. 1. Regulation as last amended by Regula-

tion (EC) No 2238/2000 (OJ L 257, 11.10.2000, p. 2).

(2) OJ L 134, 5.6.1996, p. 20.
(3) OJ C 349, 6.12.2000, p. 5.

The investigation into the likelihood of a continuation
or recurrence of dumping and injury covered the period
from 1 June 2000 to 31 May 2001 (IP). The exam-
ination of trends relevant for the assessment of a likeli-
hood of a continuation or recurrence of injury covered
the period from 1997 up to the end of the IP (analysis
period).

the

advised

applicant
The Commission officially
the exporters and exporting
Community producers,
and
importers/traders, users
in China,
producers
suppliers, which were known to be concerned, of the
initiation of the review. The Commission sent question-
naires to all these parties and to those who made them-
selves known within the time limit set in the Notice of
initiation. The Commission also gave the parties directly
concerned the opportunity to make their views known
in writing and to request a hearing.

the product concerned in China,

The Commission sent out 26 questionnaires to unrelated
importers/traders and 49 questionnaires to exporters
and exporting producers in China. Furthermore, due to
the apparent high number of exporters and exporting
producers of
the
Commission sent out a questionnaire asking specific
information on average sales volume and prices of PAC
(sample questionnaire) of each exporter and exporting
in order to determine whether
producer concerned,
sampling was necessary. No answer was received from
importers/traders, and one exporter in China replied to
the sample questionnaire, but subsequently stopped
cooperating.

The Commission also sent questionnaires to all other
parties known to be concerned and received replies from
the two Community producers on whose behalf the
request for review was lodged and from two suppliers of
raw materials and two users.

(4) Notice of initiation: OJ C 163, 6.6.2001, p. 7.

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(8)

The Commission sought and verified all the information
it deemed necessary for the purpose of
the deter-
mination of the likelihood of continuation or recurrence
of dumping and injury and for the determination of the
Community interest. Verification visits were carried out
at the premises of the following companies:

Producer
America:

in the analogue country United States of

— NORIT Americas Inc, Atlanta, Georgia;

Community producers:

— Norit NV, Netherlands,

— Ceca SA, France.

C. PRODUCT UNDER CONSIDERATION AND LIKE

PRODUCT

(9)

(10)

The product under consideration is the same as in the
i.e. PAC currently classifiable
original
investigation,
within CN code ex 3802 10 00.
It is a microporous
form of carbon, obtained from a variety of raw material
such as coal, peat, wood, lignite, olive stones or coconut
shells, which are activated by means of steam or chem-
ical process. PAC is a very fine powder. Activated
carbons are also sold in granular forms (granulated acti-
vated carbon or GAC) which are not covered by the
measures in force.

Subsequently to the imposition of definitive measures in
1996, certain difficulties appeared as to the distinction
of activated carbon sold in powder
from activated
carbon sold in granular form. In this regard, it is impor-
tant to note that both products are made of ensembles
of particles of carbon whose size vary and there is no
international standard in respect of PAC. Therefore, for
the purpose of implementation of the measures, the
Community Customs Code Committee defined PAC in
the following way: ‘powdered activated carbon consists
of at least 90 percent by mass ( % m/m) of particles
with a size less
than 0,5 mm’. The investigation
confirmed the accuracy of this definition.

(11)

The general applications of PAC are: water treatment
(potable process and waste water), gas and air purifica-
tion, solvent recovery, decolourisation of sugar, veget-
ables oils and fats, deodorisation and purification of
different products in the chemical (i.e. organic acids) or
pharmaceutical
food
industries (i.e. alcoholic and soft drinks).

(i.e. gastrointestinal capsule) or

(12) As

shown in the previous

and as
confirmed in the present investigation, it has been estab-
lished that PAC produced and sold by the Community
producers and PAC imported from China are in all
respects identical and share therefore the same basic

investigation,

physical and chemical characteristics. China is an
economy in transition and, as mentioned in recital 18,
normal value had to be established on the basis of
information obtained in a market economy third
country. According to the information available, PAC
produced and sold in the market economy third
country, the United States of America has the same basic
physical and chemical characteristics as PAC produced
in China and exported to the Community. Therefore,
they are considered to be like products within the
meaning of Article 1(4) of the basic Regulation.

D. LIKELIHOOD OF CONTINUATION OR RECURRENCE

OF DUMPING

(13)

(14)

1. Preliminary remarks

In accordance with Article 11(2) of the basic Regulation,
the purpose of an expiry review is to determine whether
the expiry of the measures is likely to lead to a continua-
tion or recurrence of dumping.

In this respect, the volumes exported to the Community
during the IP were examined. It should be noted that
since none of the Chinese exporters nor any importer in
the Community cooperated during the present invest-
igation, export data were established in accordance with
Article 18 of the basic Regulation, i.e. on the basis of
information available. Since the imposition of definitive
anti-dumping duties in 1996, Community statistics are
available for imports of PAC. These statistics have been
confirmed by market research information submitted by
the complainant Community producers. On this basis,
and in the absence of any other more reliable informa-
tion, these statistics were used. They showed that during
the IP 993 tonnes of PAC were imported from China
into the Community.

(15) During the original IP, the import volume of Chinese
PAC into the Community amounted to 4 008 tonnes,
i.e. approximately 10 % of Community consumption.
Imports dropped in 1996 after the imposition of the
anti-dumping duty to 960 tonnes and remained rela-
tively stable in the following years, reaching 842 tonnes
in 1999, and 811 tonnes in 2000.

(16)

The market share of Chinese imports of PAC in the
Community as recorded in Eurostat is less than 3 % but
de minimis
above
i.e.
significant,
nonetheless
threshold of the basic Regulation (1).

the

2. Likelihood of continuation of dumping

(17)

it was

In the context of the likelihood of a continuation of
dumping,
investigated whether dumping of
exports from China was currently taking place. This was
on the grounds that, if dumping was taking place now,
this could be an important indication that dumping
would be likely to continue in future, should the meas-
ures be allowed to expire.

(1) Article 5(7) and Article 9(3).

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(a) Analogue country

United States domestic market in the ordinary course of
trade were used to determine the normal value in
accordance with Article 2(1) of the basic Regulation.

Since China is an economy in transition, normal value
was determined on the basis of information obtained in
an appropriate market economy third country selected
in accordance with Article 2(7) of the basic Regulation.

(c) Export price

(18)

(19)

The United States of America were selected as an appro-
priate analogue country in the original proceeding. As
indicated in the Notice of initiation, the Commission
envisaged to use the United States of America as an
appropriate analogue
country also in the present
In this respect, the investigation revealed
proceeding.
that the United States of America were the most appro-
priate analogue country for the following reasons:

of

countries

PAC worldwide.

for review showed that

the largest
The United States of America is one of
producing
Figures
submitted by the cooperating producer in the United
States of America and the Community producers behind
the request
the production
volume of both countries is comparable. Furthermore, as
mentioned in recital 12 PAC produced and sold in the
United States of America was found to be a like product
to PAC produced in China and exported to the
Community. Domestic sales made by the cooperating
United States producer (in terms of volume) were repres-
entative when compared to the imports of PAC from
China into the Community. Finally,
level of
competition in the United States of America was found
to be very high. In addition to the competition amongst
several producers in the United States of America, there
was also competition from imported PAC (mainly from
China, Philippines and Sri Lanka), which could be
imported without quantitative restrictions or import
duties. The main United States producer of PAC was
furthermore willing to cooperate.

the

(20) Given the above, and as no comments were received on
the choice of the analogue country by any of the inter-
ested parties, the United States of America was conse-
quently selected as
the most appropriate analogue
country.

(b) Normal value

(21)

In accordance with Article 2(1) of the basic Regulation,
it was considered whether domestic sales of PAC in the
United States of America could, considering the price
charged, be seen to be made in the ordinary course of
trade. For so doing the Commission examined whether
domestic sales were profitable. For this purpose the full
cost of production per unit of each grade during the IP
was compared to the average unit price of the sales
transactions of each grade made during the same period.
It was found that all sales were made at a profit. The
investigation also revealed that all sales were made to
independent customers. As a result the prices paid or
payable for PAC by independent customers on the

(22) As already mentioned, neither the Chinese exporters nor
exporting producers, nor any importer of PAC in the
Community cooperated in this proceeding. Therefore,
the export price was determined on the basis of facts
available in accordance with Article 18 of the basic
Regulation. As already mentioned in recital 14 of the
present Regulation, and in the absence of any other
more reliable information, this was done by reference to
Eurostat.

(23) Data in Eurostat are recorded on a cif European
Community frontier basis. These prices were brought to
a fob basis by deducting ocean freight and insurance
cost. The necessary information on these costs has been
submitted by the Community industry and used in the
calculations, in the absence of any other more reliable
information.

(d) Comparison

(24)

For the purpose of ensuring a fair comparison between
normal value and export price, account was taken of
differences in factors, which were found to affect prices
and price comparability in accordance with Article 2(10)
of the basic Regulation. In this regard, adjustments for
differences in the level of trade, commissions, packing
and inland transport costs were made.

(25) As far as the normal value is concerned, the weighted
average inland transport cost and packing cost per unit
were deducted from the domestic sales price.
Inland
transport cost included insurance, loading and unloading
costs. Given the non cooperation of the Chinese expor-
ters or exporting producers, and in the absence of any
more reliable information, the same amount for inland
transport and packing was deducted from the fob export
price.

(26) As far as packing costs are concerned, evidence was
submitted to the Commission by the complainant
Community industry, which showed that at least some
of the product exported to the Community was packed
in bags while the normal value was established on an ex
packaging costs basis. The export price was therefore
adjusted downwards for an appropriate amount of pack-
aging costs.

(27) Domestic sales in the United States of America were
mainly made to end-users, while Chinese exports of PAC
are, on the basis of information available, mainly made
to traders/distributors. Therefore, the normal value was
adjusted by a distributor discount applicable on the
United States domestic market.

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(28)

Furthermore and according to evidence submitted by the
Community industry, almost all export sales from China
were made via export agencies, due to the requirement
of export licences. Therefore, a commission fee of 1 %
was deducted from the export price.

(e) Dumping margin

(29)

The weighted average normal value and the weighted
average export price of all grades were compared at the
same level of trade, i.e. distributors/traders. The compar-
ison showed that exports of PAC to the Community
have been dumped at a substantial margin during the IP.
The dumping margin was equal to the amount by which
the normal value exceeded the prices for exports to the
Community. The weighted average dumping margin
exceeded 40 %.

3. Development of imports should measures expire

(30)

It was also examined as to how imports of PAC from
China would develop should measures expire. For that
purpose the spare production capacity in China, export
volume and the domestic market in China as well as the
Chinese price behaviour to other third countries were
examined. In the absence of cooperation from exporting
producers, market research information submitted by
the Community industry was used.

(a) Production capacity, domestic market in China and export

volume

(31)

The information available to the Commission showed
that China, together with the United States, is the largest
producer and exporter of activated carbons (granular
and powdered) in the world. Actual production of acti-
vated carbons in China amounted to about 100 000
tonnes in 1998 according to a statistical
industrial
census, provided by the Community industry, of which
40 % or 40 000 tonnes in powder form. Production
capacity was estimated at 140 000 tonnes during the
same period based on the capacity of the most impor-
tant Chinese producers
total
Chinese capacity, of which at least half can be dedicated
to the production of PAC, i.e. 70 000 tonnes. A spare
capacity of approximately 30 000 tonnes was thus avail-
able in 1998 for producing PAC.

representing 31 % of

(32) On the basis of data available for prior years included in
the abovementioned statistical industrial census, it was
estimated that the annual growth rate of consumption,
production and production capacity of PAC in China
amounted to at least 5 %. On this basis spare capacities
of PAC will reach up to 36 000 tonnes in 2003. Due to
the specific situation on the domestic market (see the

following) the total spare capacity would be available for
export.

(33)

Furthermore, according to the abovementioned statist-
ical industrial census, the Chinese domestic market was
characterised by a significant oversupply resulting in
unstable prices. Therefore, Chinese PAC producers
turned increasingly to export markets, often the only
possibility to maintain production at all. It is important
to note that there were no export restrictions (other than
export licences) of PAC in China. Given the situation on
the Chinese domestic market,
spare
capacities and the consequent need to explore export
markets,
it was considered likely that export prices
would be on a low level and dumped.

the significant

and Europe. However,

(34) Main export markets for Chinese PAC were south-east
Asia, Japan, the Republic of Korea, the United States of
according to the
America
evidence submitted by the Community industry,
the
additional need for imported PAC in the other third
countries would be minimal and the capability to absorb
further Chinese exports
therefore almost negligible.
Furthermore it should be noted that a number of poten-
tial export markets in the Asian region apply high
customs tariffs for PAC, such as India and Indonesia.

(35)

In contrast, should the anti-dumping duty be removed,
the Community market would be able to absorb large
quantities of Chinese PAC due to the significant
Community consumption. In this respect, it should also
be noted that Chinese exporters are still present on the
Community market via related importers, which facili-
tates increased imports and distribution of PAC.

(36)

it is
In conclusion, should the measures be removed,
likely that Chinese producers will increase their capacity
utilisation, as the Community would become an attrac-
tive export market.

(b) Price behaviour

(37) An analysis of the price behaviour of Chinese exporters
to other third countries, such as the United States of
America and Japan revealed that exports of PAC to these
countries were made at very low prices and were
dumped when compared to the normal value established
in this investigation. As regards the United States and
according to the evidence provided by the Community
industry, as well as the information provided by the
cooperating producer in the United States of America,
the level of dumping would exceed 40 %, while the
dumping margin for exports to Japan would be over
90 %.

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(38)

Considering the vast spare capacity available for exports
and the export-driven Chinese PAC production,
it is
reasonable to assume that the dumping margins that
could be practised in the Community, are likely to be at
least at the same level as those to other major exporting
markets of Chinese PAC, should anti-dumping measures
lapse.

F. SITUATION OF THE COMMUNITY MARKET

1. Community consumption

4. Conclusion on the likelihood of a continuation of

dumping

(39)

Imports of Chinese PAC during the IP were made above
de minimis levels and were still dumped. It was estab-
lished that dumping continued and that there is a strong
likelihood that it would continue should measures be
allowed to lapse. Moreover, it is likely that exports of
Chinese PAC to the Community will
significantly
increase (and return to at least the levels found in the
original IP) and that prices of these additional import
quantities will in all likelihood be dumped at significant
levels, should the anti-dumping measures lapse.

E. DEFINITION OF THE COMMUNITY INDUSTRY

(40)

The two Community producers on whose behalf the
complaint was lodged cooperated in the investigation.
They represented more than 80 % of the Community
the
production of PAC and therefore
Community industry within the meaning of Article 4(1)
and Article 5(4) of the basic Regulation.

constitute

(41) Apparent Community consumption of PAC was estab-
lished on the basis of
the
Community industry on the Community market, the
review
information contained in the
concerning the other Community producers and Euro-
stat in relation to imports of PAC.

the sales volumes of

request

for

(42) On this basis Community consumption was practically
stable during the analysis period at slightly below
40 000 tonnes a year.

2. Imports from China

(a) Volume, market share and prices

(43)

(44)

Based on information from Eurostat, volumes imported
from China during the analysis period slightly increased
but remained below 3 % of consumption, whilst their
market share was above 10 % in the previous invest-
igation.

In the analysis period, prices of imports from China
increased by 28 %, mainly for two reasons. Firstly,
because of the evolution of the euro/dollar exchange
rate, especially between 1999 and 2000. Secondly,
worldwide prices of coal went up as indicated by market
research information.

Imports from China

1997

Volume (tonnes)

Indexed

Price (EUR/tonne)

Indexed

818

100

832

100

(b) Price behaviour of imports

1998

647

79

834

100

1999

842

103

863

104

2000

811

99

1 089

131

IP

993

121

1 067

128

(45)

Even after the imposition of an anti-dumping duty in 1996, prices of PAC originating in China
remained lower than the Community industry's prices. The difference with Community industry's
prices was 15 % during the IP. This differential was established on the basis of average sales prices
(ex-works) of the Community industry, Chinese import prices being derived from Eurostat and
adjusted for post importation cost, customs and anti-dumping duties.

3. Economic situation of the Community industry

(a) Preliminary remarks

(46) As the Community industry is constituted by two companies, in order to protect confidentiality, the
information concerning the Community industry had to be indexed, while market shares for all
market participants have been rounded.

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(b) Production, capacity and capacity utilisation rates

(47)

The Community industry's production of PAC decreased by 5 % in the analysis period to just over
30 000 tonnes. The total production capacity of the Community industry, from 1998 to the IP, was
stable at around 35 000 tonnes, with a high utilisation rate.

(c) Sales in the Community and market share

(48)

The sales volumes of the Community industry decreased by 11 % between 1997 and 1999. It
increased slightly in 2000 and in the IP but remained 6 % below its 1997 level. As consumption was
practically stable, market share showed the same trend as sales. Overall, it fell in the analysis period
by 7 percentage points to reach approximately 60 % in the IP.

1997

100

1998

91

1999

89

2000

92

IP

94

Sales in tonnes

Indexed

(d) Stocks

(49)

In the analysis period, the Community industry's year end stocks of PAC increased by 15 % as sales
decreased and the equipment was continuously run in order to avoid furnace reignition costs that are
very high.

(e) Sales prices in the Community

(50)

The Community industry's average net sales prices increased by 7 % in the analysis period. In 1999
and 2000 prices were higher than in the IP.

Prices of PAC

Indexed

1997

100

1998

103

1999

111

2000

110

IP

107

(f) Profitability and return on investment

(51) After having registered losses of 10 % in 1993, the IP of the previous investigation, the Community
industry returned to profits in 1997. With the exception of 2000 for which profits were satisfactory
thanks to the combination of a high level of price and fairly low unit costs, however the profit level
achieved by the Community industry never exceeded 6 %. Return on investments was stable and
positive during the analysis period.

Profitability

Indexed

1997

100

1998

94

1999

85

2000

198

IP

131

(g) Cash flow

(52)

The Community industry proved to be cash generative throughout the period, with a similar trend to
the one of profitability.

(h) Ability to raise capital

(53) No specific problem to raise capital or obtain loans was experienced by the Community industry

during the analysis period.

(i) Employment and wages

(54)

Employment in the Community industry decreased by 9 % in the analysis period to less than 350
persons while total labour costs increased by 11 % (an increase by around 20 % per employee).

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(j) Investment

(55) During the analysis period, the Community industry made sustained investment to increase its
productivity and rationalise its production process. The sums invested each year were fairly stable.

(k) Productivity

(56)

The Community industry's productivity based upon tonnes produced per person employed for the
production and sales of PAC increased by 7 % in the analysis period.

(l) Magnitude of dumping and recovery from past dumping

(57) As concerns the impact on the situation of the Community industry of the magnitude of the actual
margin of dumping found during the IP, it should be noted that the margin found for China is
significant. Due to the existence of anti-dumping measures however, the Community industry could
recover from past dumping.

4. Export activity of the Community industry

(58)

The Community industry's exports of PAC slightly increased over the analysis period, and represent
somewhat more than a third of total production.

5. Import volumes and prices from other third countries

(59)

import volumes of PAC from third countries other than China decreased during the
The total
analysis period from about 7 600 tonnes in 1997 to 5 400 tonnes in the IP, corresponding to
market shares of around 20 % and 15 % respectively. The major exporters to the Community have
been the United States of America, Malaysia and Indonesia. While imports from the United States of
America have halved, imports from these latter countries increased from about 1 100 tonnes in
1997 to 1 900 tonnes in the IP. Average import prices from Malaysia and Indonesia were lower than
those of the Community industry and in the same range as prices of imports originating in China.

6. Sales of other Community producers

(60) Other Community producers of PAC are mainly processors of GAC not subject to anti-dumping
measures. In the analysis period, they started to import more GAC from China to grind it into PAC.
They, thus, were able to gain market share from 10 % in 1997 to more than 20 % in the IP. This
competition, however, did not prevent the Community industry to sell its PAC at a price allowing a
reasonable profitability.

(61)

(62)

(63)

7. Conclusion

The measures have enabled the Community industry to return to profitability and have alleviated the
price pressure exerted by the dumped imports originating in China. However, the Community
industry continued to lose market share especially as other Community producers started to sell PAC
made from GAC originating in China. Thus, while its financial situation is satisfactory, its market
position remains fragile.

G. LIKELIHOOD OF RECURRENCE OF INJURY

It is recalled that in recital 39 it was concluded that the expiry of the measures would be likely to
lead to a significant increase of dumped imports from China into the Community.

Indeed, should the measures lapse, it is likely that considerable volumes will be shipped to the
Community market at very low prices which significantly undercut the Community industry's prices.
The current price differential of 15 % between the imported product and the Community industry's
product (see recital 45) could increase to exceed 30 % (the amount of duty in relation to current
import prices), if the measure were allowed to expire. It should be noted that the current Chinese
export price to the Community (on a cif basis) is in line with Chinese export prices to other third
countries.

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(64)

It is estimated that at least 10 000 tonnes of PAC originating in China could be exported to the
Community as soon as the duty has lapsed. This would represent more than a fourth of the
Community market. As in this type of industry there are high fixed costs and very high reignition
costs in case of production stoppage, the arrival of such a quantity of dumped imports would
immediately cause a severe price depression on the market as the Community industry would first
try to maintain its market share rather than reduce its production. This would in turn completely
erode the Community industry's profitability and the industry would return to losses similar to those
experienced in 1993. In the medium term the Community industry could be forced out of the
market as there is no more room for significant gains in productivity which would allow it to
operate at lower unit costs.

(65)

The above should be seen in the following context. The situation of the Community Industry has
undoubtedly improved (although this industry is still fragile). For instance, the Community industry
recorded losses of 10,8 % in the original IP which have been turned into a profit of about 6 %. The
likely impact of increased imports made at dumped prices set out in the preceding paragraph is also
confirmed when looking at the main changes which occurred in the market between the original IP
and the current IP.

— During the current IP, the market share of imports from China was significantly lower than

during the original IP.

— The price differential between the Community prices and prices of the Chinese imports has been

significantly reduced due to the existence of the duty.

— During the current IP there were low-priced imports from Indonesia and Malaysia but the
quantities still remained considerably below the levels found for China in the original IP. It is also
recalled that imports from Malaysia were already present on the Community market during the
original IP.

— The market share of producers in the Community, which are not part of the Community

industry, has increased.

On this basis, it is concluded that the main change which led to an improvement of the situation of
the Community industry, was the restoration of a level playing field vis-à-vis imports of PAC from
China. Therefore, the positive situation of the Community industry would quickly deteriorate should
Chinese exporting producers again have the possibility to dump on the Community market at
significantly increased quantities.

(66) On the basis of the above, it is concluded that, should the measures be allowed to expire, there is a

likelihood of recurrence of injury.

H. COMMUNITY INTEREST

1. Preliminary remark

(67)

(68)

In accordance with Article 21 of the basic Regulation it was examined whether a prolongation of the
existing anti-dumping measures would be against the interest of the Community as a whole. The
determination of Community interest was based on an appreciation of all the various interests
involved, i.e. those of the Community industry, other Community producers, the importers/traders as
well as the users and suppliers of the product under consideration.

It should be recalled that, in the previous investigation, the adoption of measures was considered not
to be against the interest of the Community. Furthermore, the present investigation is a review, thus
analysing a situation in which anti-dumping measures have already been in place, which would allow
the assessment of any undue negative impact of the current anti-dumping measures on the parties
concerned.

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Official Journal of the European Communities

L 155/9

(69) On this basis it was examined whether, despite the conclusion on the benefit of the measures for the
Community industry and on the likelihood of a recurrence of injurious dumping should measures
expire, compelling reasons existed which would lead to the conclusion that it is not in the
Community interest to maintain measures in this particular case.

2. Interests of the Community industry

(70)

The Community industry has proven to be a structurally viable industry, able to adapt to the
changing conditions on the market. This was confirmed in particular by the positive development of
its situation at a time when effective competition had been restored after the imposition of
anti-dumping measures on imports originating in China and by the industry's investment in state of
the art production capacity. However,
it can be concluded that, without the continuation of
anti-dumping measures,

likelihood severely deteriorate.

its situation will

in all

3. Interests of other producers

(71)

Taking into account the likely quantities and prices of Chinese PAC likely to be exported to the
Community if measures were allowed to lapse, other producers of PAC, including from granular
activated carbon originating in China, would also see their market share and economic situation
deteriorate.

4. Interests of unrelated importers/traders

(72)

The Commission sent out questionnaires to 26 unrelated importers/traders. No answer was received.

(73)

In these circumstances it was concluded that the continuation of measures would not affect the
unrelated importers/traders.

5. Interests of users

(74)

The Commission sent out questionnaires to 42 users. Two incomplete answers were received from
which it was evident that PAC had a very small

impact on costs (less than 0,1 %).

6. Interests of suppliers

(75)

The Commission sent out questionnaires to 11 suppliers of raw materials to PAC producers to which
only two answers were received. The replies were positive to keeping the measures in place as that
would mean continued secured sales in the Community.

(76) Given the above, it is concluded that there are no compelling reasons, on the grounds of Community

interest, against the prolongation of the anti-dumping measures.

7. Conclusion

I. ANTI-DUMPING MEASURES

(77) All parties were informed of the essential facts and considerations on the basis of which it is
intended to recommend the maintenance of existing measures. They were also granted a period to
make representations subsequent to this disclosure. No comments were received.

(78)

It follows from the above that, as provided for by Article 11(2) of the basic Regulation, the
anti-dumping measures applicable to imports of PAC originating in China, imposed by Regulation
(EC) No 1006/96, should be maintained,

L 155/10

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Official Journal of the European Communities

14.6.2002

HAS ADOPTED THIS REGULATION:

Article 1

1.
A definitive anti-dumping duty is hereby imposed on imports of powdered activated carbon falling
within CN code ex 3802 10 00 (TARIC code 3802 10 00*20) originating in the People's Republic of
China.

2.

The amount of the definitive anti-dumping duty shall be EUR 323 per tonne (net weight).

Unless otherwise specified, the provisions in force concerning customs duties shall apply.

Article 2

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

Article 3

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Luxembourg, 10 June 2002.

For the Council

The President

J. PIQUÉ I CAMPS