Proposal for a Council Regulation imposing a definitive anti-dumping duty on imports of certain ring binder mechanisms originating in the People’s Republic of China
Date: 2004-11-09
Institutions: European Commission
Subjects: China, anti-dumping duty, anti-dumping legislation, office supplies, originating product

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 9.11.2004 
COM(2004) 741 final 

Proposal for a 

COUNCIL REGULATION 

imposing a definitive anti-dumping duty on imports of certain ring binder mechanisms 
originating in the People’s Republic of China 

(presented by the Commission) 

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EXPLANATORY MEMORANDUM 

On 24 January 2002, the Commission initiated an expiry review of the anti-dumping measures 
in force on imports of certain ring binder mechanisms originating in the People's Republic of 
China. 

The attached proposal for a Council Regulation is based on a definitive finding of likelihood 
of  recurrence  of  injurious  dumping  should  the  measures  be  repealed,  which  confirmed  that 
definitive anti-dumping measures are not against the Community interest and are warranted in 
respect of the People’s Republic of China. 

The  Advisory  Committee  was  consulted  on  22  July  2004  and  a  majority  approved  the 
proposal. 

It is therefore proposed that the Council adopt the attached proposal for a Regulation, which 
should be published in the Official Journal of the European Union as soon as possible. 

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Proposal for a 

COUNCIL REGULATION 

imposing a definitive anti-dumping duty on imports of certain ring binder mechanisms 
originating in the People’s Republic of China 

THE COUNCIL OF THE EUROPEAN UNION, 

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 Community1 (the ‘basic 
Regulation’), and in particular Article 11(2) thereof, 

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

Whereas: 

1. 

Measures in force 

A. PROCEDURE 

(1) 

In  January  1997,  Council  Regulation  (EC)  No  119/972  imposed  a  definitive  anti-
dumping  duty  on  imports  of  certain  ring  binder  mechanisms  (‘RBM’)  originating, 
inter alia, in the People’s Republic of China (‘PRC’ or ‘country concerned’). The rate 
of  the  definitive  duty  applicable  to  the  net,  free-at-Community-frontier  price,  before 
duty,  was  32.5%  for  World  Wide  Stationery  Mfg  (‘WWS’),  a  company  which  was 
granted  individual  treatment  and  39.4%  for  all  other  companies  in  the  PRC.  These 
rates  of  duty  were  applicable  to  RBM  other  than  those  with  17  or  23  rings  (TARIC 
codes 8305 10 00 11, 8305 10 00 12 and 8305 10 00 19), while RBM with 17 and 23 
rings (TARIC codes 8305 10 00 21, 8305 10 00 22 and 8305 10 00 29) were subject to 
a duty equal to the difference between the minimum import price (‘MIP’) of EUR 325 
per 1000 pieces and the free-at-Community-frontier price, before duty, whenever the 
latter was lower than the MIP. 

(2) 

In  September  2000,  following  a  request  for  an  anti-absorption  review  of  the  above-
mentioned measures, lodged pursuant to Article 12 of the basic Regulation, the rates 
of duty applicable to RBM other than those with 17 or 23 rings (TARIC codes 8305 10 
00 11, 8305 10 00 12 and 8305 10 00 19) were revised upwards by Council Regulation 

1 

2 

OJ  L  56,  6.3.1996,  p.  1.  Regulation  as  last  amended  by  Regulation  (EC)  No  461/2004  (OJ  L  77, 
13.3.2004, p. 12). 
OJ L 22, 24.1.1997, p. 1. 

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(3) 

(4) 

(5) 

(EC) No 2100/20003 to 51.2% for WWS and to 78.8% for all other companies in the 
PRC. 

Anti-dumping and countervailing measures are in force since June 2002 on imports of 
RBM  originating  in  Indonesia.  These  measures,  which  are  not  subject  to  the  current 
review,  were  imposed  by  Council  Regulation  (EC)  No  976/2002  and  Council 
Regulation (EC) No 977/2002 of 4 June 20024, respectively. 

Following  an  investigation  concerning  the  alleged  circumvention  of  anti-dumping 
measures  imposed  by  Council  Regulation  (EC)  No  119/97  by  imports  of  RBM 
consigned  from  Vietnam,  the  measures  were  extended  to  imports  consigned  from 
Vietnam by Council Regulation (EC) No 1208/20045. 

An  investigation  concerning  the  alleged  circumvention  of  anti-dumping  measures 
imposed by Council Regulation (EC) No 119/97 by imports of RBM consigned from 
Thailand,  whether  declared  as  originating  in  Thailand  or  not,  was  initiated  in  April 
20046. 

(6) 

Both  investigations  mentioned  in  the  previous  two  recitals  were  independent  of  the 
results of the present investigation. 

2. 

Request for a review 

(7) 

(8) 

(9) 

Following  the  publication  of  a  notice  of  impending  expiry  of  the  anti-dumping 
measures in force on imports of certain RBM originating in the PRC7, the Commission 
received, on 23 October 2001, a request to review these measures pursuant to Article 
11(2) of the basic Regulation. 

The  request  was  lodged  by  two  Community  producers,  Koloman  Handler  AG  and 
Krause Ringbuchtechnik GmbH (‘the applicants’), representing a major proportion of 
the total Community production of RBM. The request was based on the grounds that 
the  expiry  of  the  measures  would  be  likely  to  result  in  higher  volumes  of  injurious 
dumped imports originating in the PRC. 

Having determined, after consulting the Advisory Committee, that sufficient evidence 
existed for the initiation of a review pursuant to Article 11(2) of the basic Regulation, 
the Commission initiated a review8. 

3. 

Investigation 

(a)  Procedure 

(10)  The  Commission  officially  advised  the  exporting  producers,  importers  and  users 
known  to  be  concerned,  the  representatives  of  the  exporting  country,  the  applicant 
Community producers and the other known Community  producer of the initiation of 

3 
4 
5 
6 
7 
8 

OJ L 250, 5.10.2000, p. 1. 
OJ L 150, 8.6.2002, p. 1 and p. 17. 
OJ L 232, 1.7.2004, p. 1. 
OJ L 127, 29.4.2004, p. 67. 
OJ C 122, 25.4.2001, p. 2. 
OJ C 21, 24.1.2002, p. 25. 

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the  expiry  review.  Interested  parties  were  given  the  opportunity  to  make  their  views 
known in writing and to request a hearing within the time limit set out in the notice of 
initiation. 

(11)  All parties  who  so  requested within the above time limit  and who demonstrated  that 
there were particular reasons why they should be heard were granted the opportunity 
to be heard. 

(12)  Questionnaires were sent to all the parties that were officially advised of the initiation 
of the review and to those who requested a questionnaire within the time limit set out 
in  the  notice  of  initiation.  In  addition,  one  producer  in  India  (analogue  country)  was 
contacted and received a questionnaire. 

(13)  Replies  to  the  questionnaires  were  received  from  the  two  applicant  Community 
producers and one exporting producer in the country concerned, as well as from one 
producer in the analogue country and two unrelated importers in the Community. 

(14)  All  parties  concerned  were  informed  of  the  essential  facts  and  considerations  on  the 
basis  of  which  it  was  intended  to  recommend  the  imposition  of  definitive  anti-
dumping  duties.  They  were  granted  a  period  within  which  to  make  representations 
subsequent  to  disclosure.  The  comments  of  the  parties  were  considered  and,  where 
appropriate, the findings have been modified accordingly. 

(b) 

Interested parties and verification visits 

(15)  All  the  information  deemed  necessary  for  the  purpose  of  determination  of  the 
likelihood  of  a  continuation  or  recurrence  of  dumping  and  injury  and  of  the 
Community interest was sought and verified. Verification visits were carried out at the 
premises of the following companies:  

(i)  Applicant Community producers 

– 

– 

Krause Ringbuchtechnik GmbH, Espelkamp, Germany 

SX Bürowaren Produktions- und Handels GmbH (until November 
2001  RBM  had  been  manufactured  by  Koloman  Handler  AG), 
Vienna, Austria (see recital (50)),  

(ii)  Producer in the exporting country 

–  World Wide Stationery Mfg, Hong Kong, PRC 

(iii)  Producer in the analogue country 

– 

Tocheunglee Stationery Manufacturing Co, Chennai, India 

(iv)  Unrelated importer in the Community 

– 

Bensons International Systems B.V., Utrecht, the Netherlands 

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(c) 

Investigation period 

(16)  The  investigation  on  the  likelihood  of  a  continuation  or  recurrence  of  dumping 
covered the period from 1 January 2001 to 31 December 2001 (‘investigation period’ 
or ‘IP’). The examination of trends relevant for the assessment of the likelihood of a 
continuation or recurrence of injury covered the period from 1 January 1998 up to the 
end of the IP (‘period considered’). 

B. PRODUCT CONCERNED AND LIKE PRODUCT 

1. 

Product concerned 

(17)  The  product  concerned  is  the  same  as  in  the  original  investigation,  i.e.  certain  ring 
binder  mechanisms  made  of  two  rectangular  steel  sheets  or  wires  with  at  least  four 
half-rings  made  of  steel  wire  fixed  on  them  and  which  are  kept  together  by  a  steel 
cover. They can be opened either by pulling the half-rings or with a small steel-made 
trigger  mechanism  fixed  to  the  RBM.  The  rings  can  have  different  shapes,  the  most 
common  ones  being  round  and  D-shaped.  RBM  are  currently  classified  within  CN 
code ex 8305 10 00 (TARIC codes 8305 10 00 11, 8305 10 00 12 and 8305 10 00 19 
for mechanisms other than those with 17 or 23 rings and TARIC codes 8305 10 00 21, 
8305 10 00 22 and 8305 10 00 29 for mechanisms with 17 and 23 rings). Lever-arch 
mechanisms  (‘LAM’)  classified  within  the  same  CN  code  are  not  included  in  the 
scope of this investigation. 

(18)  RBM  are  used  to  make  paper,  cardboard  and  plastic-coated  office  files,  presentation 

and other bound files. 

(19)  A large number of different types of RBM were sold in the Community during the IP. 
The  differences  between  these  types  were  determined  by  the  width  of  the  base,  the 
type  of  mechanism,  the  number  of  rings,  the  opening  system,  the  nominal  paper 
holding  capacity,  the  ring  diameter,  the  shape  of  the  rings,  the  length  and  the  ring 
spacing.  Given  the  fact  that  all  types  have  the  same  basic  physical  and  technical 
characteristics and, within certain ranges, are interchangeable, it was established that 
all RBM constitute one single product for the purpose of the present proceeding. 

2. 

Like product 

(20) 

(21) 

(22) 

It  was  found  that  RBM  produced  and  sold  on  the  domestic  market  in  the  analogue 
country  (India)  and  those  exported  to  the  Community  from  the  PRC  had  the  same 
basic physical and technical characteristics and uses. 

It  was  also  found  that  there  was  no  difference  in  the  basic  physical  and  technical 
characteristics and uses between RBM imported into the Community originating in the 
PRC  and  RBM  produced  by  the  Community  industry  and  sold  on  the  Community 
market. 

It was therefore concluded that RBM produced and sold on the domestic market in the 
analogue country, RBM originating in the PRC exported to the Community and RBM 
produced and sold by the Community industry on the Community market were all like 
products within the meaning of Article 1(4) of the basic Regulation. 

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C. LIKELIHOOD OF A CONTINUATION OR RECURRENCE OF DUMPING 

(23) 

In accordance with Article 11(2) of the basic Regulation, it was examined whether the 
expiry of the existing measures would be likely to lead to a continuation or recurrence 
of dumping. 

1. 

Preliminary remarks 

(24)  Of the three Chinese exporting producers named in the complaint, only WWS, which 
was  granted  individual  treatment  in  both  the  original  and  the  anti-absorption 
investigations,  co-operated.  The  two  other  exporting  companies  stated  that  they  had 
not exported the product concerned to the Community during the IP. However, one of 
these  companies  appears  to  be  involved  in  circumvention  practices  via  Thailand, 
which has been investigated by the European Anti-Fraud Office (OLAF) (see recitals 
(42) and (43)). 

2. 

Continuation of dumping 

(25)  The volume of export sales of the sole co-operating company represented all imports 
originating  in  the  PRC  during  the  IP,  according  to  Eurostat.  This  volume  represents 
1.9% of the total Community consumption during the IP of the current investigation, 
compared with 45% of the total Community consumption during the IP of the original 
investigation, i.e. from 1 October 1994 to 30 September 1995. 

(a)  Methodology 

(26)  Compared  with  the  original  investigation,  only  the  choice  of  analogue  country  has 
changed, otherwise the methodology for calculating the dumping margin has remained 
the same. 

(b)  Analogue country 

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

(28) 

In the original investigation Malaysia was chosen as analogue country. In view of the 
fact that production in Malaysia has ceased and been transferred, inter alia, to India, 
another  representative  country  had  to  be  chosen.  In  the  expiry  review  request,  India 
was suggested as analogue country for the purpose of establishing normal value. This 
choice was not contested. It was also found that the reasons for selecting India, i.e. the 
size of its domestic market, the openness of its market and its degree of access to basic 
materials,  ensured  normal  conditions  of  competition.  The  Indian  producer  contacted 
agreed to co-operate and had representative domestic sales. This company was related 
to the co-operating Chinese exporting producer, but no reasons were found to consider 
that  this  could  have  an  impact  on  the  determination  of  normal  value.  Therefore,  in 
accordance with Article 2(7)(a) of the basic Regulation, India was considered to be an 
appropriate analogue country for establishing normal value. 

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(c)  Normal value 

(29)  Domestic sales of the like product in the analogue country were found to be profitable 
and representative during the IP. Therefore, the normal value was based on the price 
paid  or  payable  in  the  ordinary  course  of  trade  by  independent  customers  in  the 
analogue country, i.e. India. 

(d)  Export price 

(30)  Since  the  product  concerned  was  exported  to  independent  customers  in  the 
Community,  the  export  price  was  established  in  accordance  with  Article  2(8)  of  the 
basic Regulation, i.e. on the basis of the export price actually paid or payable.  

(e)  Comparison 

(31)  For  the  purposes  of  a  fair  comparison,  and  in  accordance  with  Article  2(10)  of  the 
basic Regulation, due allowance, in the form of adjustments, was made for differences 
in  respect  of  inland  freight,  discounts  and  deferred  rebates,  handling  and  loading, 
transport and credit costs, commissions and insurance which affected prices and price 
comparability. 

(32) 

In  this  respect  it  should,  however,  be  noted  that  following  the  imposition  of  anti-
dumping  measures,  the  volume  and  the  variety  of  the  types  of  RBM  exported  to  the 
Community fell sharply. Therefore, the types of the like product sold on the domestic 
market of the analogue country during the IP were comparable with only 10% of the 
types  directly  exported  from  the  PRC  by  the  sole  co-operating  exporting  producer. 
Whereas, in the original investigation the comparison was based on 75% of total sales 
volume. Indeed, most of the direct exports from the PRC during the IP of the current 
investigation covered “niche segments” such as 17 and 23 ring mechanisms subject to 
the MIP. 

(f)  Dumping margin 

(33) 

In accordance with Article 2(11) of the basic Regulation, the weighted average normal 
value was compared with the weighted average export price, at the same level of trade. 
The comparison showed an absence of dumping. 

(g)  Conclusion on dumping 

(34)  With regard to dumping practices, no dumping was found for WWS, the co-operating 
Chinese exporting producer. However,  the volume of export sales  of WWS direct to 
the  Community  during  the  IP  of  the  current  investigation  was  significantly  smaller 
than that identified in the original investigation. The exports direct from the PRC by 
WWS were also centred on the top end of the range of RBM, in particular 17 and 23 
ring  models  subject  to  a  duty  in  the  form  of  a  MIP  (see  recital  (32)  above).  This 
means, in effect, that hardly any anti-dumping duties were paid on these imports. This 
result  cannot  be  compared  to  the  dumping  margin  calculated  in  the  original 
investigation because it was not possible to calculate a dumping margin for the models 
of  RBM  subject  to  the  anti-dumping  duty,  which  were  the  models  sold  most  on  the 
Community market and which were not exported direct from the PRC during the IP of 
the current investigation. Also, in terms of sales volume, a comparison could only be 

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made  between  the  sales  of  the  like  product  sold  on  the  domestic  market  of  the 
analogue  country  and  the  models  that  formed  10%  of  the  sales  from  the  PRC  to  the 
Community. In the light of the above, it was considered that a clear conclusion on the 
continuation of dumping cannot be reached.  

3. 

Recurrence of dumping 

(35) 

(36) 

In  the  absence  of  a  clear  conclusion  of  continuation  of  dumping,  the  question  of 
likelihood of a recurrence of dumping was investigated. 

In  this  respect,  the  following  elements  were  analysed:  (a)  the  spare  capacity  and 
investments of the exporting Chinese producers; (b) the behaviour of the co-operating 
Chinese exporting producer on third country markets; (c) the structure in volume and 
prices  of  the  exports  of  the  product  concerned  to  third  countries  by  the  non  co-
operating companies.  

(a)  Spare capacity and investments 

(37) 

It  is  worth  recalling  that,  in  the  absence  of  co-operation  from  exporting  producers 
other than WWS, no information concerning production in the PRC, spare production 
capacity  and  sales  on  the  Chinese  market  was  available,  except  for  the  co-operating 
producer. 

(38)  The  production  capacity  of  the  co-operating  company  remained  stable  from  1999  to 
the IP. However, since the production of the product concerned fell by 28% between 
1999 and the IP, it is likely that the co-operating exporting producer has a significant 
unused  production  capacity,  i.e.  one  third  of  its  total  capacity.  Consequently,  this 
producer  might  quickly  increase  production and  direct  it  towards  any  export  market, 
including the Community market, if measures are allowed to expire. It should also be 
noted that the unused production capacity of the sole co-operating exporting producer 
is able to meet roughly half of the Community consumption. It can also be reasonably 
assumed  that  the  other  Chinese  producers  also  have  significant  spare  capacities,  as 
overall  Chinese  exports  have  decreased  and  there  is  no  information  showing  that 
capacity in the PRC has declined. 

(39) 

It  is  noted  that  the  co-operating  company  maintained  a  high  level  of  investment  in 
machinery  and  equipment  from  1999  to  the  IP,  although  to  a  gradually  decreasing 
extent.  

(b)  Behaviour  of  the  co-operating  Chinese  exporting  producer  on  third  country 

markets 

(40)  Export  sales  to  third  countries  (excluding  the  Community)  by  the  co-operating 
company decreased by 8% in volume from 2000 to the IP. Its average export price to 
third countries decreased by 12% during the same period. 

(c)  Behaviour of non co-operating Chinese companies (volume and prices) 

(41)  With  regard  to  the  companies  which  did  not  co-operate  in  the  present  investigation, 
findings had to be based on facts available in accordance with Article 18 of the basic 
Regulation.  In  the  absence  of  any  co-operation,  US  and  Chinese  statistics  were 
consulted  in  order  to  establish  volumes  and  prices  of  Chinese  exports  to  other 

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countries. Even if the absolute volume of the Chinese exports differs according to the 
source of information, both statistics confirm that there was a significant decrease in 
RBM  exports  from  China  in  the  period  between  1999  and  the  IP  all  over  the  world. 
According  to  Chinese  statistics,  the  volume  of  RBM  exported  in  1999  to  the  world 
market was around 662 million pieces, which decreased to 523 million pieces during 
the IP. The average export price, although covering various product types with widely 
differing prices, remained more or less stable during the same period. As mentioned in 
recital  (38),  in  the  absence  of  information  on  a  hypothetical  decrease  in  production 
capacity of the non co-operating Chinese exporting producers, it is likely that they still 
have significant unused capacities. In these circumstances, it is reasonable to consider 
that  if  the  anti-dumping  measures  were  allowed  to  expire,  the  Community  market 
would  become  a  very  attractive  target  for  these  Chinese  exporters,  who  would  then 
resume their exports to the Community market in considerable quantities.  

(42)  Furthermore,  it  is  important  to  note  that  OLAF  carried  out  an  investigation  to 
determine  whether  imported  RBM  declared  as  originating  in  Thailand  did  actually 
originate in that country or, as it is alleged, were actually of PRC origin.  

(43) 

(44) 

Investigations  by  OLAF  and  the  Member  States  concerned  have  concluded  that  the 
RBM were not of Thai origin. The investigations further established that a substantial 
part  of  that  traffic  was  of  Chinese  non-preferential  origin  and  thus  liable  to  anti-
dumping duties.  

In  this  respect,  it  should  be  noted  that  the  product  types  exported  via  Thailand 
included the models of RBM sold most on the Community market during the IP, rather 
than the 17 and 23 ring models sold directly from the PRC. This allowed a comparison 
to  be  made  using  the  models  sold  most  on  the  Community  market.  As  such,  a 
comparison was made between RBM exported from Thailand to the Community and a 
number  of  comparable  product  types  sold  on  the  domestic  market  of  the  analogue 
country.  The  result  should  be  viewed  with  caution,  since  in  the  absence  of  a  full 
investigation on imports of RBM from Thailand, the calculation could only be based 
on a FOB Bangkok price offer provided by the Community industry for product types 
exported  from  Thailand  to  the  Community  during  and  after  the  IP.  However,  the 
calculation  appeared  to  show  that  the  export  prices  of  the  RBM  exported  from 
Thailand  were  lower  than  the  prices  on  the  Indian  domestic  market,  and  therefore  it 
cannot be excluded that these RBM were sold to the Community at dumped prices. 

(d)  Anti-absorption investigation 

(45) 

In  addition,  it  should  be  recalled  that  in  October  2000,  following  the  original 
investigation  which  imposed  a  duty  of  32.5%  for  WWS  and  39.4%  for  all  other 
Chinese companies, an anti-absorption investigation led to an increase in the level of 
duty to 51.2% for WWS and 78.8% for all other companies.  

(e)  Trade defence measures applied by third countries 

(46)  No third countries apply trade defence measures to imports of RBM from the PRC. 

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4. 

Conclusion 

(47)  The investigation has shown  that both the co-operating exporting  producer and most 
likely also the other two Chinese exporting producers have considerable spare capacity 
in view of the significant decrease in their exports from 1999 to the IP. Moreover, the 
unused production capacity of the sole co-operating exporting producer is able to meet 
roughly half of the Community consumption.  

(48)  The  apparent  Community  consumption  in  the  IP  was  around  270  million  pieces,  of 
which only 5 million pieces were declared as originating in the PRC. In the IP of the 
original  investigation  (1st  October  1994  to  30th  September  1995)  Chinese  exporting 
producers  exported  126  million  pieces  to  the  Community.  Therefore,  and  in  view  of 
the spare capacity of the Chinese exporting producers, it is likely that imports from the 
PRC  to  the  Community  market  could  resume  in  significant  quantities  if  the  anti-
dumping measures were allowed to expire. In addition to the pressure on the Chinese 
companies to export in the light of their huge spare capacity, these exports will most 
likely  be  at  dumped  prices.  Indeed,  although  the  comparison  for  the  co-operating 
company  did  not  show  dumping,  this  was  based  on  a  small  sample  not  comparable 
with the calculation of dumping in the original investigation. On the other hand, one of 
the Chinese companies that did not co-operate in this investigation exported RBM to 
the Community market via a related company located in Thailand. Calculations have 
shown  the  possibility  that  these  sales  were  at  dumped  prices.  Therefore  it  cannot  be 
excluded  that  only  one  year  after  an  anti-absorption  investigation  the  dumping 
practices have continued.  

(49)  Based on all these findings and events, it is likely that in the event of resumption of 
exports  by  Chinese  exporters  to  the  EU,  these  exports  would  be  priced  below  the 
normal  value.  Consequently,  it  must  be  expected  that,  in  the  absence  of  the  present 
duties, the dumping from China would recur. 

D. DEFINITION OF THE COMMUNITY INDUSTRY 

(50)  During the IP RBM were manufactured in the Community by the following producers: 

– 

– 

Krause Ringbuchtechnik GmbH, Espelkamp, Germany 

SX Bürowaren Produktions- und Handels GmbH (until November 2001 RBM 
had been manufactured by Koloman Handler AG), Vienna, Austria 

– 

Industria Meccanica Lombarda srl, Offanengo, Italy. 

(51)  The first two producers are the applicants and co-operated in the investigation. The co-
operating Community producers  represented more than 90% of the total Community 
production  of  RBM  in  the  IP.  It  was  therefore  considered  that  these  producers 
represent the Community industry within the meaning of Articles 4(1) and 5(4) of the 
basic Regulation. They are hereinafter referred to as the ‘Community industry’. After 
the  IP,  these  two  companies  became  part  of  the  same  company  group,  but  their 
production was maintained in the Community. This company group is unrelated to the 
Chinese exporting producers.  

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E. SITUATION ON THE COMMUNITY MARKET 

1. 

Consumption on the Community market 

(52)  The  questionnaire  replies  of  the  co-operating  Community  producers  were  used  to 
establish  the  Community  industry’s  sales  of  RBM  on  the  Community  market.  Other 
information available was also used to calculate the sales of the Community producer 
not included in the definition of the Community industry. 

(53)  For  imports  originating  in  the  PRC  and  imports  declared  as  originating  in  Thailand, 
Eurostat  figures  were  used  with  the  exception  of  the  figures  regarding  imports 
declared as originating in the PRC in the IP, for which the information provided by the 
co-operating Chinese exporting producer was used.  

(54)  As  to  the  imports  originating  in  other  third  countries,  the  figures  on  imports 
originating in India and Indonesia, with the exception of those related to the IP, have 
been  obtained  from  the  anti-dumping  proceeding  concerning  these  two  countries. 
Eurostat information was used to calculate the volume of imports not available in the 
questionnaire replies or in previous proceedings. For imports originating in Hungary, 
the questionnaire reply of one co-operating Community producer was used. For third 
countries  other  than  Hungary  and  the  countries  referred  to  in  this  recital,  Eurostat 
information was used. It should also be noted that Eurostat figures had to be converted 
from tonnes into pieces. 

(55)  On  this  basis,  the  apparent  Community  consumption  decreased  by  9%  during  the 
period considered, from 297 million pieces (figures rounded to the million) in 1998 to 
270 million pieces in the IP. The figures for 1999 and 2000 were 306 million pieces 
and 316 million pieces, respectively. 

2. 

Imports from the country concerned 

(a) 

Import volume and market share  

(56)  The  imports  declared  as  originating  in  the  PRC  decreased  sharply,  from  44  million 
pieces  in  1998  to  24  million  pieces  in  1999,  to  10  million  pieces  in  2000  and  to  5 
million pieces in the IP. The market share of the imports declared as originating in the 
PRC fell in each year of the period considered, from 14.8% in 1998 to 7.8% in 1999, 
to 3% in 2000 and to 1.9% in the IP.  

(b)  Price evolution of the imports of the product concerned 

(57)  The average price of the imports declared as originating in the PRC increased by 96% 
between  1998  (EUR  141)  and  the  IP  (EUR  278).  The  upward  trend  of  the  prices  of 
imports  declared  as  originating  in  the  PRC  reflects  the  growing  weight  of  more 
expensive product types subject to an MIP (RBM with 17 and 23 rings) rather than a 
genuine price increase. 

3. 

Imports declared as originating in Thailand 

(58) 

It  was  mentioned  above,  based  on  the  findings  of  the  OLAF  investigation,  that  a 
substantial part of imports declared as originating in Thailand was in fact of Chinese 

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origin. Imports declared as originating in Thailand increased from one million pieces 
in 1998 to 16 million pieces in 1999, to 17 million pieces in 2000 and to 20 million 
pieces in the IP. The market share of the imports declared as originating in Thailand 
increased in each year of the period considered, from 0.3% in 1998 to 5.2% in 1999, to 
5.3%  in  2000  and  to  7.4%  in  the  IP.  The  average  price  of  the  imports  declared  as 
originating  in  Thailand  fell  by  9%  in  the  same  period,  from  EUR  100  to  EUR  91. 
More  detailed  price  information  available  for  imports  declared  as  originating  in 
Thailand  concern  resale  prices  of  a  European  distributor  of  RBM  exported  via 
Thailand. It was found that these resale prices were on average around 12% below the 
sales prices of the Community industry. 

4. 

Economic situation of the Community industry9 

(a)  Production, production capacity and capacity utilisation 

(59)  The  production  of  the  Community  industry  decreased  by  17%  over  the  period 
considered from 100 (index number) in 1998 to 91 in 1999, to 89 in 2000 and to 83 in 
the IP. Koloman Handler AG’s decision to transfer part of its production to Hungary 
in  2000  accounts  for  the  decrease  of  production  in  that  year.  In  the  IP,  Koloman 
Handler  AG  filed  for  bankruptcy  and  its  production  decreased  significantly  in  the 
second half of 2001. 

(60)  The  production  capacity  of  the  Community  industry  decreased  by  7%  in  the  period 
considered. It increased in 1999 to 107 (index number) and then fell to 93 in 2000 as a 
result of Koloman Handler AG’s decision to transfer part of its production to Hungary. 
Production capacity stabilised in the IP. 

(61)  Capacity utilisation fell from above 80% in 1998 to 70-75% in 1999, then increased to 

76-80% in 2000 and decreased again to 70-75% in the IP. 

(b)  Stocks 

(62)  The Community industry’s closing stocks fell by 37% in the period considered, having 
fallen in each year of that period. The main factor contributing to this decrease was the 
slowdown  of  Koloman  Handler  AG’s  production  after  filing  for  bankruptcy.  The 
period during which stocks were kept before being sold was reduced by 10 days in the 
period considered. 

(c) 

Sales volume, market share and growth 

(63)  The Community industry’s sales on the Community market decreased by 8% over the 
period  considered,  from  119  million  pieces  in  1998  to  109  million  pieces  in  the  IP. 
Sales had also fallen in 1999 to 115 million pieces and remained almost at the same 
level in 2000. 

(64)  The  market  share  held  by  the  Community  industry  grew  slightly  during  the  period 
considered, from 40.1% in 1998 to 40.4% in the IP, although it had fallen significantly 
in 1999 and 2000 to 37.6% and 36.2%, respectively. 

9 

Data  is  given  in  index  numbers  (1998  =  100)  or  in  a  range  whenever  it  is  necessary  to  preserve 
confidentiality. 

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(65)  While  the  Community  consumption  decreased  by  9%  in  the  period  considered,  the 
sales  volume  of  the  Community  industry  decreased  by  8%.  On  the  other  hand,  the 
aggregated volume of imports declared as originating in the PRC and in Thailand fell 
by 44% in the period considered. The Community industry thus slightly increased its 
market share, whereas the imports declared as originating in the PRC lost market share 
and the imports declared as originating in Thailand increased their market share. 

(d)  Sales prices and costs 

(66)  The  weighted  average  selling  price  of  RBM  sold  by  the  Community  industry  on  the 
Community  market  to  unrelated  customers  decreased  in  each  year  of  the  period 
considered, from EUR 206 per thousand pieces in 1998 to EUR 190 in 1999, to EUR 
177  in  2000  and  to  EUR  174  in  the  IP,  i.e.  by  16%  in  the  period  considered.  Anti-
dumping measures against imports from Indonesia were only taken in June 2002, i.e. it 
cannot  be  excluded  that  dumped  RBM  from  Indonesia  could  have  an  impact  on  the 
price development over the period considered. 

(67)  The selling price of the main raw materials (steel strip and steel wire) did not follow 
the downward trend. On the other hand, unit labour costs, which account for more than 
two fifths of the total unit cost, decreased significantly over the period considered.  

(e)  Profitability 

(68)  As  the  impact  of  certain  items  that  do  not  reflect  the  regular  performance  of  the 
business  (especially  depreciation  for  goodwill  following  an  acquisition)  was 
significant,  the  operating  profit  margin  before  depreciation  for  goodwill  was 
considered  to  be  a  better  indicator  than  the  pre-tax  profit  margin  to  assess  the 
profitability  of  the  Community  industry.  The  Community  industry  has  consistently 
registered  a  poor  operating  profit  margin  on  its  sales  to  unrelated  customers  in  the 
Community. Profitability improved from 0-3% in 1998 to 3.1%-6% in 1999 and then 
fell abruptly to between 0% and -3% in 2000 and it was lower than -3% in the IP. This 
negative  performance  certainly  contributed  to  the  fact  that  the  two  companies 
concerned  went  into  bankruptcy:  Koloman  Handler  AG  in  July  2001  and  Krause 
Ringbuchtechnik GmbH in April 2002 (i.e. soon after the end of the IP).  

(f) 

Investments and ability to raise capital 

(69)  The  analysis  of  investment  focussed  on  investment  in  plant  and  machinery, 
representing more than 90% of total investment in the IP. The investment in goodwill 
was  not  taken  into  consideration  since  it  does  not  reflect  the  regular  performance  of 
the  Community  industry  over  several  years,  as  that  investment  was  the  result  of  an 
acquisition which was a one-off event. Investment in plant and machinery decreased 
by 65% in the period considered. It fell to 52 (index number) in 1999, to 48 in 2000 
and to 35 in the IP. 

(70)  The ability of the Community industry to raise capital was dented by its consistently 

poor profitability.  

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(g)  Return on investment 

(71)  As equity became negative in 2000 and both Community producers subsequently filed 
for bankruptcy, the return on total assets (“ROTA”) was used to measure the return on 
investment.  ROTA  was  stable  in  1998  and  1999  at  between  0  and  3%,  then  fell 
abruptly to between 0% and -5% in 2000 and it was lower than -10% in the IP. 

(h)  Cash flow 

(72)  An  analysis  of  a  simplified  net  operating  cash  flow,  i.e.  operating  profit  plus 
depreciation  (excluding  depreciation  of  goodwill),  shows  that  the  trend  is  similar  to 
that of the operating profit margin. Cash flow increased from 100 (index number) in 
1998 to 126 in 1999, and then decreased sharply to 62 in 2000 and to -65 in the IP. 

(i)  Employment, productivity and wages 

(73)  Employment  (full-time  units)  fell  in  each  year  of  the  period  considered,  from  100 

(index number) in 1998 to 86 in 1999, to 82 in 2000 and to 77 in the IP. 

(74)  Productivity,  measured  in  thousand  pieces  per  employee,  improved  by  8%  over  the 
period  considered,  while  labour  costs  per  unit  of  output,  measured  in  EUR  per  kg, 
decreased by 12% in the same period. 

(j)  Magnitude of the actual margin of dumping 

(75)  There is no finding of actual dumping during the IP for imports declared as originating 
in  the  PRC  as  the  findings  for  these  imports  relate  to  a  small  and  not  representative 
range of RBM. Furthermore, no full determination on dumping for imports declared as 
originating in Thailand could be made due to a lack of investigation on dumping (the 
OLAF  investigation  concerned  the  determination  of  origin  and  did  not  relate  to  the 
issue of dumping). Therefore, no conclusion could be reached on the magnitude of the 
actual margin of dumping. 

5. 

Conclusion 

(76)  The  Community  industry  continued  to  be  in  a  precarious  situation  during  the  period 
considered. This is illustrated by its declining profitability (or, in other words, by its 
growing losses after 1999) on lower sales volumes at decreasing unit prices.  

(77)  The  precarious  situation  of  the  Community  industry  in  the  IP  resulted  from  various 
past events such as: (i) dumping of imports originating in the PRC until the imposition 
of  measures  in  January  1997;  (ii)  absorption  of  these  measures  as  determined  in 
October 2000; (iii) dumping of imports originating in Indonesia until the imposition of 
anti-dumping  measures  in  June  2002;  (iv)  circumvention  through  Thailand  (OLAF 
investigation).  In  addition,  following  an  investigation  into  circumvention,  the  anti-
dumping measures imposed by Council Regulation (EC) No 119/97 were extended to 
imports  consigned  from  Vietnam  (see  recital  (4)).  This  shows  that  during  the  period 
considered  the  Community  industry  always  suffered  from  dumping  and  had  no 
opportunity  to  recover.  The  decrease  in  consumption  on  the  Community  market  was 
limited  and  cannot,  therefore,  explain  in  itself  the  precarious  situation  of  the 
Community industry.  

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F. LIKELIHOOD OF RECURRENCE OF INJURY 

1. 

Impact of the projected increase in dumped imports on the Community industry 

(78) 

In the IP of the original investigation (i.e. in the period between 1 October 1994 and 
30 September 1995), the Chinese exporting producers sold 126 million pieces on the 
Community market (WWS’s sales accounting for more than two fifths of this volume). 
In  2001,  the  IP  of  the  current  investigation,  they  sold  5  million  pieces  declared  as 
originating  in  the  PRC.  The  facts  that  there  is  significant  spare  capacity  in  the  PRC 
(while  Chinese  exports  to  third  countries  are  decreasing  in  volume)  and  that  the 
behaviour of Chinese exporting producers has consistently shown that they are willing 
to sell at dumped and injurious prices to gain market share, clearly indicate that there 
is a likelihood of recurrence of injurious dumping through imports originating in the 
PRC if the anti-dumping measures expired. 

(79)  The  Community  is  the  only  market  where  Chinese  exporting  producers  could  still 
increase market share, as the other markets are already supplied by Chinese producers 
or  producers  in  third  countries  controlled  by  Chinese  producers.  The  Community 
industry’s  presence  is  not  significant  in  the  most  important  markets  outside  the 
Community  where  almost  all  of  the  RBM  sold  are  manufactured  in  the  PRC  or  by 
companies controlled by the Chinese exporting producers. The price pressure exerted 
by the imports concerned would most probably significantly increase, as suggested by 
the analysis of the anti-absorption investigation, if the existing measures were allowed 
to expire. If WWS was able to absorb a significant part of its 32.5% anti-dumping duty 
and  the  other  Chinese  companies  did  the  same  of  their  39.4%  duty,  then  it  is  most 
likely  that  in  the  absence  of  anti-dumping  measures  they  would  be  in  a  position  to 
increase their strong downward pressure on the prices of RBM sold in the Community.  

(80) 

It is recalled that the average price of RBM declared as originating in Thailand fell by 
9%  over  the  period  considered  and  a  comparison  between  average  selling  price  of  a 
European distributor of RBM declared as originating in Thailand and the Community 
industry’s  weighted  average  selling  price  showed  that  the  former  was  around  12% 
lower than the latter.  

(81)  As  to  imports  from  other  third  countries,  Hungary  is  part  of  the  Community  since  1 
May 2004 onwards. As concerns India and Indonesia, exporting producers in both of 
these  countries  are  controlled  by  Chinese  exporting  producers.  If  the  measures  on 
imports  originating  in  the  PRC  expire,  the  incentive  to  export  RBM  from  India  and 
Indonesia  to  the  Community  would  be  reduced,  as  it  is  likely  that  in  this  case  there 
would be a sharp increase in dumped imports coming directly from the PRC. 

(82)  Given the already precarious situation of the Community industry, the aforementioned 
substantial  increase  of  imports  from  the  PRC  at  dumped  prices  combined  with 
substantial  price  undercutting  would  undoubtedly  have  serious  consequences  for  the 
Community industry. Indeed, and also in view of the experience concerning past anti-
dumping  and  anti-subsidy  investigations  with  regard  to  RBM,  the  expiry  of  the 
measures concerning RBM imports originating in the PRC would in all likelihood lead 
to a further and material deterioration of the situation of the Community industry. 

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2. 

Conclusion on the likelihood of recurrence of injury 

(83)  On the basis of the above, it is likely that the expiry of the anti-dumping measures on 
imports of RBM originating in the PRC would result in a sharp increase in the volume 
of  these  imports  into  the  Community,  combined  with  a  significant  decline  in  selling 
prices. It should be noted that the bulk of the products on the RBM market is highly 
standardised and competition takes place to a great extent in terms of prices. 

(84) 

In this context, given the findings regarding the situation on the Community market, it 
is  thus  likely  that  an  increase  in  the  volume  of  imports  at  low,  dumped  prices  will 
depress  the  prices  of  the  Community  industry.  This  will  in  turn  lead  to  a  further 
deterioration  of  the  financial  situation  of  the  Community  industry.  The  consequence 
for the Community industry would most probably be bankruptcy and the closure of its 
remaining plant. 

(85)  The  expiry  of  the  measures  would  remove  the  most  important  barrier  to  impede  the 
Chinese  exporting  producers  to  sell  at  injurious  dumped  prices  on  the  Community 
market.  

(86)  Therefore, it is concluded that there is a likelihood of a recurrence of injury caused by 

dumped imports originating in the PRC. 

G. COMMUNITY INTEREST 

1. 

Introduction 

(87) 

(88) 

It was examined whether compelling reasons existed that could lead to the conclusion 
that it is not in the Community interest to renew the anti-dumping measures in force. 
For this purpose, and in accordance with Article 21 of the basic Regulation, the impact 
of  the  renewal  of  the  measures  on  all  parties  involved  in  this  proceeding  and  the 
consequences  of  the  expiry  of  the  measures  were  considered  on  the  basis  of  all 
evidence submitted. 

In  order  to  assess  the  impact  of  the  possible  maintenance  of  measures,  all  interested 
parties  were  given  the  opportunity  to  make  their  views  known  pursuant  to 
Article 21(2)  of  the  basic  Regulation.  Only  the  co-operating  Community  producers 
and  two  unrelated  importers  replied  to  the  questionnaire.  Three  users  made  some 
comments, but they neither replied to the questionnaire nor provided any evidence to 
substantiate their comments. 

(89)  Article 21(7) of the basic Regulation establishes that information shall only be taken 
into account where it is supported by actual evidence which substantiates its validity. 
In  this  context,  no  conclusion  could  be  drawn  from  the  comments  made  by  users 
suggesting  that  it  was  not  in  the  Community  interest  to  maintain  the  anti-dumping 
measures, as they were not substantiated. 

(90)  As to the effect of the anti-dumping measures previously imposed, there was a sharp 
decline in imports declared as originating in the PRC, especially after the increase in 
the measures following the findings on absorption, combined with a sharp increase in 
imports originating or declared as originating in other third countries. 

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2. 

Interests of the Community industry 

(91)  The company group to which the applicants belong is the only Community producer 
of  RBM  with  a  significant  production.  They  are  facing  a  difficult  environment  in 
which low-priced, often dumped and subsidised injurious imports from third countries 
remain a threat. They restructured their operation after having filed for bankruptcy, but 
this was not enough to avoid the further bankruptcy procedures in the last quarter of 
2003. The Community industry is making an effort to build a sound business able to 
compete with  Chinese exporting  producers on a world-wide basis. The expiry of the 
anti-dumping measures on imports originating in the PRC could seriously undermine 
that strategy, as Chinese exporting producers have shown in the past that they would 
push prices down to dumped levels in order to gain market share. Bearing in mind that 
the  effects  of  the  measures  in  place  have  been  partially  undermined  by  absorption 
practices  and  by  dumped  or  subsidised  RBM  imports  from  Indonesia,  the  possible 
expiry  of  such  measures  would  most  likely  make  the  current  restructuring  efforts  of 
the Community industry impossible. 

(92)  The Community industry has a long tradition, but it is very likely that it would cease 
to exist if the current restructuring efforts fail. Robert Krause GmbH & Co. KG filed 
for bankruptcy in January 1998. Its successor, Krause Ringbuchtechnik GmbH, owned 
by  Wilhelm  vom  Hoffe  Drahtwerke  GmbH  since  June  1998,  filed  for  bankruptcy  in 
April 2002. After having acquired the assets and taken over the personnel of the latter, 
Ringbuchtechnik Produktionsgesellschaft GmbH will probably not resume production 
after  its  application  for  the  opening  of  bankruptcy  procedures.  SX  Bürowaren 
Produktions-  und  Handels  GmbH  continues  the  tradition  of  Koloman  Handler  AG. 
Another  bankruptcy  would  likely  be  the  end  of  the  Community  industry.  Once  the 
Community  industry  stops  manufacturing  RBM,  the  skills  accumulated  during  more 
than a century and the jobs left would be lost. 

(93)  The renewal of the measures would most probably enable the Community industry to 
increase  its  market  share,  to  decrease  its  unit  manufacturing  costs  and  to  increase 
profitability. Prices would probably not change significantly, but sales volumes could 
grow substantially. The restructuring of the Community industry is intended to boost 
its  competitive  position,  allowing  for  better  planning  of  the  RBM  types  to  be 
produced, increasing its negotiating power vis-à-vis its suppliers, and streamlining its 
sales  operations.  All  these  measures  would  contribute  to  a  reduction  in  costs.  The 
Community industry is viable, as even after several bankruptcies it is still in a position 
to  supply  an  important  part  of  the  Community  market,  in  particular,  in  conjunction 
with  the  production  site  located  in  Hungary,  which  became  part  of  the  Community 
production on 1 May 2004.  

(94)  SX Bürowaren Produktions- und Handels GmbH’s acquisition of Bensons, a long time 
trader  of  RBM  with  companies  located  in  the  Netherlands,  Singapore,  the  United 
Kingdom and the USA, clearly shows the will of the Community industry to enhance 
its access to the market on a world-wide basis and the seriousness of its restructuring 
efforts. 

(95)  There  were  two  main  issues  raised  after  disclosure.  Firstly,  a  possible  abuse  of  a 
dominant position by the Community industry. In this respect, the Commission is not 
aware of any anti-trust procedure concerning the companies concerned.  

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(96)  Secondly,  it  was  alleged  that  the  Community  industry  is  now  related  to  a  Chinese 
exporter  and  that  Bensons,  the  importer  that  is  now  part  of  the  Community  industry 
group, is  an  exclusive  distributor of products  sold  by  WWS,  a  Chinese  exporter  that 
also controls the production in India.  

(97) 

It was found that there is a supply agreement between Bensons and WWS that initially 
foresaw  the  transfer  of  Intellectual  Property  Rights  from  WWS  to  Bensons  and  the 
transfer  of  some  of  Benson’s  shares  to  WWS.  These  transfers  have,  however,  not 
taken  place.  The  supply  agreement  foresees  no  exclusivity  between  Bensons  and 
WWS, but stipulates that Bensons is given priority to be the exclusive distributor if a 
given  supplier  ceases  its  activity.  Therefore,  the  alleged  relationship  cannot  be 
confirmed. 

3. 

Interests of importers 

(98)  The  only  two  co-operating  unrelated  importers  were  acquired  by  SX  Bürowaren 
Produktions-  und  Handels  GmbH  in  August  2002,  thus  becoming  related  to  the 
Community  industry  after  the  IP.  Normally,  events  after  the  IP  are  not  taken  into 
account. However, since this acquisition is a significant and lasting event, it should, in 
this particular case, be taken into account. The interests of these importers are now the 
same as those of the Community industry as they are all related companies. 

(99)  No  other  unrelated  importer  co-operated  in  the  investigation.  This  suggests  that, 
although  measures  have  been  in  place,  the  other  unrelated  importers  were  not 
significantly affected by these measures.  

4. 

Interests of users 

(100)  No user co-operated in the investigation. This suggests that, although measures have 
been in place, users were not significantly affected by these measures. The situation of 
users  is  thus  unlikely  to  deteriorate  as  a  result  of  the  maintenance  of  anti-dumping 
measures. 

(101)  In  the  period  considered,  some  binder  manufacturers  reduced  their  production  or 
closed their plants in the Community. In certain cases, they moved or expanded their 
production  capacity  outside  the  Community,  mainly  in  Eastern  European  countries. 
The  reasons  behind  the  decisions  of  these  users  were  mainly  motivated  by  lower 
labour costs and the proximity of those countries to the Community market, combined 
with the perspective that these countries will become members of the European Union 
on 1 May 2004. The prices of RBM sold by the Community industry have followed a 
downward trend and imports of low-priced RBM, shipped from India, Indonesia, and 
Thailand  not  subject  to  anti-dumping  duties  have  been  available  during  the  period 
considered.  

(102)  It should be stressed that should the Community industry cease to exist, users would 
become almost totally dependent on imports originating in the PRC and/or on imports 
from  Chinese  subsidiaries  in  other  countries.  At  that  moment,  Chinese  exporting 
producers would have an incentive to substantially increase prices in markets outside 
the PRC, which could seriously endanger the competitiveness of user industries. The 
Community industry has no interest in having a price policy that would contribute to 
the  closure  of  Community  binder  manufacturers,  as  it  would  be  in  a  much  weaker 

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position  when  competing  outside  the  Community  with  Chinese  exporting  producers 
and their subsidiaries. 

(103)  Should  measures  be  renewed,  there  will  be  alternative  sources  of  supply.  It  is  worth 
noting that the current anti-dumping measures on imports originating in the PRC did 
not entail any shortage of imported RBM on the Community market. 

5. 

Interests of upstream industry 

(104)  Suppliers of steel wire and steel strip sell a negligible percentage of their production to 
the  Community  industry  and,  as  such,  are  not  affected  by  the  outcome  of  this 
proceeding. None of them made itself known as an interested party. 

6. 

Competition and trade distorting effects 

(105)  With  respect  to  the  effects  of  possible  expiry  of  the  measures  on  competition  in  the 
Community,  it  should  be  noted  that  there  are  only  a  few  producers  of  RBM  world-
wide,  which  are  mostly  Chinese  or  controlled  by  Chinese  exporting  producers.  The 
disappearance  of  the  remaining  few  producers  not  controlled  by  Chinese  companies 
would thus have negative effects on competition in the Community. 

7. 

Conclusion on Community interest 

(106)  Taking into account the above factors and considerations, it is concluded that there are 
no compelling reasons against the maintenance of the current anti-dumping measures. 

H. ANTI-DUMPING MEASURES 

(107)  In the light of the foregoing, it is considered that, as provided for by Articles 11(2) and 
11(6)  of  the  basic  Regulation,  the  anti-dumping  measures  on  imports  of  RBM 
originating  in  the  PRC  imposed  by  Council  Regulation  (EC)  No  119/97,  as  last 
amended by Council Regulation (EC) No 2100/2000, should be maintained. 

(108)  Because of the long duration of the investigation, it is considered appropriate that the 

measures be limited to four years, 

HAS ADOPTED THIS REGULATION: 

Article 1 

1. 

A definitive anti-dumping duty is hereby imposed on imports of certain ring binder 
mechanisms currently classifiable within CN code ex 8305 10 00 originating in the 
People’s Republic of China.  

For  the  purpose  of  this  Regulation,  ring  binder  mechanisms  shall  consist  of  two 
rectangular steel sheets or wires with at least four half rings made of steel wire fixed 
on  it  and  which  are  kept  together  by  a  steel  cover.  They  can  be  opened  either  by 
pulling the half rings or with a small steel-made trigger mechanism fixed to the ring 
binder mechanism. 

EN 

20 

   EN 

 
2. 

The  rate  of  the  definitive  anti-dumping  duty  applicable  to  the  net,  free-at-
Community-frontier price, before duty, shall be as follows: 

(a) 

for mechanisms with 17 and 23 rings (TARIC codes 8305 10 00 21, 8305 10 
00 22 and 8305 10 00 29), the amount of duty shall be equal to the difference 
between the  minimum import  price of EUR 325 per 1000 pieces and the net, 
free-at-Community-frontier price, before duty; 

(b) 

for mechanisms other than those with 17 or 23 rings (TARIC codes 8305 10 00 
11, 8305 10 00 12 and 8305 10 00 19) 

Rate of duty 

TARIC additional code 

People’s Republic of China: 

– World Wide Stationery 
Mfg, Hong Kong, People’s 
Republic of China 

51.2% 

– all other companies 

78.8% 

8934 

8900 

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

Article 2 

This anti-dumping duty shall be imposed for a period of four years from the date of entry into 
force of this Regulation. 

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

Article 3 

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

Done at Brussels … 

For the Council 
The President 

EN 

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   EN