Council Regulation (EC) No 121/2006 of  23 January 2006  amending Regulation (EC) No 1858/2005 imposing a definitive anti-dumping duty on imports of steel ropes and cables originating,  inter alia , in India
Date: 2006-01-23
Institutions: Council of the European Union
Subjects: India, anti-dumping duty, anti-dumping legislation, import, originating product, section

26.1.2006

EN

Official Journal of the European Union

L 22/1

I

(Acts whose publication is obligatory)

COUNCIL REGULATION (EC) No 121/2006

of 23 January 2006

amending Regulation (EC) No 1858/2005 imposing a definitive anti-dumping duty on imports of
steel ropes and cables originating, inter alia, in India

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty
Community,

establishing the European

Having regard to Council Regulation (EC) No 384/96 of 22
December 1995 on protection against dumped imports from
countries not members of the European Community (1)
(the
basic Regulation), and in particular Articles 8 and 9 thereof,

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

Whereas:

(1)

(2)

(3)

(4)

A. PREVIOUS PROCEDURE

In August 1999, by Regulation (EC) No 1796/1999 (2),
the Council imposed a definitive anti-dumping duty on
imports of steel ropes and cables (the product concerned)
originating, inter alia, in India.

In November 2005, following an expiry review pursuant
to Article 11(2) of the basic Regulation, the Council, by
Regulation (EC) No 1858/2005 (3) decided that the anti-
dumping measures applicable to imports of the product
concerned originating, inter alia, in India should be main-
tained.

By Decision 1999/572/EC (4), the Commission accepted a
price undertaking from an Indian company, Usha Martin
Industries and Usha Beltron Ltd. This company has
changed its name in the meantime and is now known
as Usha Martin Ltd (UML). The change of name has in no
way affected the activities of the company.

As a result, imports into the Community of the product
concerned of Indian origin, produced by UML or by any
other related company worldwide, and of a type covered

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

(EC) No 2117/2005 (OJ L 340, 23.12.2005, p. 17).

(2) OJ L 217, 17.8.1999, p. 1.
(3) OJ L 299, 16.11.2005, p. 1.
(4) 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).

(5)

(6)

(7)

(8)

by the undertaking (the product covered by the under-
taking), were exempt from the definitive anti-dumping
duties.

In this regard, it should be noted that certain types of
steel wire rope currently produced by UML were not
exported to the Community during the investigation
period which led to the imposition of definitive anti-
dumping measures and were not, therefore, within the
the exemption afforded by the undertaking.
scope of
Accordingly,
to
payment of the anti-dumping duty when they entered
into free circulation in the Community.

such steel-wire

ropes were

liable

B. FAILURE TO COMPLY WITH THE UNDERTAKING

to,

inter alia, export

(and any
The undertaking offered by UML obliges it
related company worldwide)
the
product covered by the undertaking to the first inde-
pendent customer
in the Community at or above
certain minimum import price levels (MIPs) laid down
in the undertaking. These price levels eliminate the
injurious effects of dumping.
In the case of resale in
the Community to the first independent customer by
the product
related importers,
covered
appropriate
undertaking,
the
adjustments for selling, general and administrative costs
and a reasonable profit, must also be at levels which
eliminate the injurious effects of dumping.

the resale prices of
after

by

The terms of the undertaking also oblige UML to provide
the Commission with regular and detailed information in
the form of a quarterly report of its sales (and resale by
its related parties in the Community) of
the product
concerned originating in India to the Community. Such
reports are intended to include the products covered by
the undertaking which benefit from the exemption to the
anti-dumping duty as well as those types of steel-wire
ropes not covered by the undertaking and which are
therefore liable to the anti-dumping duty.

it

indicated,
assumed by the
Unless otherwise
Commission that
the sales reports of UML (and the
reports of resale of related companies established in the
Community) are, as submitted, complete, exhaustive and
correct in all particulars.

is

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Official Journal of the European Union

26.1.2006

(9)

(10)

(11)

(12)

(13)

(14)

It was also acknowledged by UML that, with regard to
the exemption to the anti-dumping duties afforded by
the undertaking, such exemption is conditional upon
services of an
presentation to Community customs
‘undertaking
company
the
undertook not to issue such undertaking invoices for
the sale of
those types of products concerned, not
covered by the undertaking and which are therefore
liable to the anti-dumping duty.

invoice’. Moreover,

It is also a condition of the undertaking that the terms
and provisions thereof apply to any related company to
UML, worldwide.

For the purposes of ensuring compliance with the under-
information
taking, UML also agreed to provide all
considered necessary by the Commission and to allow
on-the-spot verification visits at its premises, and those of
any related companies,
in order to verify the accuracy
and veracity of data submitted in the said quarterly
reports.

In this regard, verification visits were carried out at the
premises of UML in India and at
those of a related
company to UML in Dubai,
i.e. Brunton Wolf Wire
Ropes FZE (BWWR).

the product

The verification visit to the Indian company showed that
significant volumes of
concerned, not
covered by the undertaking, had been omitted from the
quarterly undertaking sales reports submitted to the
the goods in question had
Commission. Furthermore,
been sold by UML to its
in the
United Kingdom and Denmark and included on under-
taking invoices.

related importers

import

to the

The verification visit to the Dubai company showed that
certain steel-wire ropes had been exported to the
Community from Dubai and declared at
into
the Community as having United Arab Emirates origin
when in fact they were of Indian origin and therefore
liable
to
anti-dumping measures
imports of steel-wire ropes originating in India. The
goods
in question had not been reported on the
quarterly undertaking sales report nor, as was admitted
by the company, had anti-dumping duty been paid on
them. The goods had also been resold to the first inde-
pendent customer in the Community at prices below the
MIPs.

applicable

(16)

(17)

In view of these breaches, acceptance of the undertaking
offered by Usha Martin Industries and Usha Beltron Ltd,
now known as Usha Martin Ltd (TARIC additional code
A024) has been withdrawn by Decision 2006/38/EC. A
definitive anti-dumping duty should therefore be imposed
forthwith on imports of the product concerned exported
to the Community by the company concerned.

In accordance with Article 8(9) of the basic Regulation,
the rate of the anti-dumping duty must be established on
the basis of the facts established within the context of the
investigation which led to the undertaking. As the inves-
tigation in question was concluded by a final determi-
nation as to dumping and resulting injury by Regulation
(EC) No 1796/1999, it is considered appropriate that the
definitive anti-dumping rate should be set at the level and
in the form imposed by that Regulation, namely 23,8 %
of the net, cif free-at-Community-frontier price, before
duty.

C. AMENDMENT OF REGULATION (EC) No 1858/2005

(18)

In view of the above, Regulation (EC) No 1858/2005
should be amended accordingly,

HAS ADOPTED THIS REGULATION:

Article 1

The table in Article 2(1) of Regulation (EC) No 1858/2005 shall
be replaced by the following table:

TARIC
additional
code

A023’

Country

Company

‘South Africa

Haggie
Lower Germiston Road
Jupiter
PO Box 40072
Cleveland
South Africa

Article 2

(15)

Commission Decision 2006/38/EC (1), sets out in more
detail the nature of the breaches found.

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, 23 January 2006.

For the Council
The President

J. PRÖLL

(1) See page 54 of this Official Journal.