2004/264/EC: Commission Decision of 18 March 2004 suspending the anti-dumping duty imposed by Decision No 2730/2000/ECSC on imports of coke of coal in pieces with a diameter of more than 80 mm originating in the People's Republic of China
Date: 2004-03-18
Institutions: European Commission
Subjects: China, anti-dumping duty, coke, import, originating product

19.3.2004

EN

Official Journal of the European Union

L 81/89

COMMISSION DECISION

of 18 March 2004

suspending the anti-dumping duty imposed by Decision No 2730/2000/ECSC on imports of coke
of coal in pieces with a diameter of more than 80 mm originating in the People's Republic of
China

(2004/264/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
the European Community (1)(the
countries not members of
basic Regulation), as last amended by Regulation (EC) No
1972/2002 (2), and in particular Article 14(4) thereof,

After consulting the Advisory Committee,

Whereas:

(1)

(2)

(3)

A. PROCEDURE

The Commission, by Decision No 2730/2000/ECSC (3),
imposed a definitive anti-dumping duty on imports of
in pieces with a diameter of more than
coke of coal
80 mm originating in the People's Republic of China
(PRC),
falling under CN code ex 2704 00 19 (the
product concerned). The amount of the anti-dumping
duty is equal to the fixed amount of EUR 32.6 per
tonne of dry net weight.

that

anti-dumping

In view of the expiry of the Treaty establishing the Euro-
pean Coal and Steel Community on 23 July 2002, the
Council, by Regulation (EC) No 963/2002 (4), Regulation
as last amended by Regulation (EC) No 1310/2002 (5),
decided
initiated
pursuant to Commission Decision No 2277/96/ECSC (6),
Decision as last amended by Decision No 435/2001/
ECSC (7), and still
in force shall be continued and be
governed by the provisions of the basic Regulation with
effect from 24 July 2002. Likewise, any anti-dumping
measures resulting from pending anti-dumping investiga-
tions shall be governed by the provisions of the basic
Regulation from 24 July 2002.

proceedings

In December 2002, the Commission initiated an interim
review at the request of Eucoke-EEIG (the applicant),
lodged on behalf of producers representing a major
proportion of the total Community production of coke
of coal in pieces with a diameter of more than 80 mm,
in accordance with Article 11(3) of the basic Regulation.

(1) OJ L 56, 6.3.1996, p. 1.
(2) OJ L 305, 7.11.2002, p. 1.
(3) OJ L 316, 15.12.2000, p. 30.
(4) OJ L 149, 7.6.2002, p. 3.
(5) OJ L 192, 20.7.2002, p. 9.
(6) OJ L 308, 29.11.1996, p. 11.
(7) OJ L 63, 3.3.2001, p. 14.

(4)

(5)

(6)

(7)

(8)

After the applicant had withdrawn the complaint, the
Commission has proposed to the Council
the
interim review should be terminated.

that

However, during the investigation of the interim review
concerning the period from 1 October 2001 to 30
September 2002 (the investigation period), information
on a change of market conditions occurred after the
investigation period (i.e. from 1 October 2002 to 30
September 2003) which might justify the suspension of
the measures currently in force,
in accordance with
Article 14(4) of the basic Regulation, was provided to
the Commission. Consequently, the Commission exam-
ined whether such suspension was warranted.

B. GROUNDS

Article 14(4) of the basic Regulation provides that, in
the Community interest, anti-dumping measures may be
suspended on the grounds that market conditions have
temporarily changed to an extent that injury would be
unlikely to resume as a result of such suspension,
provided that the Community industry has been given
an opportunity to comment and these comments have
been taken into account. Article 14(4) further specifies
that the anti-dumping measures concerned may be rein-
stated at any time if the reason for suspension is no
longer applicable.

During the interim review investigation, a number of
interested parties have alleged that in the time since the
investigation period, the market situation has changed
dramatically. The allegations were based on a shortage
of supply of the product concerned and the high level of
prices charged by the traders on the Community market.

these allegations,

the seriousness of

In view of
the
Commission has carried out a further investigation to
assess the recent evolution of volumes and prices of the
product concerned for the period between 1 October
2002 and 30 September 2003. All parties concerned
were given an opportunity to present their views. All
interested parties cooperated with the new investigation,
the users to a somewhat lesser extent.

L 81/90

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Official Journal of the European Union

19.3.2004

(9) With regard to the

information provided by

a
cooperating importer and confirmed by the users, an
increase ranging from 20 % to 50 % in the price of the
product concerned imported from the PRC has been
reported for the period examined. This price trend was
also confirmed by the Community industry. The steel
industry, which is not an interested party in this
proceeding, also reported an increase of 76 % in prices
of all types of coke.

Community producers have reported an increase in
production and sales on the Community market of 20 %
and 40 % respectively, bearing in mind that the Com-
munity producers only produce one third of the Com-
munity market demand for the product concerned, the
imports from the PRC remain vital to supply the Com-
munity market.

C. CONCLUSION

(10)

Considering that the Community users do not buy the
product concerned directly from the PRC but
from
traders which do not make an accurate distinction
according to the origin of the product, the information
on the volume of the product concerned was based on
the findings of a specialised magazine called The Coke
Market Report, recognised as a reliable source of informa-
tion for the coke market. This publication reported a
decrease of imports from PRC from 15,5 million tonnes
for all types of coke in 2002 to 12 million tonnes in
2003, i.e. a decrease of 23 %. This decrease is mainly the
result of a recent change in the policy of the Chinese
authorities which have decided to direct the Chinese
production to the domestic market in order to meet an
increasing domestic demand, by reducing the number of
export
licences granted to the Chinese exporters. A
further decrease in imports from PRC of 6,5 million
tonnes is expected for the year 2004, although this
information has not yet been confirmed as the Chinese
authorities have still to issue the licenses. In view of the
decreasing number of export
licenses issued by the
Chinese authorities, a further increase of 19 % in the
price of the product concerned is expected in 2004.
Since the significant change in supplies of the product
concerned is the result of a change in the policy applied
by the Chinese authorities,
there is no information
which would allow the Commission to assume that
these changes are of a lasting nature.

(11) With regard to the Community industry,

it is to be
noted that since the imposition of the measures in 2000,
the situation of the Community industry has improved.
The sales and production volumes decreased slightly as
sales prices
did the Community consumption, but
increased significantly. Investments increased by a third
and employment by 10 %. Only the market
share
remained stable (33 %) but this was due to the emer-
gence of new exporting countries such as the Czech
Republic and Poland, while the Chinese market share
decreased by more than 10 percentage points and repre-
sented 9 % of the Community market in the investiga-
tion period. The profit situation also improved, although
it has not yet achieved the 10,5 % profit targeted by
Decision No 2730/2000/ECSC. The Community industry
has, however, gained 17 percentage points since the year
2000 and became profitable during the investigation
period. Furthermore, as to the situation after the investi-
from 1 October 2002 to 30
gation period (i.e.
September 2003), it is worth noting that, although the

(12)

(13)

(14)

(15)

investigation,

In conclusion, given the temporary change in market
conditions, and in particular the high level of prices of
the product concerned practised on the Community
market, which is far above the injurious level found in
together with the alleged
the original
shortage of supply of
is
considered that the injury linked to the imports of the
product concerned originating in the PRC is unlikely to
resume as a result of the suspension which would be in
the interest of the Community. It is therefore proposed
to suspend the measures in force for a period of nine
months in accordance with Article 14(4) of the basic
Regulation.

the product concerned,

it

Pursuant to Article 14(4) of the basic Regulation, the
Commission has informed the Community industry of
its intention to suspend the anti-dumping measures in
force. The Community industry has been given an
opportunity to comment. The Community industry did
not oppose
anti-dumping
suspension of
the
measures in force.

the

The Commission therefore considers that all require-
ments for suspending the anti-dumping duty imposed
on the product concerned are met, in accordance with
Article 14(4) of the basic Regulation. Consequently, the
anti-dumping duty imposed by Decision No 2730/2000/
ECSC should be suspended for a period of nine months.

imports and the prices of

The Commission will continue to monitor the develop-
ment of
the product
concerned. Should a situation arise at any time in which
increased volumes at dumped prices of
the product
concerned from the PRC resume and consequently cause
injury to the Community industry, the Commission will
reinstate the anti-dumping duty by repealing the present
suspension,

HAS ADOPTED THIS DECISION:

Article 1

The definitive anti-dumping duty imposed by Decision No
2730/2000/ECSC on imports of coke of coal in pieces larger
than 80 mm in maximum diameter, falling within CN code
ex 2704 00 19 (TARIC code 2704 00 19 10), and originating
in the People's Republic of China is hereby suspended for a
period of nine months.

19.3.2004

EN

Official Journal of the European Union

L 81/91

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

Article 2

Done at Brussels, 18 March 2004.

For the Commission

Pascal LAMY

Member of the Commission