Commission Regulation (EC) No 1693/2002 of 25 September 2002 initiating an investigation concerning the alleged circumvention of anti-dumping measures imposed by Council Regulation (EC) No 1784/2000 on imports of certain malleable cast iron tube or pipe fittings originating in Brazil by imports of certain malleable cast iron tube or pipe fittings consigned from Argentina, and making such imports subject to registration
Date: 2002-09-25
Institutions: European Commission
Subjects: Argentina, Brazil, anti-dumping measure, import, infringement of EU law, originating product, piping

26.9.2002

EN

Official Journal of the European Communities

L 258/27

COMMISSION REGULATION (EC) No 1693/2002

of 25 September 2002

initiating an investigation concerning the alleged circumvention of anti-dumping measures imposed
by Council Regulation (EC) No 1784/2000 on imports of certain malleable cast iron tube or pipe
fittings originating in Brazil by imports of certain malleable cast iron tube or pipe fittings
consigned from Argentina, and making such imports subject to registration

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 2238/2000 (2), and in parti-
cular Article 13(3) and Article 14(5) thereof,

After having consulted the Advisory Committee,

Whereas:

(1)

(2)

(3)

(4)

(5)

A. REQUEST

to
The Commission has received a request pursuant
Article 13(3) of Regulation (EC) No 384/96 (the basic
Regulation) to investigate the alleged circumvention of
the anti-dumping measures imposed on imports of
threaded malleable cast iron tube or pipe fittings origi-
nating in Brazil.

The request has been lodged on 12 August 2002 by the
Defence Committee of Malleable Cast Iron pipe Fittings
Industry of the European Union on behalf of producers
representing a major proportion of
the Community
production of certain malleable cast iron tube or pipe
fittings.

B. PRODUCT

The product concerned by the allegation of circumven-
tion is threaded malleable cast iron tube or pipe fittings,
currently classifiable within CN code ex 7307 19 10.
This code is given for information only.

C. EXISTING MEASURES

The measures currently in force and allegedly being
circumvented are anti-dumping measures imposed by
Council Regulation (EC) No 1784/2000 (3).

D. GROUNDS

The request contains sufficient prima facie evidence, that
the anti-dumping measures on imports of certain malle-
able cast iron tube or pipe fittings originating in Brazil

(1) OJ L 56, 6.3.1996, p. 1.
(2) OJ L 257, 11.10.2000, p. 2.
(3) OJ L 208, 18.8.2000, p. 8.

are being circumvented by means of transhipment via
Argentina of certain malleable cast iron tube or pipe
fittings.

(6)

The evidence submitted is as follows:

to the Community has

(a) the request shows that a significant change in the
pattern of trade involving exports from Brazil and
Argentina
taken place
following the imposition of measures on the product
concerned and for which there is insufficient due
cause or justification other than the imposition of
the duty.

This change in the pattern of trade appears to stem
from a transhipment of certain malleable cast iron
tube or pipe fittings originating in Brazil via Argen-
tina;

(b) furthermore, the request contains sufficient evidence
that the remedial effects of the existing anti-dumping
measures on imports of the product concerned origi-
nating in Brazil are being undermined both in terms
of quantity and price. Significant volumes of imports
of certain malleable cast iron tube or pipe fittings
consigned from Argentina appear to have replaced
imports of the product concerned from Brazil. In
addition, there is sufficient evidence that this increase
in imports is made at prices well below the non-
injurious price established in the investigation that
led to the existing measures;

(c) finally, the request contains sufficient evidence that
the prices of certain malleable cast iron tube or pipe
fittings are dumped in relation to the normal values
previously established for the certain malleable cast
iron tube or pipe fittings originating in Brazil.

E. PROCEDURE

(7)

In the light of the above, the Commission has concluded
that sufficient evidence exists to justify the initiation of
the basic
an investigation pursuant
Regulation and to make imports consigned from Argen-
tina, whether declared as originating in Argentina or not,
of certain malleable cast iron tube or pipe fittings subject
to registration, in accordance with Article 14(5) of the
basic Regulation.

to Article 13 of

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Official Journal of the European Communities

26.9.2002

(i) Questionnaires

F. REGISTRATION

(8)

(9)

In order to obtain the information it deems necessary for
its investigation,
the Commission will send question-
naires to the exporters/producers and to the associations
of exporters/producers in Argentina, to the exporters/
producers and to the associations of exporters/producers
in Brazil and to the importers and to the associations of
importers in the Community which cooperated in the
investigation that lead to the existing measures, and to
the authorities of Brazil and Argentina. Information, as
appropriate, may also be sought from the Community
industry.

In any event, all
interested parties should contact the
Commission forthwith, but not later than the time limit
set in Article 3 in order to find out whether they are
listed in the request and if not, to request a questionnaire
within the time limit set in Article 3(1) of this Regula-
tion, given that the time limit set in Article 3(2) of this
Regulation applies to all interested parties.

(10)

The authorities of Brazil and Argentina will be notified
of the initiation of the investigation and provided with a
copy of the request.

(ii) Collection of

information and holding of

hearings

(11) All interested parties are hereby invited to make their
views known in writing and to provide supporting
evidence. Furthermore, the Commission may hear inter-
ested parties, provided that
in
writing and show that there are particular reasons why
they should be heard.

they make a request

(iii) Exemption of
measures

registration of

imports or

(12)

In accordance with Article 13(4) of the basic Regulation,
imports of the product concerned may be exempted
from registration or measures if the importation does
not constitute circumvention.

(13) Given that the alleged circumvention takes place outside
the Community, exemption of imports from registration
or measures would depend entirely on the findings in
respect of the exporters in Argentina. Therefore expor-
ters wishing to obtain an exemption of registration of
imports or measures should apply for the exemption and
submit the questionnaire reply (in order to establish that
they are not circumventing the anti-dumping duties
within the meaning of Article 13(1) of the basic Regula-
tion) within the time limits set in Article 3(2) of this
Regulation. Although no exemption could be granted
purely on the basis of information from importers, these
could still benefit from exemption from registration or
their imports are from
that
measures to the extent
exporters which are granted such an exemption.

(14)

to Article 14(5) of

the basic Regulation,
Pursuant
imports of
the product concerned should be made
subject to registration in order to ensure that, should the
investigation result in findings of circumvention, anti-
dumping duties can be levied retroactively from the date
of the initiation of this investigation on certain malleable
cast iron tube or pipe fittings consigned from Argentina.

G. TIME LIMITS

(15)

In the interest of sound administration,
should be stated within which:

time limits

— interested parties may make themselves known to
the Commission, present
their views known in
writing and submit questionnaire replies or any other
information to be taken into account during the
investigation,

— interested parties may make a written request to be

heard by the Commission.

H. NON-COOPERATION

(16)

In cases in which any interested party refuses access to
or otherwise does not provide necessary information
within the time limits, or significantly impedes the inves-
tigation, 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 facts available,

HAS ADOPTED THIS REGULATION:

Article 1

An investigation is hereby initiated pursuant to Article 13(3) of
Regulation (EC) No 384/96, in order to determine if imports
into the Community of threaded malleable cast iron tube or
pipe fittings consigned from Argentina, whether declared as
originating in Argentina or not,
falling within CN code
ex 7307 19 10, are circumventing the measures imposed by
Council Regulation (EC) No 1784/2000.

Article 2

1.
The Customs authorities are hereby directed, pursuant to
Articles 13(3) and 14(5) of Regulation (EC) No 384/96, to take
the appropriate steps to register the imports into the Commu-
nity identified in Article 1 of this Regulation.

Registration shall expire nine months following the date

2.
of entry into force of this Regulation.

3.
The Commission, by Regulation, may direct Customs
authorities to cease registration in respect of imports into the
Community of products exported by exporters having applied
for an exemption of registration and having been found not to
be circumventing the anti-dumping duties.

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Official Journal of the European Communities

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Article 3

1.
Questionnaires should be requested from the Commission
within 15 days from publication of this Regulation in the Offi-
cial Journal of the European Communities.

2.
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 in
writing and submit questionnaire replies or any other informa-
tion within 40 days from the date of the publication of this
Regulation in the Official Journal of the European Communities,
unless otherwise specified. Attention is drawn to the fact that
the exercise of most procedural rights set out in the basic Regu-
lation depends on the party's making itself known within the
aforementioned period.

Any information relating to the matter, any request for a
4.
hearing or for a questionnaire as well as any request for exemp-
tion of registration must be made in writing (not in electronic
format, unless otherwise specified), must indicate the name,
address,
telephone
telephone,
numbers and should be sent to the following address:

e-mail address,

fax and/or

European Commission
Directorate-General for Trade
Directorate B
Office: J-79 05/17
B-1049 Brussels
Fax (32 2) 295 65 05
Telex COMEU B 21877.

Article 4

Interested parties may also apply to be heard by the

3.
Commission within the same 40 day time limit.

This Regulation shall enter into force on the day of its publica-
tion 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, 25 September 2002.

For the Commission

Pascal LAMY

Member of the Commission