2007/789/EC: Commission Decision of 4 December 2007 suspending the definitive anti-dumping duty imposed by Regulation (EC) No 1420/2007 on imports of silico-manganese originating in the People’s Republic of China and Kazakhstan
Date: 2007-12-04
Institutions: European Commission
Subjects: China, Kazakhstan, anti-dumping duty, anti-dumping legislation, ferro-alloy, import, manganese, originating product, semi-metal

5.12.2007

EN

Official Journal of the European Union

L 317/79

COMMISSION DECISION

of 4 December 2007

suspending the definitive anti-dumping duty imposed by Regulation (EC) No 1420/2007 on imports
of silico-manganese originating in the People’s Republic of China and Kazakhstan

(2007/789/EC)

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

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 Article 14(4) thereof,

After consulting the Advisory Committee,

Whereas:

A. PROCEDURE

(1)

(2)

(3)

(4)

(including

The Council, by Regulation (EC) No 1420/2007 (2),
imposed a definitive anti-dumping duty on imports of
ferro-silico-manganese)
silico-manganese
(SiMn) originating in the People’s Republic of China
falling within CN codes
(PRC)
7202 30 00
code
8111 00 11 10)
(the product concerned). The rate of
the
the anti-dumping duty is 8,2 % and 6,5 % for
product originating in the PRC and Kazakhstan respec-
tively.

and Kazakhstan,
and

ex 8111 00 11

(TARIC

the

after

investigation

Information on a change of market conditions, which
occurred
period,
original
indicated in Regulation (EC) No 1420/2007, and which
might justify the suspension of the measures imposed, in
accordance with Article 14(4) of the basic Regulation,
the
was obtained by the Commission. Consequently,
Commission examined whether such suspension was
warranted.

B. GROUNDS

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instated at any time if the reason for suspension is no
longer applicable.

Since the original
world prices

investigation period, an increase in
indicating a

for SiMn was observed,

(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) See page 5 of this Official Journal.

change of the market situation and conditions. In view
of this, the Commission has carried out a further inves-
tigation to assess the recent evolution of volumes and
prices of the product concerned for the period between 1
July 2006 and 30 September 2007 and their impact on
the injury suffered by the Community industry as well as
the overall Community interest.

On the basis of the information gathered, it was estab-
lished that market prices of SiMn on the Community
market have increased after the original
investigation
period until the third quarter of year 2007 by around
69 %,
i.e. from an average EUR 622/MT in the third
quarter of year 2006 to an average EUR 1 051/MT in
the third quarter of year 2007. In particular, a significant
increase of around 42 % was to be observed between the
second and the third quarter of year 2007. These trends
can also be found in other major markets across the
imports of SiMn into the
world as well
Community.

for

as

SiMn is a key raw material used for the production of
steel. The price increase described above can be attributed
to the temporary supply shortages combined with a
higher demand for SiMn due to increased demand for
steel worldwide. Evidence from previous sudden price
increases such as the one that occurred in year 2004
shows
in this
market are of temporary nature. Prices tend to return
to their long-term levels once the spare capacities for
SiMn are fully utilised.

such demand-supply imbalances

that

Between the original investigation period and the period
from 1 October 2006 to 30 September 2007 the market
share of imports of SiMn originating in the PRC and
Kazakhstan decreased by 0,6 percentage points
to
9,8 % of
the overall Community consumption. EC
consumption has increased by 20 %.

(5)

(6)

(7)

(8) With regard to the Community industry, it is to be noted
that since the original investigation period, the situation
of the Community industry has improved. Between the
investigation period and the period from 1
original
October 2006 to 30 September 2007,
the sales and
production volumes have increased by 15 % and 19 %
respectively. However,
the
industry decreased by 1,1 percentage
Community
points to 23,8 %. The profit situation improved signifi-
cantly and the profitability of the Community industry
reached 42 % in the third quarter of year 2007, thus
substantially surpassing even the 5 % profit level estab-
lished as appropriate by the original investigation.

the market

share

of

L 317/80

EN

Official Journal of the European Union

5.12.2007

(9)

As indicated in recitals 157 to 163 of Regulation (EC) No
1420/2007, the imposition of measures in question was
expected to have some negative, although limited, effects
for users in the form of cost increases arising out of the
possible need to arrange new or alternative supplies.
Considering the temporary change in market conditions
and that
consequently the Community industry is
currently not suffering injury, any negative effect on
users could be removed by suspending the measures.
it can be concluded that the suspension
Consequently,
is in the overall Community interest.

far higher

(10) Given the temporary change in market conditions, and in
particular the high level of prices of SiMn existing on the
than the
Community market, which is
injurious price level found in the original investigation,
together with the alleged demand-supply imbalance of
the product concerned,
it is considered that the injury
linked to the imports of the product concerned orig-
inating in the PRC and Kazakhstan is unlikely to
resume as a result of
is therefore
proposed to suspend for nine months the measures in
force in accordance with Article 14(4) of the basic Regu-
lation.

the suspension.

It

C. CONSULTATION OF COMMUNITY INDUSTRY

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

(11)

(12)

lation (EC) No 1420/2007 should be suspended for a
period of nine months.

(13)

The Commission will monitor
the development of
the product concerned.
imports and the prices of
Should a situation arise at any time in which increased
volumes at dumped prices of
the product concerned
from the PRC and Kazakhstan resume and consequently
cause injury to the Community industry, the Commission
to reinstate the anti-
will
dumping duty, taking into account the substantive rules
that govern an injury assessment. An interim review
pursuant to Article 11(3) of the basic Regulation might
be initiated, if appropriate,

take the necessary steps

HAS DECIDED AS FOLLOWS:

Article 1

The definitive anti-dumping duty imposed by Regulation (EC)
No 1420/2007 on imports of silico-manganese (including ferro-
silico-manganese), originating in the People’s Republic of China
falling within CN codes 7202 30 00 and
and Kazakhstan,
ex 8111 00 11 (TARIC code 8111 00 11 10)
hereby
suspended for a period of nine months.

is

Article 2

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

D. CONCLUSION

Done at Brussels, 4 December 2007.

for

therefore

Commission

all
The
suspending the anti-dumping duty
requirements
imposed on the product
in
accordance with Article 14(4) of the basic Regulation.
Consequently, the anti-dumping duty imposed by Regu-

concerned are met,

considers

that

For the Commission

Peter MANDELSON
Member of the Commission