Proposal for a Council Regulation Amending Council Regulation (EC) N° 393/98 imposing a definitive anti-dumping duty on imports of stainless steel fasteners and parts thereof originating in the People's Republic of China, India, the Republic of Korea, Malaysia, Taiwan and Thailand
Date: 2003-04-03
Institutions: European Commission
Subjects: China, India, Malaysia, South Korea, Taiwan, Thailand, anti-dumping duty, import (EU), manufactured goods, steel

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 3.4.2003
COM(2003) 162 final

Proposal for a

COUNCIL REGULATION

Amending Council Regulation (EC) N° 393/98 imposing a definitive anti-dumping duty
on imports of stainless steel fasteners and parts thereof originating in the People’s
Republic of China, India, the Republic of Korea, Malaysia, Taiwan and Thailand

(presented by the Commission)

EXPLANATORY MEMORANDUM

By  its  Judgment  of  21  November  2002  in  case  T-88/981,  the  Court  of  First  Instance  of  the
European  Communities  annulled  Article  1  of  Council  Regulation  (EC)  N°  393/98  of
16 February  19982  imposing  a  definitive  anti-dumping  duty  on  imports  of  stainless  steel
fasteners  and  parts  thereof  originating,  inter  alia,  in  India  insofar  as  it  imposes  an  anti-
dumping  duty  on  imports  of  the  product  manufactured  by  Kundan  Industries  Limited  and
exported  by  Tata  International  Limited  exceeding  45.4%.  The  rate  of  duty  imposed  was
47.4%. The 2% difference  in  duty  corresponds to an  adjustment  for commission which  was
made  on  all  export  transactions  for  the  companies  concerned,  which  was  not  considered
justified by the Court and therefore annulled.

According to  Article  233  of  the  European  Communities  Treaty,  the  Community  institutions
have  an  obligation  to  implement  the  Judgments  of  the  Courts.  The  Commission  should
therefore propose  that  the  Council  amend  Regulation  (EC)  N°  393/98  by  reducing  the  anti-
dumping duty from 47.4% to 45.4% on imports to the European Community of stainless steel
fasteners and parts manufactured and exported by the above-mentioned companies.

1 Kundan  Industries  Limited  and  Tata  International  Limited  v.  Council  of  the  European  Union,  OJ  C  19,

25.1.2003, p. 27, Judgment not yet reported.

2 Council Regulation (EC) N° 393/98 of 16 February 1998 imposing a definitive anti-dumping duty on imports
of stainless steel fasteners and parts thereof originating in the People’s Republic of China, India, the Republic
of Korea, Malaysia, Taiwan and Thailand.

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Proposal for a

COUNCIL REGULATION

Amending Council Regulation (EC) N° 393/98 imposing a definitive anti-dumping duty
on imports of stainless steel fasteners and parts thereof originating in the People’s
Republic of China, India, the Republic of Korea, Malaysia, Taiwan and Thailand

THE COUNCIL OF THE EUROPEAN UNION,

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular
Articles 133 and 233 thereof,

Having  regard  to  Council  Regulation  (EC)  N°  384/96  of  22  December  1995  on  protection
against dumped imports from the countries not members of the European Community3.

Whereas:

(1) 

(2) 

(3) 

A. EXISTING MEASURES

The Council, by Regulation (EC) N° 393/984, imposed a definitive duty on imports of
stainless  steel  fasteners  and  parts  thereof  originating  in  the  People’s  Republic  of
China, India, the Republic of Korea, Malaysia, Taiwan and Thailand falling within CN
codes 7318 12 10, 7318 14 10, 7318 15 30, 7318 15 51, 7318 15 61, 7318 15 70 and
7318 16 30.

B. SUBSEQUENT PROCEDURE

Following  the  imposition  of  these  definitive  anti-dumping  measures,  the  Indian
companies Kundan Industries Limited and Tata  International Limited, whose exports
were subject to a definitive anti-dumping duty of 47.4%, lodged an application for the
annulment  of  Article  1  of  Regulation  (EC)  No  393/98  before  the  Court  of  First
Instance of the European Communities. This application was entered in the Register of
the  Court  of  First  Instance  of  the  European  Communities  on  7  June  1998  as  Case
T-88/985.

By its Judgment of 21 November 20026, the Court of First  Instance of the European
Communities  annulled  Article  1  of  Council  Regulation  (EC)  N° 393/98  insofar  as  it
imposes  a  definitive  anti-dumping  duty  on  exports  to  the  European  Community  of
stainless steel fasteners and parts thereof manufactured by Kundan Industries Limited
and exported by Tata International Limited which exceeds that which would apply but
for  the  adjustment  to  the  export  price  made  in  respect  of  a  commission.  Since  the

3 OJ L 56, 6.3.1996, p. 1 Regulation as last amended by Regulation (EC) n° 1972/2002, OJ L 305, 7.11.2002,

p. 1.

4 OJ L 50, 20.2.1998, p. 1, as last amended by Regulation (EC) No 2570/2000 (OJ L 297, 24.11.2000, p.1).
5 N° 106530, Roll N° T-88/98.
6 OJ C 19, 25.1.2003, p. 27; not yet reported.

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original duty of 47.4% was based on a dumping margin which included an adjustment
of 2% in respect of a commission, the anti-dumping duty is therefore annulled to the
extent that it exceeds 45.4%.

(4) 

Consequently, in accordance with Article 233 of the Treaty establishing the European
Community,  it  is  appropriate  to  amend  the  rate  of  duty  established  for  Kundan
Industries  Limited  and  Tata  International  Limited  in  Article  1  of  Regulation  (EC)
No 393/98 with retroactive effect. Amounts of anti-dumping duty paid in excess of a
duty  rate  of  45.4%  on  exports  of  stainless  steel  fasteners  and  parts  thereof
manufactured by Kundan Industries Limited and exported by Tata International to the
European Community should be reimbursed.

HAS ADOPTED THIS REGULATION:

Article 1

In the table in Article 1(2) of Regulation (EC) N°393/98, the entry for Kundan Industries Ltd
and Tata International Ltd is replaced by:

Country

India

Company

Rate of Duty

Taric Code

Kundan 
Ltd/Tata
Industries 
International  Ltd  (formerly  Tata
Exports Ltd), Mumbai

45.4%

8416

Article 2

The amounts collected in excess of the rate of anti-dumping duty specified in Article 1 shall
be reimbursed. The requests for reimbursement shall be submitted to the customs authorities
of the Member State of the territory in which the products were released for free circulation.

Article 3

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

Article 1 shall apply with effect from 21 February 1998.

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

Done at Brussels,

For the Council
The President

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