Council Regulation (EC) No 1858/2005 of 8 November 2005 imposing a definitive anti-dumping duty on imports of steel ropes and cables originating in the People’s Republic of China, India, South Africa and Ukraine following an expiry review pursuant to Article 11(2) of Regulation (EC) No 384/96
Date: 2005-11-08
Institutions: Council of the European Union
Subjects: China, India, South Africa, Ukraine, anti-dumping duty, anti-dumping legislation, section

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(Acts whose publication is obligatory)

COUNCIL REGULATION (EC) No 1858/2005

of 8 November 2005

imposing a definitive anti-dumping duty on imports of steel ropes and cables originating in the
People’s Republic of China, India, South Africa and Ukraine following an expiry review pursuant to
Article 11(2) of Regulation (EC) No 384/96

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty
Community,

establishing the European

Mexican, one South African and one Ukrainian exporting
producers from which undertakings were accepted by
Commission Decision 1999/572/EC (3). By Regulation
(EC) No 1678/2003,
the Commission withdrew the
undertaking offered by the above Ukrainian exporting
producer, and by Regulation (EC) No 1674/2003, the
Council reimposed the corresponding ad valorem anti-
dumping duty for this exporter.

Having regard to the Council Regulation (EC) No 384/96 of 22
December 1995 on protection against dumped imports from
countries not members of the European Community (1)
(the
basic Regulation), and in particular Article 11(2) thereof,

(3)

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

Whereas:

1. PROCEDURE

1.1. Measures in force

it was

found that circumvention of

Thereafter,
the
original measures concerning imports from Ukraine and
the PRC took place via respectively Moldova and via
Morocco following investigations pursuant
to Article
13 of the basic Regulation. Consequently, by Regulation
(EC) No 760/2004 (4), the Council extended the definitive
anti-dumping duty imposed on imports originating in
the same steel ropes and
the Ukraine to imports of
the anti-
cables consigned from Moldova. Similarly,
dumping duty imposed on imports originating in the
PRC was extended, by Council Regulation (EC) No
1886/2004 (5), to imports of the same steel ropes and
cables consigned from Morocco, with the exception of
those produced by a genuine Moroccan producer.

(1)

In August 1999, by Regulation (EC) No 1796/1999 (2)
(the original Regulation), the Council imposed a definitive
anti-dumping duty on imports of steel ropes and cables
(SWR) originating in the People’s Republic of China
India, Mexico, Poland, South Africa
(PRC), Hungary,
and Ukraine. The
led to these
measures is hereinafter referred to as ‘the original inves-
tigation’.

investigation that

(2)

The measures applying to these imports consisted of an
ad valorem duty, except for imports from one Indian, one

1.2. Investigation concerning another country

(4)

On 20 November 2004, by a notice published in the
Official Journal of the European Union (6), the Commission
initiated an anti-dumping proceeding concerning imports
of the same product originating in the Republic of Korea,
further
lodged by the Community
industry showing prima facie evidence that such imports
are being dumped and are thereby causing material injury
to the Community industry. The investigation was
terminated by Commission Decision 2005/739/EC (7)
without imposing measures.

to a complaint

(3) OJ L 217, 17.8.1999, p. 63. Decision as amended by Regulation

(EC) No 1678/2003 (OJ L 238, 25.9.2003, p. 13).

(1) 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).

(2) OJ L 217, 17.8.1999, p. 1. Regulation as amended by Regulation

(EC) No 1674/2003 (OJ L 238, 25.9.2003, p. 1).

(4) OJ L 120, 24.4.2004, p. 1.
(5) OJ L 328, 30.10.2004, p. 1.
(6) OJ C 283, 20.11.2004, p. 6.
(7) OJ L 276, 21.10.2005, p. 62.

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(5)

(6)

(7)

(8)

(9)

1.3. Request for a review

Following the publication of a notice of
impending
expiry of the anti-dumping measures in force of SWR
originating in the PRC, Hungary, India, Mexico, Poland,
South Africa and Ukraine (1), the Commission received,
on 17 May 2004, a request to review these measures
pursuant to Article 11(2) of the basic Regulation.

The request was lodged by the Liaison Committee of
European Union Wire Rope Industries (EWRIS)
(the
applicant) on behalf of producers representing a major
proportion,
in this case more than 50 %, of the total
Community production of SWR. The request was based
on the grounds that the expiry of the measures would be
recurrence of
in a continuation or
likely to result
dumping and injury to the Community industry.

In the absence of such evidence concerning imports
originating in Mexico, the applicant did not request the
initiation of an expiry review concerning imports origi-
nating in Mexico. Consequently, the measures applicable
to imports originating in Mexico expired on 18 August
2004 (2).

after

determined,
that

the Advisory
Having
Committee,
the
initiation of a review pursuant to Article 11(2) of the
basic Regulation, the Commission initiated a review (3).

consulting
sufficient evidence existed for

1.4. Investigation

the

advised

officially

The Commission
exporting
producers, importers, users known to be concerned and
their associations, the representatives of the exporting
countries and the Community producers of the initiation
of 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.

(10)

In view of the large number of Community producers
and of importers in the Community not related to an
exporting producer in one of the countries concerned, it
was considered appropriate,
in conformity with Article
17 of the basic Regulation, to examine whether sampling
should be used. In order to enable the Commission to
decide whether sampling would indeed be necessary and,

(1) OJ C 272, 13.11.2003, p. 2.
(2) OJ C 203, 11.8.2004, p. 4.
(3) OJ C 207, 17.8.2004, p. 2.

to Article 17(2) of

if so, to select a sample, the above parties were requested,
to
pursuant
the
make themselves known within two weeks of
initiation of
the
and to provide
Commission with the information requested in the
notice of initiation.

the basic Regulation,

the proceeding

(11)

Seventeen Community producers properly completed the
sampling form within the deadline and formally agreed
to cooperate further in the investigation. The sampling
information concerning the
form requested,
certain ‘macro’
development
indicators,
injury
of
namely production capacity, production volume, stocks,
sales volumes and employment.

inter alia,

(12)

From the above 17 producers, 5 companies, which were
found to be representative of the Community industry in
terms of volume of production and sales of the product
concerned in the Community, were selected for
the
sample.

(13) Only one importer provided the information requested in
the notice of initiation and expressed its willingness to
further cooperate with the Commission services. In view
of this situation, the Commission services decided not to
apply sampling in the case of the unrelated importers,
to send a questionnaire to the aforementioned
but
importer. Subsequently,
failed to
complete the questionnaire.
is therefore considered
that no cooperation could be obtained from the
unrelated importers. The Association representing the
interests of the importers (EWRIA) made comments of
a general nature, notably on the definition of the product
concerned and the like product. These comments are
addressed under recitals (19) and (20).

the said importer

It

(14) Questionnaires were therefore sent to the five sampled
Community producers and to all known exporting
producers.
in Turkey
In addition, one producer
(analogue country) was contacted and received a ques-
tionnaire.

(15)

Replies to the questionnaires were received from the five
sampled Community producers and three exporting
producers in the countries concerned, as well as from
two related importers
in the
analogue country.

and one producer

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(16)

Verification visits were carried out at the premises of the
following companies:

2.2. Like product

Sampled Community producers:

— BTS Drahtseile GmbH (Germany),

— Cables y Alambres especiales, SA (Spain),

— CASAR Drahtseilwerk Saar GmbH (Germany),

— Manuel Rodrigues

de Oliveira

Sa & Filhos,

SA

(Portugal),

— Trefileurope (France).

(20)

Producer in the exporting country:

— Usha Martin Ltd (India).

Related importers in the Community:

— Usha Martin UK (United Kingdom),

— Usha Martin Scandinavia (Denmark).

Producer in the analogue country:

(21)

— Celik Halat (Turkey).

(19) As established in the original

investigation, this review
investigation confirmed that the product concerned and
the products manufactured and sold by the exporting
producers on the domestic market, as well as those
manufactured and sold by the Community producers
on the Community market and by the producer in the
analogue
the
analogue country have the same basic physical character-
istics and end uses and are therefore considered to be like
products within the meaning of Article 1(4) of the basic
Regulation.

country on the domestic market of

EWRIA reiterated the argument made in the original
investigation that the product concerned differs substan-
tially from the products manufactured and sold in the
Community, and should not be compared. The argument
has been addressed in depth in the original Regulations
imposing provisional and definitive measures on imports
of the product concerned and it was found that the
Community-produced and imported SWR were alike.
As EWRIA did not bring any new element showing
findings were
that
reached in the
made had changed,
original definitive Regulation are confirmed.

the basis on which these original

the conclusions

3. LIKELIHOOD OF A CONTINUATION OR

RECURRENCE OF DUMPING

In accordance with Article 11(2) of the basic Regulation,
it was examined whether dumping was currently taking
place and,
the
measures would be likely to lead to a continuation of
dumping.

if so, whether or not

the expiry of

(17)

The investigation regarding the continuation and/or
recurrence of dumping and injury covered the period
from 1 July 2003 to 30 June 2004 (investigation
period or IP). The examination of the trends relevant
for the assessment of a likelihood of a continuation or
recurrence of injury covered the period from 1 January
2001 up to the end of the IP (period considered).

3.1. Preliminary remarks

(22) During the IP, the total import volume, as recorded in
Eurostat, of steel wire ropes from the PRC, India, South
Africa and Ukraine (the countries concerned) amounted
to 7 784 tonnes, representing 4,4 % of the Community
market share.

2. PRODUCT CONCERNED AND LIKE PRODUCT

2.1. Product concerned

(23)

(18)

i.e. steel ropes and cables,

The product concerned is the same as that in the original
investigation which led to the imposition of measures
including
currently in force,
locked coil
and cables of
stainless
a maximum cross-sectional
dimension exceeding 3 mm. They are currently classi-
fiable within CN codes ex 7312 10 82, ex 7312 10 84,
ex 7312 10 86, ex 7312 10 88 and ex 7312 10 99.

ropes,
steel, with

excluding ropes

the original

The investigation period of
investigation
covered 15 months (1 January 1997 to 31 March
1998) and only covered imports into the Community
figures from
prior to Enlargement. Therefore,
investigation period and the IP are not
the original
directly comparable.
in
EU-15 of the countries concerned in the original inves-
tigation period amounted to 21 102 tonnes, representing
14,3 % of the Community market share.

In any case,

imports

import

total

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(24)

the

export

In India one exporting producer cooperated, covering
75 % of the export volumes recorded in Eurostat.
In
sole known exporting producer
South Africa,
submitted information on its
to the
Community during the IP, which represented all export
sales of South Africa to the Community during the same
period. As regards the PRC, one exporting producer
cooperated which represented 75 % of export sales of
the
the
PRC to
the
Community. Finally, as regards Ukraine, none of
two known exporting producers cooperated in the
present investigation.

from the

concerned

product

sales

the Commission was reasonable and in line with the
basic Regulation. Therefore this claim had to be rejected.

(29)

The Commission subsequently identified those product
types, sold domestically by the company concerned,
that were identical or directly comparable to the types
sold for export to the Community.

3.2. Dumping of imports during the investigation

period

(30)

(25)

In accordance with Article 11(9) of the basic Regulation,
the same methodology was used as in the original inves-
tigation, whenever circumstances have not changed.

3.2.1. India

(26) During the IP, the total import volume, as recorded in
Eurostat, of SWR from India amounted to 3 869 tonnes,
representing 2,2 % of the Community market share.

3.2.1.1. N o r m a l v a l u e

first established for

(27) As far as the determination of normal value is concerned,
it was
the cooperating Indian
exporting producer whether its total domestic sales of
i.e. whether the
the like product were representative,
total volume of such sales represented at least 5 % of
its total export sales volume to the Community.
In
accordance with Article 2(2) of
the basic Regulation,
this was found to be the case.

(28)

the

cooperating

to the disclosure,

Indian
Further
exporting producer objected to the method used by the
Commission. He argued that for the representativity test
the sales volume of the product concerned to the first
independent customer in the Community and not to the
related importer in the Community should have been
used. However, Article 2(2) of
the basic Regulation
provides that for the determination whether domestic
sales of
the
domestic sales volume should be compared to the sales
volume of
the product concerned exported to the
Community, without specifying whether export sales to
the first independent customer or export sales to the
related importer should be taken into consideration.
it was found that the method used by
Consequently,

like product were

representative,

the

export

type of SWR sold for

For each type sold by the exporting producer on its
domestic market and found to be directly comparable
with the
to the
it was established whether domestic sales
Community,
were sufficiently representative for
the purposes of
Article 2(2) of the basic Regulation. Domestic sales of
a particular type of SWR were considered sufficiently
representative when the total domestic sales volume of
that type during the IP represented 5 % or more of the
total sales volume of
the comparable type of SWR
exported to the Community. This was the case for
31 % of all types exported to the Community.

(31) An examination was also made as

that

to whether

the product

type in question.

the
domestic sales of each product type, sold domestically
in representative quantities, could be regarded as having
been made in the ordinary course of trade, by estab-
lishing the proportion of profitable sales to independent
In cases
customers of
where the sales volume of a product type, sold at a net
to or above the calculated cost of
sales price equal
production, represented more than 80 % of
the total
sales volume of
type, and where the weighted
average price of that type was equal to or above the
cost of production, normal value was based on the
actual domestic price, calculated as a weighted average
of the prices of all domestic sales of that type made
during the IP,
irrespective of whether these sales were
profitable or not. In cases where the volume of profitable
sales of a product type represented 80 % or less of the
total sales volume of that type, or where the weighted
average price of
type was below the cost of
production, normal value was based on the actual
domestic price, calculated as a weighted average of prof-
itable sales of that type only, provided that these sales
represented 10 % or more of the total sales volume of
that type.

that

(32)

In cases where the volume of profitable sales of any
product
the total
type represented less than 10 % of
sales volume of that type,
it was considered that this
particular type was sold in insufficient quantities for
the domestic price to provide an appropriate basis for
the establishment of the normal value.

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(33) Wherever domestic prices of a particular product type
sold by an exporting producer could not be used in
order to establish normal value either because they had
not been sold on the domestic market or not in the
trade, another method had to be
ordinary course of
applied.
reasonable
any other
method, constructed normal value was used.

absence of

In the

(34)

(35)

(36)

for

the
selling,

exported types,
and

In all cases where constructed normal value was used and
in accordance with Article 2(3) of the basic Regulation,
normal value was constructed by adding to the manufac-
a
turing costs of
reasonable
percentage
administrative
expenses (SG&A) and a reasonable margin of profit. In
this regard and in accordance with Article 2(6) of the
basic Regulation, the amounts for SG&A and profits were
based on actual data pertaining to the production and
sale, in the ordinary course of trade, of the like product
on the domestic market.

general

the

cooperating

to the disclosure

the basic Regulation,

Further
Indian
exporting producer argued that when calculating its
domestic profit margin in accordance with Article 2(6)
of
the Commission wrongly
included domestic sales of products outside the scope
of
ropes.
However, as indicated in recital (18),
locked coil ropes
are expressively included in the definition of the product
concerned not only for the present investigation, but
they were also included in the original
investigation.
Therefore this claim had to be rejected.

locked coil wire

investigation,

the

i.e.

The Indian exporting producer claimed that the normal
value used to calculate its dumping margin during the IP
would not reasonably reflect domestic prices and costs,
since it was determined on an unrepresentative basis, i.e.
on the basis of 4 months of the IP instead of 12. It
should be noted that in the framework of an expiry
the
review and in accordance with Article 11(2) of
basic Regulation,
it is examined whether the expiry of
the measures would be likely to result in a continuation
or recurrence of dumping and injury. As a result, defi-
nitive anti-dumping duties are either confirmed or
repealed, while individual duty rates as such cannot be
amended. Since the calculation of precise dumping
margins
in the framework of an expiry review is
therefore not necessary, the examination of the conti-
nuation of dumping is based on a representative set of
data during the IP. In the present proceeding, data were
requested for the months at the end of each quarter and
the exporting producers were invited to comment on
their representativity. The exporting producer did not
object to this approach within the requested deadline,

i.e. at a
but only after the on-spot verification visit,
time where the verification of a different set of data
would not have been possible anymore. Furthermore,
the exporting producer did not explain nor provide any
in this specific case, the selected
evidence as to why,
periods would be unrepresentative. This claim had
therefore to be rejected.

(37)

3.2.1.2. E x p o r t p r i c e

the

Since all export sales of the product concerned to the
Community were made to related companies in the
Community,
constructed in
export price was
accordance with Article 2(9) of the basic Regulation on
the basis of the price at which the imported products
were first resold to an independent buyer. Adjustments
for all costs incurred between importation and resale, and
for profits accruing, were made in order to establish a
reliable export price, at the Community frontier level. In
this regard, the related importer’s SG&A were deducted
from the resale price in the Community. As far as the
profit margin is concerned and since there was no coop-
eration from unrelated importers, it was considered that,
in the absence of any other more reliable information,
the same profit margin as was used in the original inves-
tigation,
i.e. 5 %, should be used. No information was
available to show that this was not a reliable margin.

3.2.1.3. C o m p a r i s o n

(38)

For the purpose of making a fair comparison by product
type, on an ex-factory basis and at the same level of
trade, due allowance was made for differences which
were claimed and demonstrated to affect price compar-
ability. These adjustments were made in respect of trans-
portation costs, insurance costs, banking and credit costs
in accordance with Article 2(10) of the basic Regulation.

3.2.1.4. D u m p i n g m a r g i n

(39)

In order to calculate the dumping margin, the weighted
average normal value was compared to the weighted
average export price to the Community per product
type. This comparison showed the existence of significant
dumping for the exporting producer concerned, at the
level of more than 10 %. This compares with a dumping
margin of 39,8 % found in the original investigation. For
non-cooperating exporting producers, an assessment of
the level of dumping was made based on data relating to
normal value and export prices, as provided by the
applicant
in the review request. This also showed a
dumping margin of more than 20 %.

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3.2.2. The PRC

(40) During the IP, the total import volume, as recorded in
Eurostat, of steel wire ropes from the PRC amounted to
the Community
1 942 tonnes, representing 1,1 % of
market share. As mentioned in recital
the sole
cooperating exporting producer represented 75 % of the
total Chinese imports.

(24),

(41)

investigation four Chinese exporting
In the original
producers cooperated, however none of
them was
granted market economy status or individual treatment.

(42)

(43)

3.2.2.1. A n a l o g u e c o u n t r y

Since the PRC is an economy in transition, normal value
had to be based on information obtained in an appro-
priate market economy third country in accordance with
Article 2(7)(a) of the basic Regulation.

In the original investigation, Poland was used as analogue
country for the purpose of establishing normal value. As
Poland has been a member of the European Union since
1 May 2004, it can no longer be used as an analogue
country for the purpose of anti-dumping investigations.
For the present investigation the applicant proposed the
United States of America (USA) as an analogue country.

(44) One importer association objected to the choice of the
USA and proposed South Korea as an appropriate
analogue country. However, none of the producers in
the USA and South Korea were willing to cooperate in
the present expiry review.

as mentioned in recital

the product
Finally,
produced and sold on the Turkish domestic market
was alike to the product exported by the Chinese
exporting producer to the Community.

(19),

(47)

Subsequent to the disclosure one importer association
objected to the choice of Turkey as analogue country.
this claim was not substantiated and had
However,
therefore to be rejected.

(48)

It
is therefore concluded that Turkey constitutes an
appropriate analogue country for the purpose of estab-
lishing normal value in accordance with Article 2(7)(a) of
the basic Regulation.

3.2.2.2. N o r m a l v a l u e

(49)

to Article 2(7)(a) of

Pursuant
the basic Regulation,
normal value was established on the basis of verified
information received from the cooperating producer in
the analogue country, i.e. on the basis of the price paid
or payable on the domestic market of Turkey by
unrelated customers, since these sales were found to be
made in the ordinary course of trade.

(50) As a result, normal value was established as the weighted
average domestic sales price to unrelated customers by
the cooperating producer in Turkey.

3.2.2.3. E x p o r t p r i c e

(45)

therefore

The Commission services
explored other
possible analogue countries such as Norway, Thailand,
India and Turkey. As far as Norway and Thailand are
concerned,
the producers in these
countries was willing to cooperate.

likewise, none of

(46) Only one producer of SWR in Turkey cooperated with
the investigation by replying to the questionnaire and
accepting an on-spot verification visit. The investigation
showed that Turkey has a competitive market for SWR
with two domestic producers supplying around 83 % of
the market and competition from imports from other
third countries.
Import duties in Turkey are low and
there are no other restrictions for imports of SWR into
Turkey. The production volume in Turkey constituted
more than five times the volume of Chinese exports of
the product concerned to the Community. The Turkish
market was therefore deemed sufficiently representative
for the determination of normal value for the PRC.

the EC imports of

(51) Given that the export sales of the cooperating exporter
represented 75 % of
the product
concerned from the PRC in the IP, the determination
the export price was based on the information
of
provided by the cooperating exporting producer in the
PRC. Since all export sales of the product concerned were
in the
made
independent
Community,
established in
accordance with Article 2(8) of the basic Regulation on
the basis of the prices actually paid or payable.

export price was

customers

directly

the

to

3.2.2.4. C o m p a r i s o n

(52)

For the purpose of making a fair comparison by product
type, on an ex-factory basis and at the same level of
trade, due allowance was made for differences which
were claimed and demonstrated to affect price compar-
ability. These adjustments were made in respect of trans-
portation costs, insurance costs, banking and credit costs
in accordance with Article 2(10) of the basic Regulation.

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(53)

For certain product types sold on the domestic market in
Turkey, adjustments had to be made in order to make
them comparable with the Chinese exported types.
Adjustments were made in order to take account of
physical differences in accordance with Article 2(10)(b)
of the basic Regulation such as diameter, tensile strength
and core. The adjustments were based on the price
differences of
the types in question on the Turkish
market.

3.2.2.5. D u m p i n g m a r g i n

(54)

In order to calculate the dumping margin, the weighted
average normal value was compared to the weighted
average export price to the Community per product
type. This comparison showed the existence of significant
dumping of imports of the product concerned by the
cooperating exporter, at the level of more than 65 %.
This compares with a dumping margin of 60,4 %
found in the original investigation.

3.2.3. South Africa

(55) During the IP, the total import volume, as recorded in
Eurostat, of SWR from South Africa amounted to 278
tonnes, representing 0,1 % of the Community market
share,
level. The sole known
exporting producer represented 100 % of these imports.

i.e. at a de minimis

the Community market
tonnes,
share, which was considered as a de minimis market share.

representing 1 % of

(59)

In the absence of any cooperation from Ukraine, recourse
had to be made to facts available,
in accordance with
Article 18 of
the basic Regulation. On this basis
normal value as established for the analogue country
was compared with the export price as contained in
the applicant’s review request. As a result, a dumping
margin of more than 65 % was established for the IP.

3.3. Developments of imports should measures be

repealed

3.3.1. Preliminary remarks

(60) Out of the eight Indian exporting producers named in
the complaint, one cooperated in the investigation. Of
the two South African exporting producers named in the
complaint, only one cooperated partially. There are no
far as
other known producers
Ukraine
two known
exporting producers cooperated and likewise, no other
producers are known in Ukraine. Of nine known
Chinese exporting producers, only one cooperated with
the investigation.

concerned, neither of

in South Africa. As

the

is

(56)

full cooperation from the South
In the absence of
African exporting producer as outlined in recital
(57),
recourse had to be made to facts available in accordance
with Article 18 of the basic Regulation.

(61)

(57)

to

sales

export

regarding

The sole known exporting producer only submitted
information
the
its
Community, but did not provide any information with
regard to costs and prices of the like product on the
domestic market. Therefore, no normal value could be
established for
exporting
producer admitted that dumping was still taking place
during the IP. On this basis and in the absence of any
it was concluded that
other more reliable information,
dumping continued at significant levels during the IP.

IP. Nevertheless,

the

the

3.2.4. Ukraine

(58) During the IP, the total import volume, as recorded in
Eurostat, of SWR from Ukraine amounted to 1 695

3.3.2. India

3.3.2.1. P r e l i m i n a r y r e m a r k s

as

that

likely

available

Seven of the eight known producers in India did not
cooperate during the present expiry review. It is noted
that in the original investigation, six of these producers
were selling SWR only on their domestic market or to
other third country markets and they were therefore not
subject to the original investigation. Furthermore, due to
their non-cooperation in the present investigation, no
information was
to their production
capacity and volume, stocks and sales to markets other
than the Community. The examination of whether it
would be
should
measures be repealed was therefore based on the infor-
mation available,
i.e. the information provided by the
cooperating exporting producer. Information relating to
the import prices from exporters other than the coop-
erating exporter, determined on the basis of Eurostat, was
also examined. In order to establish whether dumping
should measures be
would be
cooperating
repealed,
exporting producer to other export markets,
its export
prices to the Community,
its production capacity and
stocks were examined. Also, the likely effect of a repeal
of the measures on prices of other imports was also
assessed.

the pricing behaviour of

likely to continue

continues

dumping

the

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(62)

(63)

(64)

3.3.2.2. R e l a t i o n s h i p
p r i c e s
e x p o r t p r i c e s t o t h e C o m m u n i t y

c o u n t r i e s

b e t w e e n

e x p o r t
a n d

t h i r d

t o

a

for

level

sales

levels

exports

certain price

than the export

It was found that the average export price of sales to
non-EU countries was significantly below the average
export price to the Community and also below the
prices on the domestic market, which indicated that
exports to non-EU countries were very likely dumped
to the
at even higher
Community. It should be noted, however, that during
the IP a minimum price undertaking was
in force
which required the exporting producer concerned to
respect
to the
Community. Some prices were found to be slightly
higher than the undertaking level, but the majority of
the sales were at prices at the level of the undertaking.
The exporter’s sales to non-EU countries were made in
significant quantities, accounting for 86 % of total export
sales. Therefore, it was considered that the export price
level to other third countries can be seen as an indicator
as to the likely price level
for export sales to the
Community should measures be repealed. On this
basis, and given the low price levels to third country
markets,
there is a likelihood
that the cooperating exporter would reduce its export
prices
to the Community, which as a consequence
would also increase the level of dumping.

it was concluded that

the

company’s

It is noted that the margin of dumping found in the IP
was significant. On this basis, it has to be assumed that
even if price levels to the Community would remain the
it is very likely that dumping would
same or increase,
still continue should the measures in force be repealed. In
view of
to the
Community in the past (i.e. in the original investigation,
it was found that the company exported high quantities
to the EU at dumped levels), as well as its pricing stra-
tegies with regard to exports to other third country
markets,
it is more likely that any further exports to
the Community would be made at lower, and conse-
quently dumped price levels.

export behaviour

3.3.2.3. R e l a t i o n s h i p
p r i c e s
p r i c e l e v e l

e x p o r t
b e t w e e n
t o t h i r d c o u n t r i e s a n d t h e
i n t h e C o m m u n i t y

the

prevailing

It is also noted that export prices to third countries were
found to be on average below the sales prices of the
Community industry in the Community, which means
product
that
price
the
concerned in the Community market makes
Community market a very attractive one for exporters
in India. On this basis,
it was considered that there is
indeed an economic incentive to shift exports from non-
EU countries to the more profitable Community market
in case of repeal of the measures in force.

level

the

for

(65)

(66)

3.3.2.4. P r i c e s

o f

n o n - c o o p e r a t i n g

e x -

p o r t e r s

Eurostat prices of all imports of the product concerned,
excluding those of the cooperating exporter, are signifi-
cantly below those of the cooperating exporter. In the
absence of other information, based on the normal value
these imports would be
of
dumped at significantly high levels.
In the absence of
these
measures,
imports would not be made at similar dumped prices
but in higher quantities.

there is no reason to consider that

the cooperating exporter,

3.3.2.5. U n u s e d c a p a c i t y a n d s t o c k s

The cooperating Indian producer, despite increasing
capacity utilisation over the last years, still has significant
spare capacities representing almost five times the export
quantity to the Community during the IP. Furthermore,
stocks — although decreasing in terms of volume — are
significant and, at the end of the IP, represented a major
portion of
the volume exported to the Community.
Therefore, the capacity to significantly increase export
quantities to the EC exists,
in particular because there
are no indications that
third country markets or the
domestic market could absorb any additional production.
In this regard, it should be noted that it is very unlikely
that the domestic market in India, due to the presence of
eight competing producers, would be able to absorb all
of the spare capacity of this exporting producer. In fact,
according to the review request, spare capacities of all
Indian producers were estimated at 35 000 tonnes, repre-
senting almost 20 % of Community consumption.

3.3.3. PRC

3.3.3.1. P r e l i m i n a r y r e m a r k s

(67) As mentioned in recital

treatment

investigation,

(41), none of

in the original

the Chinese
companies was granted market economy status or indi-
vidual
i.e. all
companies are subject to the single countrywide anti-
Import volumes
dumping duty at a rate of 60,4 %.
from the PRC decreased significantly,
i.e. from 11 484
tonnes during the IP of the original investigation (EU-15)
to 1 942 tonnes during the IP (EU-25). The current
market share of the PRC is slightly above de minimis,
i.e. 1,1 %.
It is, however, noted that Chinese imports
have, since 2001, an increasing trend. The exports to
the sole cooperating Chinese exporting
the EC of
producer
total Chinese exports,
amounting to 1 456 tonnes during the IP. There are
seven other exporting producers which exported only
small quantities to the Community during the IP.

represented 75 % of

16.11.2005

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Official Journal of the European Union

L 299/9

(68)

(69)

(70)

the cooperating exporting producer
export

In order to establish whether dumping would be likely to
continue should the measures be repealed, the pricing
to
behaviour of
its
other
the
export markets,
effect on prices of other
Community,
likely
the
its production capacity
imports,
and stocks were
examined.
Information relating to the import prices
from exporters other than the cooperating exporter was
determined on the basis of Eurostat.

prices

to

3.3.3.2. R e l a t i o n s h i p
p r i c e s
e x p o r t p r i c e s t o t h e C o m m u n i t y

c o u n t r i e s

b e t w e e n

e x p o r t
a n d

t h i r d

t o

Export prices from the PRC to the USA, one of the major
export markets of the Chinese exporting producers and a
market in which no measures are in force, were, on
average, significantly below the export prices to the
Community. Since, as concluded in recital (54), export
sales from the PRC to the Community were made at
dumped levels, this indicated that exports to the USA
and other third country markets were likely dumped at
levels
even higher
to the
than the
Community.
the export
It was also considered that
price level to the USA and to other third countries can
be seen as an indicator as to the likely price level for
export sales to the Community should measures be
repealed. On this basis, and given the low price levels
to third country markets it was concluded that there is a
to the
considerable margin to reduce export prices
Community, which as
consequence would also
increase the dumping.

export

sales

a

3.3.3.3. R e l a t i o n s h i p
p r i c e s
p r i c e l e v e l

e x p o r t
b e t w e e n
t o t h i r d c o u n t r i e s a n d t h e
i n t h e C o m m u n i t y

industry

It was also found that the price level of sales by the
Community
in the Community was on
average considerably higher than the export price level
the cooperating Chinese exporter’s prices to other
of
third country markets. As indicated already in recital
the generally prevailing
that
(64)
price
the
product
Community market makes the Community market a
the PRC. The
very attractive one, applies also for
higher price level on the Community market
is an
incentive for increasing exports to the Community.

for India,
level

the fact
the

concerned

for

in

3.3.3.4. P r i c e s

o f

n o n - c o o p e r a t i n g

e x -

p o r t e r s

(71)

Eurostat prices of all imports of the product concerned,
excluding those of the cooperating exporter, are below
those of the cooperating exporter. Based on the normal

(72)

value calculated for the analogue country, these imports
would be dumped at significantly high levels.
In the
there is no reason to consider
absence of measures,
that
similar
dumped prices but in higher quantities.

these imports would not be made at

3.3.3.5. U n u s e d c a p a c i t y a n d s t o c k s

cooperating Chinese producer, despite

The
slightly
increasing capacity utilisation over the last years, has
still significant spare capacities representing almost four
times the export quantity to the Community during the
IP. According to the review request, spare capacities of all
exporting producers
in the PRC were estimated at
270 000 tonnes. Thus, the capacity to increase export
in particular,
quantities
because there are no indications
third country
markets or the domestic market could absorb any addi-
tional production. In this regard it should be noted that it
is very unlikely that the domestic market in PRC, due to
the presence of a considerable number of competing
producers would be able absorb any spare capacities.

to the Community exists,
that

3.3.3.6. C i r c u m v e n t i o n p r a c t i c e s

(73)

It is noted that the measures in force on imports of the
product concerned from the PRC were found to have
imports transhipped
been circumvented by means of
via Morocco. This indicates the clear interest
in the
Community market of
sellers of Chinese SWR and
their inability to compete on the Community market at
non-dumped levels. This was considered as a further
indication that Chinese exports would likely increase in
volume and enter the Community market at dumped
prices should measures be repealed.

3.3.4. South Africa

3.3.4.1. P r e l i m i n a r y r e m a r k s

(74)

There is only one known producer in South Africa. This
producer partially cooperated in this review investigation.

(75)

Imports from South Africa dropped considerably since
the imposition of definitive measures. The market share
of imports from South Africa was below the de minimis
threshold (1 %) during the IP. Thus, total exports from
South Africa during the IP amounted to 278 tonnes of
which major quantities were shipped to a bond store in
Rotterdam, whereby these goods were eventually re-
exported and not customs cleared in the EU. Only
minor quantities of
concerned were
the product
released for free circulation in the EU.

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(76) As mentioned in recitals (57) and (60), recourse was
made to facts available,
in particular as regards the
situation of the South African domestic market. Since
little information is known about
the South African
industry, the following conclusions rely on the infor-
mation contained in the applicant’s review request and
publicly available export trade statistics.

(77)

In order to establish whether dumping would recur
should measures be repealed information provided by
the cooperating exporter relating to export prices to
the Community and to third countries, unused capacity
and stocks were examined.

3.3.4.2. R e l a t i o n s h i p
p r i c e s
p r i c e s i n t h e e x p o r t i n g c o u n t r y

c o u n t r i e s

b e t w e e n

e x p o r t
a n d

t h i r d

t o

(78) As already explained in recital

(76), no information
regarding domestic prices was provided. Therefore, the
information on domestic prices, as contained in the
request, was used. As to the prices in export markets
five major export desti-
other than the Community,
nations were analysed.
the export
In all
prices to third countries were below domestic prices.
Assuming that
serve as a
bottom line which the exporter may accept when
coming back to the Community market, it is clear that
these exports would likely continue to be at dumped
prices.

these export prices will

instances,

(81)

(82)

export prices to the Community, which as a consequence
would also increase the level of dumping.

3.3.4.4. R e l a t i o n s h i p
p r i c e s
p r i c e l e v e l

e x p o r t
b e t w e e n
t o t h i r d c o u n t r i e s a n d t h e
i n t h e C o m m u n i t y

It was furthermore found that prices on the Community
market were on average substantially higher than the
export prices to the five major exporting countries
outside the Community. As indicated already in recital
(64) for India and recital (70) for the PRC, this makes the
Community market a very attractive one for the future
it was
should measures be repealed.
the
considered
higher
that
increasing
Community market
exports to the Community market.

In this regard,
price
an incentive

level
for

the

on

is

3.3.4.5. U n u s e d c a p a c i t y a n d s t o c k s

Since the imposition of the definitive duty, the partly
cooperating exporting producer accumulated significant
stocks and spare capacities,
the latter of over more
than 40 % of the level of installed capacity. According
to the request, spare capacities were estimated at 23 000
tonnes to 25 000 tonnes. Thus, the capacity to increase
export quantities to the Community exists, in particular
because there are no indications
third country
markets or the domestic market could absorb any addi-
tional production.

that

3.3.4.3. R e l a t i o n s h i p
p r i c e s
e x p o r t
C o m m u n i t y

e x p o r t
b e t w e e n
t o t h i r d c o u n t r i e s a n d t h e
t h e
l e v e l

p r i c e

t o

(79) An examination of the average export sales prices to the
five major export markets other than the Community
showed that these sales were made at prices significantly
lower than export prices to the Community. As in the
case of India, this is at least partly due to the fact that,
during the IP, a minimum price undertaking was in force
which required the exporting producer concerned to
respect a certain price
into the
level
Community. All prices were found to be slightly higher
than the undertaking level.

exports

for

3.3.5. Ukraine

3.3.5.1. P r e l i m i n a r y r e m a r k s

(83) Given the absence of any cooperation from the two
known Ukrainian exporting producers,
findings were
based on facts available, in accordance with Article 18
of the basic Regulation. Since little information is known
about the Ukrainian industry, the following conclusions
rely on the information contained in the applicant’s
review request and publicly available trade statistics. It
is noted that there are no other known producers in
the Ukraine
following considerations
the
regarding in particular production capacities, relate to
the two known exporting producers.

and that

(80)

Therefore, it was considered that the export price level to
these five export markets outside the Community can be
seen as an indicator as to the likely price level for export
sales to the Community should measures be repealed. On
this basis, it was concluded that there is a considerable
margin for the sole South African exporter to reduce

(84)

In order to establish whether dumping would be likely to
recur should measures be repealed, the export prices to
third countries, unused capacity
and stocks were
examined.

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L 299/11

3.3.5.2. R e l a t i o n b e t w e e n e x p o r t p r i c e s t o
e x p o r t

c o u n t r i e s

a n d

t h e

t h i r d
p r i c e l e v e l

t o t h e C o m m u n i t y

(85)

available

In the absence of any other more reliable information,
the information provided in the request with regard to
exports to Russia and the USA, which was based on
publicly
been taken into
statistics, has
account. An analysis of
the figures available revealed
that the average export prices to these countries were
significantly below the average export prices to the
Community. As already explained above in the case for
India, the PRC and South Africa, export prices to other
third countries were considered as an indicator as to the
for export sales to the Community
likely price level
should measures be repealed. On this basis
it was
concluded that there is a considerable margin to reduce
export prices to the Community, and very likely to
dumped levels.

3.3.5.3. U n u s e d c a p a c i t y

(86) According to the evidence available in the request, the
estimated production capacity in the Ukraine amounts to
100 000 tonnes, of which only 50 % is used for actual
production. A spare capacity of 50 000 tonnes would
represent
the highest spare capacity of all countries
concerned and amount to more than one third of the
the capacity to
Community consumption. Therefore,
in the
increase export quantities to the Community is,
case of Ukraine, by far the most
from all
countries concerned, in particular because there are no
indications that third country markets or the domestic
market could absorb any additional production.

imminent

3.3.5.4. V i o l a t i o n o f

c i r c u m v e n t i o n o f

a n u n d e r t a k i n g a n d
t h e m e a s u r e s

(87)

Firstly,

Subsequently,

the Ukrainian

In 1999, in the framework of the original investigation,
the Commission accepted an undertaking offered by one
of
the
exporters.
Commission found a breach of this undertaking in two
respects.
concerned
and
provided misleading
secondly, the exporter issued undertaking invoices for
product types not falling within the scope of the under-
taking, thereby unduly benefiting from the exemption of
the payment of the anti-dumping duties. Consequently,
by Regulation (EC) No 1678/2003,
the Commission
withdrew its acceptance of the undertaking.

the Ukrainian exporter
declarations

origin

of

(88) Moreover,

following the imposition of

the existing
measures on imports of SWR from the Ukraine, it was
found that these measures were being circumvented by

imports of SWR from Moldova. As mentioned in recital
(3), the existing measures were accordingly extended to
imports of SWR consigned from Moldova.

(89) Although the violation of an undertaking and circum-
vention practices in the past do not per se justify the
conclusion of dumping practices in the future,
it was
considered that in this case such practices were additional
factors indicating the exporters’ interest in entering the
Community market and their inability to compete on the
Community market at non-dumped levels.

3.4. Conclusion

(90)

Continuation of significant dumping was found in all
cases, albeit import volumes for South Africa and the
Ukraine were at de minimis levels.

(91)

For the examination as to whether it would be likely that
dumping would continue or
recur should the anti-
dumping measures be repealed, spare capacities and
unused stocks as well as pricing and export strategies
in different markets were analysed. This examination
revealed that there were important spare capacities and
accumulated stocks in all exporting countries concerned.
It was further found that export prices to other third
level
countries were generally of a significant
and that
to the Community market
than those
therefore the Community remained an attractive market
for the exporting producers of all countries concerned. It
was therefore concluded that exports from the countries
concerned to third countries would very likely be
redirected to the Community should the access to the
Community market be without anti-dumping measures.
The available spare production capacities would also
likely lead to increased imports
from all countries
concerned.

lower

(92) An analysis of

that

these

the pricing strategies of all countries
concerned revealed furthermore,
exports
would most likely be made at dumped prices. In the
case of the PRC and Ukraine, these conclusions were
reinforced by the fact that the existing measures were
found to have been circumvented by imports via other
countries which indicated that exporting countries were
not able to compete in the Community market at fair
prices.

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Official Journal of the European Union

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(93)

Considering the above, it was established for all countries
concerned that dumping would likely continue or recur
in significant quantities should measures be allowed to
expire.

— Trefileurope (France),

— WADRA GmbH (Germany),

— Westfälische Drahtindustrie GmbH (Germany).

As indicated under recital (12), a sample consisting of
five companies was selected.

4. DEFINITION OF THE COMMUNITY INDUSTRY

4.1. Community production

(94) Within the Community, the product concerned is manu-
factured by 30 producers which constitute the total
Community production within the meaning of Article
4(1) of the basic Regulation.

(96)

These companies fully cooperated in the investigation.
The five sampled Community producers accounted for
30 % of the total Community production during the IP,
whilst the above 17 Community producers accounted for
68 % of the total Community production during the IP.

4.2. Community industry

(95)

It should be noted that in the original investigation the
Community industry consisted of 20 producers. Nine of
these companies did not cooperate in the review inves-
tigation. Conversely, six companies which were not part
of the Community industry in the original investigation,
both supported the
review request and agreed to
cooperate in the review investigation. Accordingly, the
following 17 producers supported the complaint and
agreed to cooperate:

— Bridon International Ltd (United Kingdom),

— BTS Drahtseile GmbH (Germany),

— Cables y Alambres especiales, SA (Spain),

— CASAR Drahtseilwerk Saar GmbH (Germany),

— D. Koronakis SA (Greece),

— Drahtseilwerk GmbH (Germany),

(97)

It is therefore considered that the above 17 Community
producers account for a major proportion of the total
Community production of the like product. The above
17 Community producers are therefore deemed to
constitute the Community industry within the meaning
of Article 4(1) and Article 5(4) of the basic Regulation
the ‘Community
and are hereinafter
industry’.

referred to as

5. SITUATION ON THE COMMUNITY MARKET

5.1. Consumption in the Community market

(98)

Community consumption was established on the basis of
the sales volumes of the Community industry on the
Community market,
the other
Community producers on the Community market, and
Eurostat data for all EU imports.

the sales volumes of

— Drahtseilwerk Hemer GmbH and Co. KG (Germany),

— Drahtseilerei Gustav Kocks GmbH (Germany),

(99)

— Drumet SA (Poland),

— Hamburger Drahtseilerei A.

Steppuhn GmbH

(Germany),

— Iscar Funi Metalliche Srl (Italy),

— Manuel Rodrigues de Oliveira Sa & Filhos, SA

(Portugal),

— Metalcavi wire ropes Srl (Italy),

— Metal Press Srl (Italy),

Between 2001 and the IP, Community consumption
it decreased by 3 %
decreased by 9 %. Specifically,
between 2001 and 2002,
further 6 %
between 2002 and 2003.
then remained broadly
stable at this level in the IP.

and by a

It

2001

2002

2003

IP

Total EC consumption
(tonnes)

194 547 187 845 176 438 177 825

Index (2001=100)

100

97

91

91

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Official Journal of the European Union

L 299/13

5.2. Imports from the countries concerned

5.2.1. Cumulation

(106) Prices of

imports from the four countries concerned
decreased on average from 1 364 EUR/tonne in 2001
to 1 296 EUR/tonne in the IP.

(100)

In the original investigation imports of SWR originating
in the PRC,
India, South Africa and Ukraine were
assessed cumulatively in accordance with Article 3(4) of
the basic Regulation. It was examined whether a cumu-
lative assessment was also appropriate in the current
investigation.

(101)

In this respect, it was found that the margin of dumping
established in relation to the imports from each country
was above the de minimis level. As regards the quantities
exported by each of the four countries concerned, as
stated in recitals (22) to (24), it was considered that, if
imports from each of the
the measures were repealed,
countries concerned would be likely to increase to levels
significantly above those reached in the IP and certainly
exceed the negligibility threshold.

concerned,

considered on a

(102) As regards the conditions of competition, the investi-
found that SWR imported from the
gation has
type-by-type
countries
their essential physical and
basis, were alike in all
technical characteristics. Furthermore,
these types of
SWR were interchangeable with other types imported
from the countries concerned and those produced in
and they were marketed in the
the Community
Community during the same period, through comparable
sales channels under similar commercial conditions. The
imported SWR were therefore considered to compete
with each other and with the SWR produced in the
Community.

(103)

In the light of the above, it was considered that all the
criteria set out in Article 3(4) of the basic Regulation
were met. The
countries
concerned were therefore examined cumulatively.

from the

imports

four

5.2.2. Volume, market share and prices of imports

(104) With respect to the four countries concerned, the import
volumes, market shares and average prices developed as
set out below. The following price trends are based on
Eurostat import prices and include anti-dumping duties
and estimated post-importation costs.

(105) The volume of imports originating in the four countries
concerned first increased and reached a level of 9 153
tonnes in 2002, corresponding to a market share of
4,9 %, before declining to 7 784 tonnes during the IP,
corresponding to a market share of 4,4 %. During the IP
of the original investigation, the cumulated market share
of the four countries concerned was 14,3 %.

(107) The

investigation showed that

imports

countries concerned were undercutting those of
Community industry by 36 to 68 % in the IP.

from the
the

2001

2002

2003

IP

7 951

9 153

7 168

7 784

4,1 % 4,9 % 4,1 % 4,4 %

1 364

1 450

1 331

1 296

Volume of imports from
the four countries
concerned (tonnes)

Market share of imports
from the four countries
concerned

Prices of imports from the
four countries concerned
(EUR/tonne)

5.3. Imports found to be circumventing

(108) As mentioned in recital (3),

the original measures

and the PRC took place

it was further found that
circumvention of
concerning
respectively via
Ukraine
Moldova and Morocco. Consequently, the anti-dumping
duty imposed on imports originating in the PRC was
extended to imports of the same steel ropes and cables
consigned from Morocco, with the exception of those
produced by a genuine Moroccan producer. Similarly,
the definitive anti-dumping duty imposed on imports
originating in the Ukraine was extended to imports of
the same steel ropes and cables consigned from Moldova.

Volume of imports from
Moldova (tonnes)

Market share of imports
from Moldova

2001

2002

2003

1 054

1 816

0

IP

0

0,5 % 1,0 % 0,0 % 0,0 %

Prices of imports from
Moldova (EUR/tonne)

899

843

Index (2001=100)

100

94

0

0

0

0

Volume of imports from
Morocco (tonnes)

Market share of imports
from Morocco

Prices of imports from
Morocco (EUR/tonne)

231

1 435

2 411

1 904

0,1 % 0,8 % 1,4 % 1,1 %

963

955

1 000

1 009

Index (2001=100)

100

99

104

105

L 299/14

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16.11.2005

(109) While the volume of imports from Moldova stood at
zero in the years before 2000, it rose sharply to 1 816
tonnes in 2002. Subsequently it dropped to zero again,
probably as a consequence of the initiation of the afore-
mentioned anti-circumvention investigation in the course
of 2003. Imports from Moldova were made at very low
prices in 2001 and 2002, i.e. 899 EUR/tonne in 2001
and 843 EUR/tonne in 2002.

to a market share of 14,5 %. Average prices of imports
from the Republic of Korea declined by 18 % between
2001 and the IP, i.e. from 1 366 EUR/tonne to 1 123
EUR/tonne. As no dumping was evidenced as regards
this proceeding
imports from the Republic of Korea,
was terminated (see recital (4)).

5.4.2. Mexico

(110) During the investigation period of the original

investi-
gation, the market share of imports from Morocco was
0 %. The volume of imports from Morocco rose sharply
from 231 tonnes in 2001 to 2 411 tonnes in 2003. It
declined to 1 904 tonnes during the IP. The above anti-
circumvention investigation evidenced that a limited
volume of imports from Morocco (around 100 tonnes)
was attributed in 2003 to a genuine Moroccan producer.
Imports from Morocco were made at very low prices
between 2001 and the IP, i.e. around 1 000 EUR tonne.

5.4. Imports from other countries

5.4.1. The Republic of Korea (South Korea)

(111) On 20 November 2004, the Commission initiated an
anti-dumping proceeding concerning imports of
the
same product originating in the Republic of Korea,
lodged by the Community
further
industry showing prima facie evidence that such imports
are being dumped and are thereby causing material injury
to the Community industry.

to a complaint

(112) The evolution of imports from the Republic of Korea is

as follows:

2001

2002

2003

IP

13 582 16 403 22 400 25 835

7,0 % 8,7 % 12,7 % 14,5 %

1 366

1 256

1 187

1 123

Volume of imports from
the Republic of Korea
(tonnes)

Market share of imports
from the Republic of Korea

Prices of imports from
the Republic of Korea
(EUR/tonne)

Index (2001=100)

100

92

87

82

(113) The volume of imports from the Republic of Korea rose
from 13 582 tonnes in 2001, corresponding to a market
share of 7 %, to 25 835 tonnes in the IP, corresponding

(114) As indicated in recital

(7),

the measures imposed on
imports originating in Mexico by the original definitive
Regulation expired on 18 August 2004. The volume of
imports originating in Mexico remained very limited
in 2001 and
since 2001 through the IP.
It was nil
during the IP, and reached an annual
ranging
level
from around 700 to 400 tonnes in 2002 and 2003,
corresponding to a market share of respectively 0,4 %
and 0,2 %.

(115) Prices of imports from Mexico reached around 2 400

EUR/tonne in 2002 and 2003.

Volume of imports from
Mexico (tonnes)

Market share of imports
from Mexico

Prices of imports from
Mexico (EUR/tonne)

2001

2002

2003

0

669

433

IP

0

0,0 % 0,4 % 0,2 % 0,0 %

n/a

2 358

2 434

n/a

Index (2001=100)

n/a

100

103

n/a

5.4.3. Other countries concerned by anti-dumping measures

(116) By Regulation (EC) No 1601/2001 (1),

the Council
imposed anti-dumping measures on imports of similar
products originating,
in Russia, Thailand and
Turkey.

inter alia,

(117) The rate of the duty applicable to imports from Russia
ranged between 36,1 % and 50,7 %, except for imports
from one Russian exporter from whom a price under-
taking was accepted. The volume of imports from Russia
declined from 3 630 tonnes in 2001, corresponding to a
market share of 1,9 %, to 2 101 tonnes in the IP, corre-
sponding to a market share of 1,2 %. Average prices of
imports from Russia remained relatively stable between
2001 and the IP, at around 1 000 EUR/tonne.

(1) OJ L 211, 4.8.2001, p. 1. Regulation as last amended by Regulation

(EC) No 564/2005 (OJ L 97, 15.4.2005, p. 1).

16.11.2005

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L 299/15

2001

2002

2003

IP

5.4.4. Other third countries not mentioned above

Volume of imports from
Russia (tonnes)

Market share of imports
from Russia

Prices of imports from
Russia (EUR/tonne)

3 630

2 557

2 198

2 101

1,9 % 1,4 % 1,2 % 1,2 %

1 038

997

980

1 046

Index (2001=100)

100

96

94

101

(120) The volume of imports from other third countries not
mentioned above declined from around 23 000 tonnes
in 2001, corresponding to a market share of 12 %, to
around 19 000 tonnes in the IP, corresponding to a
market
imports
share of 10,5 %. Average prices of
from other
third countries not mentioned above
increased from around 1 500 EUR/tonne in 2001 to
around 1 900 EUR/tonne in 2003, before declining
again to around 1 500 EUR/tonne in the IP.

(118) The rate of the duty applicable to imports from Thailand
ranged between 24,8 % and 42,8 %, except for imports
from one exporter from whom a price undertaking was
accepted. The volume of imports from Thailand declined
from 1 039 tonnes in 2001, corresponding to a market
share of 0,5 %, to 277 tonnes in the IP, corresponding to
a market share of 0,2 %. Average prices of imports from
Thailand increased from around 1 335 EUR/tonne in
2001 to 1 722 EUR/tonne in the IP.

2001

2002

2003

IP

23 321 14 924 17 227 18 741

12,0 % 7,9 % 9,8 % 10,5 %

1 472

1 749

1 895

1 497

Volume of imports from
countries not mentioned
above (tonnes)

Market share of imports
from countries not
mentioned above

Prices of imports from
countries not mentioned
above (EUR/tonne)

Index (2001=100)

100

119

129

102

2001

2002

2003

IP

1 039

1 002

368

277

0,5 % 0,5 % 0,2 % 0,2 %

Volume of imports from
Thailand (tonnes)

Market share of imports
from Thailand

Prices of imports from
Thailand (EUR/tonne)

1 335

1 433

1 593

1 722

INDUSTRY

6. ECONOMIC SITUATION OF THE COMMUNITY

Index (2001=100)

100

107

119

129

(121) Pursuant

to Article 3(5) of

Commission examined all
and indices having a bearing on the state of
Community industry.

the
the basic Regulation,
relevant economic factors
the

(119) The rate of the duty applicable to imports from Turkey
during the period considered ranged between 17,8 % and
31 %, except for imports from two Turkish exporters
from whom a price undertaking was accepted in 2001
and subsequently withdrawn in 2003. The volume of
imports from Turkey declined from 4 354 tonnes in
2001, corresponding to a market share of 2,2 %,
to
1 457 tonnes in the IP, corresponding to a market
share of 0,8 %. Average prices of imports from Turkey
decreased from 1 448 EUR/tonne in 2001 to 1 302
EUR/tonne in the IP.

(122)

6.1. Preliminary remarks

In view of the fact that sampling had been used with
regard to the Community industry, the injury has been
assessed both on the basis of information collected at the
in the
level of
the entire Community industry (C.I.
appended tables) and on the basis of
information
collected at
sampled Community
producers (S.P. in the appended tables).

level of

the

the

Volume of imports from
Turkey (tonnes)

Market share of imports
from Turkey

Prices of imports from
Turkey (EUR/tonne)

2001

2002

2003

IP

4 354

4 448

2 248

1 457

2,2 % 2,4 % 1,3 % 0,8 %

1 448

1 414

1 376

1 302

Index (2001=100)

100

98

95

90

(123) Where recourse is made to sampling, in accordance with
established practice, certain injury indicators (production,
capacity, productivity, stocks, sales, market share, growth
and employment) are analysed for
the Community
industry as a whole, while those injury indicators
individual companies,
relating to the performance of
i.e. prices, costs of production, profitability, wages,
investments, return on investment, cash flow, ability to
raise capital are examined on the basis of the information
collected at
sampled Community
producers.

level of

the

the

L 299/16

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Official Journal of the European Union

16.11.2005

6.2. Data relating to the Community industry as a

(d) Sales volume

whole

(a) Production

(124) The Community industry’s production decreased by 10 %
between 2001 and the IP,
i.e. from a level of around
125 000 tonnes in 2001 to a level of around 112 000
tonnes in the IP. Specifically, production increased by
2 % in 2002, before declining by 5 percentage points
in 2003 and by a further 7 percentage points in the IP.

C.I. production
(tonnes)

2001

2002

2003

IP

124 549 127 118 121 065 111 765

Index (2001=100)

100

102

97

90

(b) Capacity and capacity utilisation rates

(125) Production capacity

increased marginally

(by 2 %)
between 2001 and the IP. As production declined,
while at
the
resulting capacity utilisation declined,
from a level of
67 % in 2001 to a level of 59 % in the IP.

the same time capacity rose slightly,

(127) The sales by the Community industry on the Community
market decreased by 10 % between 2001 and the IP. This
the
development
Community market, which declined by 9 % between
2001 and the IP.

in line with the evolution of

is

2001

2002

2003

IP

80 019

79 089

73 636

72 072

C.I. EC sales volume to
unrelated customers
(tonnes)

Index (2001=100)

100

99

92

90

(e) Market share

(128) The market share held by the Community industry
decreased by 1 percentage point between 2001 and the
IP. Specifically, it increased by 0,5 percentage points in
2002, declined by 0,3 percentage points in 2003 and
finally declined by 1,2 percentage points in the IP.

2001

2002

2003

IP

184 690 185 360 188 430 189 150

Market share of
Community industry

2001

2002

2003

IP

42,8 % 43,3 % 43,0 %

41,8 %

Index (2001=100)

100

101

101

98

C.I. production
capacity (tonnes)

Index (2001=100)

100

100

102

102

C.I. capacity utilisation

67 %

69 %

64 %

59 %

Market share of the
four countries
concerned

4,1 %

4,9 %

4,1 %

4,4 %

Index (2001=100)

100

102

95

88

Index (2001=100)

100

119

99

107

(c) Stocks

(126) The level of closing stocks of the Community industry
period
the level of stocks was 14 %

progressively
In the IP,

throughout

the

decreased
considered.
lower than in 2001.

(f) Growth

(129) Between 2001 and the

IP, when the Community
consumption decreased by 9 %, the sales volume of the
Community industry decreased by 10 %. The Community
industry thus lost a part of its market share, whereas the
imports concerned gained 0,3 percentage points during
the same period.

2001

2002

2003

IP

C.I. closing stock
(tonnes)

31 459

30 222

29 336

26 911

(g) Employment

Index (2001=100)

100

96

93

86

(130) The level of employment of the Community industry

declined by 4 % between 2001 and the IP.

16.11.2005

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Official Journal of the European Union

L 299/17

2001

2002

2003

IP

2001

2002

2003

IP

C.I. employment
product concerned

2 049

2 028

1 975

1 975

S.P. unit price EC
market (EUR/tonne)

2 195

2 171

2 224

2 227

Index (2001=100)

100

99

96

96

Index (2001=100)

100

99

101

101

(h) Productivity

(b) Wages

(131) Productivity of

the Community industry’s workforce,
measured as output per person employed per year,
remained fairly stable between 2001 and 2003. In the
IP,
dropped whilst
employment remained flat, productivity dropped by 8 %.

production

volume

the

as

(135) Between 2001 and the IP,

increased by 5 %, a moderate

the average wage per
in
figure
the average
labour costs (6 %) observed during the

employee
comparison with the rate of
nominal unit
same period in the Community economy at large.

increase of

C.I. productivity
(tonnes per employee)

2001

2002

2003

61

63

61

Index (2001=100)

100

103

101

IP

57

93

2001

2002

2003

IP

36,6

37,6

38,2

38,5

S.P. annual labour cost
per employee
(1 000 EUR)

Index (2001=100)

100

103

104

105

(i) Magnitude of dumping margin

(132) As concerns the impact on the Community industry of
the magnitude of the actual margin of dumping, given
the volume and the prices of
the imports from the
countries concerned, this impact cannot be considered
to be negligible, especially in transparent and thus
highly price sensitive markets
the
product concerned.

like the one of

(j) Recovery from the effects of past dumping

improvement

(133) While the indicators examined above and below show
economic and financial
in the
further to the
the Community industry,
they
in a fragile

some
situation of
imposition of anti-dumping measures in 1999,
also evidence that the Community is still
and vulnerable situation.

6.3. Data

relating

to the

sampled Community

producers

(a) Sales prices and factors affecting domestic prices

(134) Unit sales prices of the Community industry remained
relatively
and
stable between 2001 and the
experienced a very limited increase towards the end of
the period considered. This price development is broadly
in line with that of the principal raw material, which also
showed a rise at the end of the period considered.

IP,

(c) Investments

(136) The annual flow of investments in the product concerned
made by the five sampled producers stayed relatively
stable at around EUR 4 million per annum. The big
increase observed in 2003 corresponds
to a large
extent to an exceptional purchase of equipment made
by one sampled company.

S.P. net investments
(1 000 EUR)

2001

2002

2003

IP

4 284

3 074

8 393

4 914

Index (2001=100)

100

72

196

115

(d) Profitability and return on investments

improvement over

(137) Profitability of the sampled producers, while showing a
the period considered,
gradual
remained negative between 2001 (– 4,2 %) and the IP
(– 0,3 %). The return on investments (ROI), expressed
as the profit
the net book value of
investments, broadly followed the above profitability
trend over the whole period considered.

in percent of

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Official Journal of the European Union

16.11.2005

2001

2002

2003

IP

– 4,2 % – 1,7 % – 1,5 % – 0,3 %

– 13,9 % – 6,5 % – 4,5 % – 1,0 %

S.P. profitability of EC
sales to unrelated
(% of net sales)

S.P. ROI (profit in %
of net book value of
investments)

(e) Cash flow and ability to raise capital

(138) The cash-flow situation improved between 2001 and the
IP, as the above limited losses were more than offset by
other non-cash items, such as assets depreciation and
inventory movements.

the

anti-dumping measures

(142) Overall, the situation of the Community industry is char-
acterised by mixed developments: while some indicators
show positive trends, a number of others
show a
negative one.
If one compares the above trends with
the ones described in the Regulations imposing provi-
sional and definitive measures, it is clear that the intro-
duction of
in 1999
concerning imports from India, the PRC, Ukraine and
South Africa had a positive impact on the economic
situation of the Community industry. Had the measures
not been circumvented by imports from Moldova and
the situation might have been even more
Morocco,
further to the imposition of
favourable.
In addition,
anti-dumping measures
from Russia,
the respective market shares of
Thailand and Turkey,
these countries declined (see recitals (116)
to (119)),
which certainly alleviated the pressure on prices of the
Community industry. Nevertheless, it should be stressed
that even indicators showing positive developments, such
as in particular profitability and return on investment, are
still far from reaching levels that could be expected if the
Community industry had fully recovered from the injury
caused.

on imports

S.P. cash flow (EUR
1 000)

2001

2002

2003

IP

– 6 322

10 670

2 124

4 485

(143)

(139) The investigation has shown that capital requirements of
sampled Community producers have been
several
adversely affected by their difficult
financial situation.
Although several of these companies are part of large
requirements are not always
steel companies, capital
resources are
met
generally allocated within these groups to the most prof-
itable entities.

to the desired level, as financial

6.4. Conclusion

(140) Between 2001 and the IP,

of

capacity

positively:
industry

production
increased and closing

the following indicators
the
developed
Community
stocks
decreased. Unit sales prices of the Community industry
remained flat between 2001 and the IP, profitability
improved to an almost break-even situation in the IP,
while return on investment and cash-flow improved as
well. Wages developed moderately and the Community
industry continued to invest at a stable pace.

(141) Conversely, the following indicators developed negatively:
production and capacity utilisation declined,
sales
volumes decreased (in line though with the development
of the market), employment and productivity dropped.
The market share of the Community industry slightly
decreased, although the loss was clearly less pronounced
than in the period preceding the adoption of anti-
dumping measures when a loss of 9 percentage points
of market share had been observed.

is

therefore concluded that

It
the
Community industry has improved, as compared to the
period preceding the imposition of measures, but is still
fragile.

the situation of

7. LIKELIHOOD OF RECURRENCE OF INJURY

(144) As concluded under recital

their

types,

export

(91), the producers in the
countries concerned have the potential to raise and/or
redirect
to the Community
volumes
market. The investigation showed that, on the basis of
comparable product
the cooperating exporting
producers sold the product concerned at a significantly
lower price than the Community industry’s (58-68 % for
the PRC, 47-55 % for India). As to Ukraine and South
in the absence of cooperation and due to the
Africa,
variety of product
types and thus import prices, no
price comparison on a type-by-type basis could be
the available facts indicate that
carried out. However,
both the average Ukrainian import price and the
average South African import price (both without anti-
dumping duty) are significantly lower than the domestic
prices of the Community industry,
i.e. respectively by
likely
65 % and 25 %. These low prices would most
continue to be charged by the countries concerned,
also in order to regain their lost market shares. Such a
price behaviour, coupled with the ability of the exporters
in the countries concerned to deliver significant quan-
tities of
the product concerned on the Community
market, would in all likelihood have the effect of rein-
forcing the price-depressive trend on the market, with an
expected negative impact on the economic situation of
the Community industry.

16.11.2005

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Official Journal of the European Union

L 299/19

(145) As

situation of

shown above,

the
although the
Community industry has improved as compared to the
one prevailing before the imposition of existing anti-
dumping measures, it remains vulnerable and fragile. It
is likely that if the Community industry were exposed to
increased volumes of
countries
imports
concerned at dumped prices it would result in a dete-
rioration of its financial situation as found in the original
investigation. On this basis, it is therefore concluded, that
the repeal of the measures would in all likelihood result
in the recurrence of injury to the Community industry.

from the

(150)

8. COMMUNITY INTEREST

8.1. Introduction

(146) According to Article 21 of the basic Regulation, it was
examined whether maintenance of
the existing anti-
dumping measures would be against the interest of the
Community as a whole. The determination of
the
Community interest was based on an appreciation of
all the various interests involved.

(151)

the situation of
occurred,
would have been even more favourable.

the Community industry

the Community
It can reasonably be expected that
from the measures
industry will continue to benefit
currently imposed and further
recover by regaining
market share and improving its profitability. Should the
measures not be maintained,
the
Community industry will start again to suffer injury
from increased imports at dumped prices from the
countries
fragile
financial situation will deteriorate further.

concerned and that

likely that

currently

its

is

it

8.3. Interest of importers

It is recalled that
investigation it was
in the original
found that the impact of the imposition of measures
indicated above, no
would not be
importer
investigation.
fully
Therefore, it can accordingly be concluded that the main-
tenance of
the measures will not have a significant
negative effect on importers or traders.

significant. As
cooperated

this

in

(147)

in the original

the interest of

investigation,
It should be recalled that,
to be
the adoption of measures was considered not
against
the Community. Furthermore,
the fact that the present investigation is a review, thus
analysing a situation in which anti-dumping measures
have already been in place, allows the assessment of
any undue negative impact on the parties concerned by
the current anti-dumping measures.

(148) On this basis,

it was examined whether, despite the
conclusions on the likelihood of a continuation or
recurrence of
injurious dumping, compelling reasons
existed which would lead to the conclusion that it is
not in the Community interest to maintain measures in
this particular case.

8.2. Interest of the Community industry

the

(149) The Community industry has proven to be a structurally
viable industry. This was confirmed by the positive devel-
its economic situation observed after the
opment of
In
imposition of anti-dumping measures
particular,
industry
fact
virtually stopped its loss of market share in the few
years before the IP contrasts sharply with the situation
the
preceding the imposition of
Community
situation
is further recalled that
between 2001 and the IP.
circumvention had been found by
from
imports
Moldova and Morocco. Had these developments not

improved its profit

the measures. Also,

the Community

in 1999.

industry

that

It

8.4. Interest of users

and

elevator.

construction,

In examining

(152) SWR are used in a wide variety of applications and
therefore a large number of user industries might be
concerned. The following list of user industries is only
gas
fishing, maritime/shipping, oil
indicative:
industries, mining, forestry, aerial transport, civil engi-
neering,
the
possible effect of the imposition of measures on users,
it was concluded in the original investigation that given
the negligible incidence of the cost of SWR on the user
industries, any increase in these costs was unlikely to
have a significant effect on the particular user industry.
The fact that no user provided any information contra-
dicting the above finding in the frame of the current
review investigation tends to confirm that:
(i) SWR
represent a very small part of
total production costs
for these user industries, (ii) the measures currently in
force did not have any substantial negative effect on
their economic situation, and (iii) the continuation of
measures would not
financial
interests of the user industries.

adversely affect

the

8.5. Interest of suppliers

(153) The original investigation concluded that suppliers of the
Community industry would benefit from the imposition
of measures. In the absence of any information to the
contrary in the framework of this review, it is considered
that
the current measures would
continue to have a positive impact on the suppliers.

the maintenance of

L 299/20

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Official Journal of the European Union

8.6. Conclusion on Community interest

7312 10 99 19)
Republic of China, Ukraine and South Africa.

originating

in India,

and

16.11.2005

the

People’s

(154) Given the above,

it

is concluded that

the maintenance of

there are no
the

compelling reasons against
current anti-dumping measures.

9. ANTI-DUMPING MEASURES

2.
The rate of the definitive anti-dumping duty applicable to
the CIF net, free-at-Community-frontier price, before duty, of
the products manufactured by the companies listed below
shall be as follows:

(155) All parties were informed of

the essential

facts and
considerations on the basis of which it is intended to
recommend that the existing measures be maintained.
They were also granted a period to make representations
subsequent
to this disclosure. No comments were
received which were of a nature to change the above
conclusions.

(156)

It follows from the above that, as provided for by Article
11(2) of the basic Regulation, the anti-dumping measures
applicable to imports of SWR, originating in India, the
PRC, Ukraine and South Africa should be maintained. It
these measures consist of ad valorem
is recalled that
duties, with the exception of
the
product concerned which are manufactured and sold
for export to the Community by one Indian company
and one South African company from which under-
takings have been accepted.

the imports of

(157) As outlined under recital (3), the anti-dumping duties in
force on imports of the product concerned from Ukraine
and the PRC were extended to cover, in addition, imports
of SWR consigned from Moldova and Morocco respec-
tively, whether declared as originating in Moldova or
Morocco or not. The anti-dumping duty to be main-
tained on imports of the product concerned, as set out
(156), should continue to be extended to
in recital
imports
and
of
Morocco, whether declared as originating in Moldova
or Morocco or not. The Moroccan exporting producer
who was exempted from the measures as extended by
Regulation (EC) No 1886/2004 should also be exempted
from the measures as imposed by this Regulation,

SWR consigned

from Moldova

HAS ADOPTED THIS REGULATION:

Article 1

Rate of
duty
(%)

TARIC
addi-
tional
code

23,8

8613

Country

Company

India

Usha Martin Limited
(formerly Usha Martin
Industries & Usha
Beltron Ltd) 2A,
Shakespeare Sarani
Calcutta — 700 071,
West Bengal, India

All other companies

30,8

8900

People’s Republic of
China

All companies

Ukraine

All companies

60,4

51,8

—

—

South Africa

All companies

38,6

8900

3.
The definitive anti-dumping duty applicable to imports
is hereby extended
from Ukraine, as set out in paragraph 2,
to imports of the same steel ropes and cables consigned from
Moldova, whether declared as originating in Moldova or
not
7312 10 84 11,
7312 10 86 11, 7312 10 88 11, 7312 10 99 11 respectively).

7312 10 82 11,

(TARIC

codes

4.
The definitive anti-dumping duty applicable to imports
from the People’s Republic of China, as set out in paragraph
2, is hereby extended to imports of the same steel ropes and
cables consigned from Morocco, whether declared as originating
7312 10 82 12,
(TARIC
in Morocco
7312 10 88 12,
7312 10 86 12,
7312 10 84 12,
7312 10 99 12 respectively) with the
those
produced by Remer Maroc SARL, Zone Industrielle, Tranche
2, Lot 10, Settat, Morocco (TARIC additional code A567).

exception of

codes

not

or

1.
A definitive anti-dumping duty is hereby imposed on
imports of steel ropes and cables including locked coil ropes,
excluding ropes and cables of stainless steel, with a maximum
cross-sectional dimension exceeding 3 mm,
falling within
CN codes
ex 7312 10 82 (TARIC code 7312 10 82 19),
ex 7312 10 84 (TARIC code 7312 10 84 19), ex 7312 10 86
(TARIC code 7312 10 86 19), ex 7312 10 88 (TARIC code
code
7312 10 88 19)

ex 7312 10 99

(TARIC

and

5.
Notwithstanding paragraph 1, the definitive anti-dumping
duty shall not apply to imports released into free circulation in
accordance with Article 2.

Unless otherwise

6.
concerning customs duties shall apply.

specified,

the provisions

in force

16.11.2005

EN

Official Journal of the European Union

L 299/21

Article 2

Imports referred to in paragraph 1 shall be exempt from

2.
the anti-dumping duty on condition that:

1.
Imports declared for release into free circulation under the
following TARIC additional codes which are produced and
directly exported (i.e. shipped and invoiced) by the company
below to a company in the Community acting as an importer
shall be exempt from the anti-dumping duty imposed by Article
1 provided that such imports are imported in conformity with
paragraph 2.

Country

Company

India

South Africa

Usha Martin Limited (formerly
Usha Martin Industries & Usha
Beltron Ltd)
2A, Shakespeare Sarani Calcutta —
700 071, West Bengal, India

Haggie
Lower Germiston Road
Jupiter
PO Box 40072
Cleveland
South Africa

TARIC addi-
tional code

A024

A023

(a) a valid undertaking invoice containing at least the elements
listed in the Annex is presented to Member States’ customs
authorities upon presentation of the declaration for release
into free circulation; and

(b) the goods declared and presented to customs correspond
precisely to the description on the undertaking invoice.

Article 3

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

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

Done at Brussels, 8 November 2005.

For the Council
The President

G. BROWN

L 299/22

EN

Official Journal of the European Union

16.11.2005

ANNEX

The following elements shall be indicated in the undertaking invoice accompanying the company’s sales of steel ropes and
cables to the Community which are subject to the undertaking.

1. The product reporting code number (PRC) (as established in the undertaking offered by the exporting producer in

question), including type, number of strands, number of wires per strand and CN code.

2. The exact description of the goods, including:

— the ‘company product code’ (CPC),

— CN code,

— the TARIC additional code under which the goods on the invoice may be customs-cleared at Community borders

(as specified in this Regulation),

— quantity (to be given in kilos),

— minimum price applicable.

3. The description of the terms of the sale, including:

— price per kilo,

— the applicable payment terms,

— the applicable delivery terms,

— total discounts and rebates.

4. Name of the importer to which the invoice is issued directly by the company.

5. The name of the official of the company that issued the undertaking invoice and the following signed declaration:

‘I, the undersigned, certify that the sale for direct export to the European Community of the goods covered by this
invoice is being made within the scope and under the terms of the undertaking offered by … [company], and accepted
by the European Commission through Decision 1999/572/EC. I declare that the information provided in this invoice
is complete and correct.’