Notice of initiation of an anti-dumping proceeding concerning imports of chamois leather originating in the People's Republic of China
Date: 2005-06-25
Institutions: European Commission
Subjects: China, anti-dumping legislation, dumping, import, leather, leather industry, originating product

C 154/12

EN

Official Journal of the European Union

25.6.2005

Notice of initiation of an anti-dumping proceeding concerning imports of chamois leather origin-
ating in the People's Republic of China

(2005/C 154/08)

The Commission has received a complaint pursuant to Article
5 of Council Regulation (EC) No 384/96 (1) on protection
against dumped imports from countries not members of the
European Community (‘the basic Regulation’), alleging that
imports of chamois leather, originating in the People's Republic
of China (‘the country concerned’), are being dumped and are
thereby causing material injury to the Community industry.

negative impact on the market share held and the quantities
resulting in substantial
sold by the Community industry,
adverse effects on the overall performance, the financial situa-
tion and the employment situation of the Community industry.

5. Procedure

1. Complaint

The complaint was lodged on 13 May 2005 by the British
Leather Confederation (‘the complainant’) on behalf of produ-
cers representing a major proportion, in this case more than
50 % of the total Community production of chamois leather.

Having determined, after consulting the Advisory Committee,
that the complaint has been lodged by or on behalf of the
Community industry and that there is sufficient evidence to
justify the initiation of a proceeding, the Commission hereby
initiates an investigation pursuant to Article 5 of the basic
Regulation.

2. Product

The product allegedly being dumped is chamois leather and
combination chamois leather, whether or not cut to shape,
leather,
including chamois and combination chamois crust
originating in the People's Republic of China (‘the product
concerned’), normally declared within CN codes 4114 10 10
and 4114 10 90. These CN codes are only given for informa-
tion.

3. Allegation of dumping

In view of the provisions of Article 2(7) of the basic Regulation,
the complainant established normal value for the People's
Republic of China on the basis of
the price in a market
economy country, which is mentioned in point 5.1(d). The alle-
gation of dumping is based on a comparison of normal value,
thus calculated, with the
the product
concerned when sold for export to the Community.

export prices of

On this basis, the dumping margin calculated is significant.

4. Allegation of injury

The complainant has provided evidence that imports of the
product concerned from the People's Republic of China have
in absolute terms and in terms of market
increased overall
share.

It is alleged that the volumes and the prices of the imported
product concerned have, among other consequences, had a

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

Regulation (EC) No 461/2004 (OJ L 77, 13.3.2004, p. 12).

5.1. Procedure for the determination of dumping and injury

investigation will

The
the product
concerned originating in the People's Republic of China is
being dumped and whether this dumping has caused injury.

determine whether

(a) Sampling

In view of the apparent large number of parties involved in
the Commission may decide to apply
this proceeding,
sampling in accordance with Article 17 of the basic Regu-
lation.

(i) S a mp li n g

for
P e op le ' s R e p u b li c of Ch i na

e x p or t e r s/ p r odu c e r s

i n

t h e

In order to enable the Commission to decide whether
sampling is necessary and, if so, to select a sample, all
exporters/producers, or representatives acting on their
behalf, are hereby requested to make themselves
known by contacting the Commission and providing
the following information on their company or compa-
nies within the time limit set in point 6(b)(i) and in the
format indicated in point 7:

— name, address, e-mail address, telephone, and fax,

and/or telex numbers and contact person,

— the turnover in local currency and the volume in
the product concerned sold for
to the Community during the period 1

square feet of
export
April 2004 to 31 March 2005,

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Official Journal of the European Union

C 154/13

— the turnover in local currency and the sales volume
in square feet for the product concerned on the
domestic market during the period 1 April 2004 to
31 March 2005,

— the total turnover in euro of the company during

the period 1 April 2004 to 31 March 2005,

— the total number of employees,

— whether the company intends to claim an indivi-
(individual margins can only be

dual margin (1)
claimed by producers),

— the precise activities of the company with regard to

the product concerned,

— the precise activities of the company with regard to

the production of the product concerned,

— the names and the precise activities of all related
involved in the production and/or
the product

companies (2)
selling (export and/or domestic) of
concerned,

— any other relevant information that would assist
the Commission in the selection of the sample,

— an indication of whether the company or compa-
nies agree to their inclusion in the sample, which
implies replying to a questionnaire and accepting
an on-the-spot investigation of their response.

In order to obtain the information it deems necessary
for the selection of the sample of exporters/producers,
the Commission will, in addition, contact the authori-
ties of the exporting country and any known associa-
tions of exporters/producers.

— the volume in square feet and value in euro of
imports into and resales made in the Community
market during the period 1 April 2004 to 31
March 2005, of the imported product concerned
originating in the People's Republic of China,

— the names and the precise activities of all related
involved in the production and/or

companies
selling of the product concerned,

— any other relevant information that would assist
the Commission in the selection of the sample,

— an indication of whether the company or compa-
nies agree to their inclusion in the sample, which
implies replying to a questionnaire and accepting
an on-the-spot investigation of their response.

In order to obtain the information it deems necessary
for the selection of
the
Commission will, in addition, contact any known asso-
ciations of importers.

the sample of

importers,

(ii) Sa mp li ng for i mp or te r s

(iii) F i na l se le c ti on of t h e sa mp le s

In order to enable the Commission to decide whether
sampling is necessary and, if so, to select a sample, all
importers, or representatives acting on their behalf, are
hereby requested to make themselves known to the
Commission and to provide the following information
on their company or companies within the time limit
set in point 6(b)(i) and in the formats indicated in
point 7:

— name, address, e-mail address, telephone, and fax,

and/or telex numbers and contact person,

(1) Individual margins may be claimed pursuant to Article 17(3) of the
basic Regulation for companies not included in the sample, Article
9(5) of the basic Regulation concerning individual treatment in
cases involving non market economy countries/economies in transi-
tion, and Article 2(7)(b) of the basic Regulation for companies
claiming market economy status. Note that claims for individual
treatment necessitate an application pursuant to Article 9(5) of the
basic Regulation and that claims regarding market economy status
necessitate an application pursuant to Article 2(7)(b) of the basic
Regulation.

(2) For guidance on the meaning of related companies, please refer to
Article 143 of Commission Regulation (EEC) No 2454/93 laying
down provisions for the implementation of Council Regulation
(EEC) No 2913/92 establishing the Community Customs Code (OJ L
253, 11.10.1993, p. 1).

All interested parties wishing to submit any relevant
information regarding the selection of the sample must
do so within the time limit set in point 6(b)(ii).

samples

The Commission intends to make the final selection of
consulted the parties
the
concerned that have expressed their willingness to be
included in the sample.

after having

Companies included in the samples must reply to a
questionnaire within the time limit set in point 6(b)(iii)
and must cooperate within the framework of the inves-
tigation.

forthcoming,

sufficient cooperation is not

If
the
Commission may base its findings, in accordance with
Articles 17(4) and 18 of the basic Regulation, on the
facts available. A finding based on facts available may
be less advantageous
to the party concerned, as
explained in point 8 of this notice.

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Official Journal of the European Union

25.6.2005

(b) Questionnaires

In order to obtain the information it deems necessary for
its investigation, the Commission will send questionnaires
to the Community industry and to any association of
producers in the Community, to the sampled exporters/
producers in the People's Republic of China, to any associa-
tion of exporters/producers, to the sampled importers, to
any association of importers named in the complaint and
to the authorities of the exporting country concerned.

in the People's Republic of China
Exporters/producers
claiming an individual margin, with a view to the applica-
tion of Articles 17(3) and 9(6) of the basic Regulation,
must submit a completed questionnaire within the time
limit set in point 6(a)(ii). They therefore have to request a
questionnaire within the time limit set
in point 6(a)(i).
However, such parties should be aware that if sampling is
applied to exporters/producers, the Commission may none-
theless decide not to calculate an individual margin for
them if the number of exporters/producers is so large that
individual examination would be unduly burdensome and
would prevent the timely completion of the investigation.

(c) Collection of information and holding of hearings

producers in the People's Republic of China who have
either been included in the sample or named in the
complaint and to any association of exporters/producers
named in the complaint, as well as to the authorities of the
People's Republic of China.

5.2. Procedure for assessment of Community interest

In accordance with Article 21 of the basic Regulation and in
the event that the allegations of dumping and injury caused
thereby are substantiated, a decision will be reached as to
whether the adoption of anti-dumping measures would not be
against the Community interest. For this reason, the Com-
munity industry,
importers, their representative associations,
representative users and representative consumer organisations,
provided that they prove that there is an objective link between
their activity and the product concerned, may, within the
general time limits set in point 6(a)(ii), make themselves known
and provide the Commission with information. The parties
which have acted in conformity with the precedent sentence
may request a hearing setting the particular reasons why they
should be heard within the time limit set in point 6(a)(iii). It
should be noted that any information submitted pursuant to
Article 21 will only be taken into account if supported by
factual evidence at the time of submission.

submit

All interested parties are hereby invited to make their views
than questionnaire
known,
replies and to provide supporting evidence. This informa-
tion and supporting evidence has to reach the Commission
within the time limit set in point 6(a)(ii).

information other

6. Time limits

(a) General time limits

Furthermore, the Commission may hear interested parties,
provided that they make a request showing that there are
particular reasons why they should be heard. This request
must be made within the time limit set in point 6(a)(iii).

(d) Selection of the market economy country

In accordance with Article 2(7)(a) of the basic Regulation, it
is envisaged to choose the United States of America as an
appropriate market economy country for the purpose of
establishing normal value in respect of
the People's
Republic of China. Interested parties are hereby invited to
comment on the appropriateness of this choice within the
specific time limit set in point 6(c) .

(e) Market economy status

For those exporters/producers in the People's Republic of
China who claim and provide sufficient evidence that they
operate under market economy conditions,
i.e. that they
meet the criteria laid down in Article 2(7)(c) of the basic
Regulation, normal value will be determined in accordance
the basic Regulation. Exporters/
with Article 2(7)(b) of
producers intending to submit duly substantiated claims
must do so within the specific time limit set in point 6(d).
The Commission will send claim forms to all exporters/

(i) For p ar ti e s

to r e q u e st a q u e sti on nai r e or

oth e r c la i m for ms

All interested parties should request a questionnaire or
other claim forms as soon as possible, but not later
than 10 days after the publication in the Official
Journal of the European Union.

(ii) F or p a r ti e s to ma ke t h e mse lve s know n,

to
su bmi t q u e sti onn a i r e r e p li e s a nd a ny ot h e r
i nfor ma ti on

All interested parties, if their representations are to be
taken into account during the investigation, must
make themselves known by contacting the Commis-
sion, present
their views and submit questionnaire
replies or any other information within 40 days of the
date of publication of this notice in the Official Journal
the European Union, unless otherwise specified.
of
Attention is drawn to the fact that the exercise of
most procedural rights set out in the basic Regulation
depends on the party's making itself known within the
aforementioned period.

Companies selected in a sample must submit question-
naire replies within the time limits specified in point
6(b)(iii).

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Official Journal of the European Union

C 154/15

(iii) H e a r i ng s

7. Written submissions, questionnaire replies and cor-

All interested parties may also apply to be heard by
the Commission within the same 40 day time limit.

(b) Specific time limit in respect of sampling

(i) The

information specified in point 5.1(a)(i) and
5.1(a)(ii) should reach the Commission within 15 days
of the date of publication of this notice in the Official
Journal of the European Union, given that the Commis-
sion intends to consult parties concerned that have
expressed their willingness to be included in the
sample on its final selection within a period of 21
days of the publication of this notice in the Official
Journal of the European Union.

(ii) All other information relevant for the selection of the
sample as referred to in 5.1(a)(iii) must reach the
Commission within a period of 21 days of the publi-
cation of this notice in the Official Journal of the Euro-
pean Union.

(iii) The questionnaire replies from sampled parties must
reach the Commission within 37 days from the date
of the notification of their inclusion in the sample.

(c) Specific time limit

for

the selection of

the market economy

country

Parties to the investigation may wish to comment on the
appropriateness of the United States of America which, as
is envisaged as a market
mentioned in point 5.1(d),
economy country for the purpose of establishing normal
value in respect of the People's Republic of China. These
comments must reach the Commission within 10 days of
the date of publication of this notice in the Official Journal
of the European Union.

(d) Specific time limit for submission of claims for market economy

status and/or for individual treatment

Duly substantiated claims for market economy status (as
mentioned in point 5.1(e) ) and/or for individual treatment
pursuant
to Article 9(5) of the basic Regulation, must
reach the Commission within 21 days of the date of publi-
cation of this notice in the Official Journal of the European
Union.

respondence

All submissions and requests made by interested parties must
be made in writing (not in electronic format, unless otherwise
specified) and must indicate the name, address, e-mail address,
telephone and fax, and/or telex numbers of the interested party.
All written submissions, including the information requested in
this notice, questionnaire replies and correspondence provided
by interested parties on a confidential basis shall be labelled as
‘Limited’ (1) and, in accordance with Article 19(2) of the basic
Regulation,
accompanied by a non-confidential
version, which will be labelled ‘For inspection by interested
parties’.

shall be

Commission address for correspondence:
European Commission
Directorate General for Trade
Directorate B
Office: J-79, 5/16
B-1049 Brussels
Fax (32-2) 295 65 05.

8. Non-cooperation

In cases in which any interested party refuses access to or does
not provide the necessary information within the time limits,
or significantly impedes the investigation, 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 the facts available. If an interested
party does not cooperate or cooperates only partially and find-
ings are therefore based on facts available in accordance with
the result may be less
Article 18 of the basic Regulation,
favourable to that party than if it had cooperated.

9. Schedule of the investigation

The investigation will be concluded, according to Article 6(9)
of the basic Regulation within 15 months of the date of the
publication of this notice in the Official Journal of the European
Union. According to Article 7(1) of the basic Regulation, provi-
sional measures may be imposed no later than 9 months from
the publication of this notice in the Official Journal of the Euro-
pean Union.

(1) This means that

the document

is for internal use only.

is
protected pursuant to Article 4 of Regulation (EC) No 1049/2001
of the European Parliament and of the Council regarding public
access to European Parliament, Council and Commission documents
(OJ L 145, 31.5.2001, p. 43). It is a confidential document pursuant
to Article 19 of the basic Regulation and Article 6 of the WTO
Agreement on Implementation of Article VI of the GATT 1994
(Anti-dumping Agreement).

It