Proposal for a Council Regulation Terminating the partial interim review of the anti-dumping measures applicable to imports of certain plastic sacks and bags originating in the People's Republic of China
Date: 2009-07-06
Institutions: European Commission
Subjects: China, anti-dumping legislation, anti-dumping measure, import, originating product, packaging product, plastics

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COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 6.7.2009 
COM(2009) 339 final 

Proposal for a 

COUNCIL REGULATION 

Terminating the partial interim review of the anti-dumping measures applicable to 
imports of certain plastic sacks and bags originating in the People's Republic of China 

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EXPLANATORY MEMORANDUM 

1. 

CONTEXT OF THE PROPOSAL 

•  Grounds for and objectives of the proposal 

This proposal concerns the application of Council Regulation (EC) No 384/96 of 22 
December 1995 on protection against dumped imports from countries not members 
of  the  European  Community,  as  last  amended  by  Council  Regulation  (EC)  No 
2117/2005  of  21  December  2005  ('the  basic  Regulation')  in  the  proceeding 
concerning  imports  of  certain  plastic  sacks  and  bags  originating,  inter  alia,  in  the 
People's Republic of China. 

•  General context 

This proposal is made in the context of the implementation of the basic Regulation 
and is the result of an investigation which was carried out in line with the substantive 
and procedural requirements laid out in the basic Regulation. 

•  Existing provisions in the area of the proposal 

Council Regulation (EC) No. 1425/2006 imposing a definitive anti-dumping duty on 
imports  of  certain  plastic  sacks  and  bags  originating  in  the  People’s  Republic  of 
China  and  Thailand,  and  terminating  the  proceeding  on  imports  of  certain  plastic 
sacks and bags originating in Malaysia, last amended by Council Regulation (EC) No 
189/2009. 

•  Consistency with other policies and objectives of the Union 

Not applicable. 

2. 

CONSULTATION OF INTERESTED PARTIES AND IMPACT ASSESSMENT 

•  Consultation of interested parties 

Interested  parties  concerned  by  the  proceeding  have  had  the  possibility  to  defend 
their  interests  during  the  investigation,  in  line  with  the  provisions  of  the  basic 
Regulation. 

•  Collection and use of expertise 

There was no need for external expertise. 

•  Impact assessment 

This proposal is the result of the implementation of the basic Regulation. 

The basic Regulation does not contain provisions for a general impact assessment but 
contains an exhaustive list of conditions that have to be assessed. 

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3. 

LEGAL ELEMENTS OF THE PROPOSAL 

•  Summary of the proposed action 

On  11  July  2008  the  Commission  initiated  a  partial  interim  review  limited  to 
dumping for one exporting producer of certain plastic sacks and bags originating in 
the People's Republic of China upon the request of the exporter concerned. 

On 24 March 2009 the company concerned withdrew its request for a review. Upon 
consideration  of  whether  it  would  be  warranted  to  continue  the  investigation  ex 
officio,  it  was  concluded  that  the  review  should  be  terminated.  It  is  therefore 
proposed  that  the  Commission  adopt  the  attached  proposal  for  a  Regulation  which 
should be published in the Official Journal of the European Union by 10 July 2009 at 
the latest. 

•  Legal basis 

Council  Regulation  (EC)  No  384/96  of  22  December  1995  on  protection  against 
dumped  imports  from  countries  not  members  of  the  European  Community,  as  last 
amended by Council Regulation (EC) No 2117/2005 of 21 December 2005. 

•  Subsidiarity principle 

The  proposal  falls  under  the  exclusive  competence  of  the  Community.  The 
subsidiarity principle therefore does not apply. 

•  Proportionality principle 

The proposal complies with the proportionality principle for the following reasons: 

The  form  of  action  is  described  in  the  basic  Regulation  and  leaves  no  scope  for 
national decision. 

Indication of how financial and administrative burden falling upon the Community, 
national governments, regional and local authorities, economic operators and citizens 
is minimized and proportionate to the objective of the proposal is not applicable. 

•  Choice of instruments 

Proposed instruments: regulation. 

Other means would not be adequate for the following reason: 

Other means would not be adequate because the basic Regulation does not provide 
for alternative options. 

4. 

BUDGETARY IMPLICATION 

The proposal has no implication for the Community budget.  

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Proposal for a 

COUNCIL REGULATION 

Terminating the partial interim review of the anti-dumping measures applicable to 
imports of certain plastic sacks and bags originating in the People's Republic of China 

THE COUNCIL OF THE EUROPEAN UNION, 

Having regard to the Treaty establishing the European Community, 

Having  regard  to  Council  Regulation  (EC)  No  384/96  of  22  December  1995  on  protection 
against dumped imports from countries not members of the European Community1 (‘the basic 
Regulation’) and in particular Article 11(3) thereof, 

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

Whereas: 

1. 

PROCEDURE 

1.1. 

Measures in force 

(1) 

By  Regulation  (EC)  No  1425/20062,  the  Council  imposed  a  definitive  anti-dumping 
duty on imports of certain plastic sacks and bags originating, inter alia, in the People's 
Republic of China. The Regulation was last amended by Council Regulation (EC) No 
189/20093.  For  the  eight  companies  with  individual  duties,  the  duties  in  force  range 
from 4.3% to 12.8%. The duty is 8.4% for cooperating companies without individual 
duties and the residual duty is 28.8%.  

1.2. 

Request for review 

(2) 

(3) 

(4) 

On  25  March  2008  the  Commission  received  a  request  for  a  partial  interim  review 
pursuant  to  Article 11(3)  of  the  basic  Regulation  from  one  exporting  producer  of 
certain plastic sacks and bags originating in the People's Republic of China. 

The  request  was  lodged  by  CeDo  Shanghai  Limited  ('CeDo  Shanghai'  or  'the 
applicant'). 

The applicant alleged that, inter alia, its export prices of certain plastic sacks and bags 
to  the  Community  had  increased  significantly  and  substantially  more  than  the 
constructed  normal  value  based  on  the  applicant's  cost  of  production  in  the  People's 
Republic  of  China  and  that  this  had  led  to  a  reduction  or  elimination  of  dumping. 

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OJ L 56, 6.3.1996, p. 1. 
OJ L 270, 29.9.2006, p. 4. 
OJ L 67, 12.3.2009, p. 5. 

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Therefore,  the  continued  imposition  of  measures  at  the  existing  levels,  which  were 
based  on  the  level  of  dumping  previously  established,  was  no  longer  necessary  to 
offset dumping. 

1.3. 

Initiation 

(5) 

Having determined, after consulting the Advisory Committee, that sufficient evidence 
existed to justify the initiation of a partial interim review, the Commission announced 
by a notice ('the notice of initiation') published in the Official Journal of the European 
Union4 the initiation of a partial interim review in accordance with Article 11(3) of the 
basic Regulation, limited to the examination of dumping as far as CeDo Shanghai is 
concerned. The 'product concerned' was the same as that set out in Council Regulation 
(EC) No 1425/2006 as amended, being plastic sacks and bags, containing at least 20% 
by  weight  of  polyethylene  and  of  sheeting  of  a  thickness  not  exceeding  100 
micrometres  (µm),  originating  in  the  People's  Republic  of  China,  falling  within  CN 
codes ex 3923 21 00, ex 3923 29 10 and ex 3923 29 90 (TARIC codes 3923 21 00 20, 
3923 29 10 20 and 3923 29 90 20).  

(6) 

The investigation of dumping covered the period from 1 July 2007 to 30 June 2008. 

(7) 

2. 

(8) 

(9) 

(10) 

(11) 

The  Commission  officially  advised  the  applicant,  representatives  of  the  Community 
industry and the representatives of the exporting country of the initiation of the review. 
Interested parties were given the opportunity to make their views know in writing and 
to request a hearing within the time limit set in the notice of initiation.  

WITHDRAWAL  OF  THE  REQUEST  AND  TERMINATION  OF  THE 
PROCEEDING 

By letter to the Commission dated 24 March 2009, CeDo Shanghai formally withdrew 
its  request  for  the  partial  interim  review  of  the  anti-dumping  measures  applicable  to 
imports  of  certain  plastic  sacks  and  bags  originating,  inter  alia,  in  the  People's 
Republic of China. 

It  was  considered  whether  it  would  be  warranted  to  continue  the  investigation  ex 
officio.  The  Commission  considered  that  the  termination  of  the  investigation  did  not 
affect the anti-dumping measure already in force and that such termination would not 
be  against  the  Community  interest.  On  this  basis,  the  investigation  should  be 
terminated.  

Interested  parties  were  informed  of  the  intention  to  terminate  the  investigation  and 
were given the opportunity to comment. However, no comments which could alter this 
decision were received.  

It  is  therefore  concluded  that  the  review  concerning  imports  of  certain  plastic  sacks 
and  bags  originating,  inter  alia,  in  the  People's  Republic  of  China  should  be 
terminated without amending the anti-dumping measures in force. 

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OJ C 176, 11.7.2008, p. 9. 

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HAS ADOPTED THIS REGULATION: 

Article 1 

The  partial  interim  review  of  the  anti-dumping  measures  applicable  to  imports  of  certain 
plastic  sacks  and  bags  originating,  inter  alia,  in  the  People's  Republic  of  China  initiated 
pursuant  to  Article  11(3)  of  Regulation  (EC)  No  384/96  is  hereby  terminated  without 
amending the anti-dumping measures in force. 

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

Article 2 

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

Done at Brussels,  

For the Council 
The President 

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