CELEX: 51993PC0264
Language: en
Date: 1993-06-07
Title: Proposal for a COUNCIL REGULATION (EEC) imposing a definitive countervailling duty on imports of ball bearings with a greatest external diameter not exceeding 30 mm, originating in Thailand but exported to the Community from another country, and definitively collecting the provisional duty

COMMISSION OF THE EUROPEAN CCfttolUNITIES
                                             C0M(93>264 final
                                              Brussels. 7 June 1093
                               Proposal for a
                         milNICIL REGULATION (EEC)
 inposing a definitive countervailing duty on reporta of ball bearings
 with a greatest external diameter not exceeding 30 si, originating in
 Thailand  but  exported  to   the Coesunity    from another  country, and
 definitively collecting the provisional duty
                       (presented by the Commission)
 ---pagebreak---                                       I —
                          EXPLANATORY MEMORANDUM
(1) In March    1993, the Commission, by Regulation          (EEC) '-No 527/93,
    imposed a provisional duty of 13.4% on imports of ball bearings
    with    a  greatest      external   diameter   not    exceeding     30   mm,
    originating     in   Thailand   but  exported   to   the   Community    from
    another third country.
(2) This duty was imposed following a review commenced in July 1992
    of   commission      Decision   90/266/EEC   accepting    an    export   tax
    undertaking offered by the Royal Thai Government, in connection
    with the anti-subsidy proceeding concerning imports of the above-
    mentioned ball bearings. This review has revealed that a duty is
    necessary    in   order   to  prevent  indirect    imports    avoiding   the
    export tax levied by the Royal Thai Government and to safeguard
    the effectiveness of the undertaking.
(3) The provisional duty of 13.4% was based on the original rate of
    export tax of       1.76  baht per piece, as determined        in Decision
    90/266/EEC, expressed c.i.f. at the Community frontier.
(4) The    Commission      has,   when   reviewing     this    Decision,     now
    recalculated the amount of subsidy granted to the exporters and
    has concluded      that   the subsidy   now amounts    to   0.91   baht  per
    piece. The Royal Thai Government          has accordingly modified the
    rate of the export tax on ball bearings exported directly to the
    Community.
 ---pagebreak--- (5) It is proposed to impose a definitive countervailing duty on
    indirect imports in order to preserve the effectiveness of the
    undertaking and to prevent such imports causing injury to the
    Community industry. This duty should be equivalent to the new
    rate of export tax (0.91 baht per piece), and this amounts to
    6.7% ad-valorem.
(6) The provisional countervailing duty should be collected up to the
    amount of the definitive countervailing duty. The definitive
    countervailing duty should be collected in addition to the anti-
    dumping duty imposed by Regulation 2934/90, which is unaffected
    by the present measure.
 ---pagebreak---                                      ~<f-
                     COUNCIL REGULATION (EEC) NO,
                                   OF.
imposing a definitive countervailing duty on imports of ball bearings
with a greatest external diameter not exceeding 30 mm, originating in
Thailand   but  exported to    the   community   from  another  country,  and
definitively collecting the provisional duty
                  THE COUNCIL OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Economic community,
Having regard to Council Regulation (EEC) No 2423/88 of 11 July 1988 on
protection   against dumped or     subsidized   imports  from countries not
members of the European Economic community (*•), and in particular Article
12 thereof,
Having   regard  to   the  proposal    submitted   by the   Commission  after
consultation within the Advisory committee as provided for under the
abovementioned Regulation,
Whereas :
(1) O.J. L209, 2.8.1988, p. 1
 ---pagebreak---                                         — *5 —
                           A. PROVISIONAL MEASURES
(1)     In March 1993, the Commission, by Regulation (EEC) No 527/93( 2 ),
        imposed a provisional countervailing duty of 13.4% on imports of
        ball bearings with a greatest external diameter not exceeding 30
        mm, originating in Thailand but exported to the Community            from
        another third country.
(2)     This   duty   was    imposed    following   a   review     commenced   in
                    3                                           4
        July 1992( ) of Commission       Decision 90/266/EEC( ) accepting an
        undertaking offered by the Royal Thai Government, in connection
        with  the countervailing     duty proceeding    concerning    imports  of
        the above-mentioned ball bearings.        No countervailing     duty was
        imposed at the time of adoption of this Decision.             The review
        investigation has revealed that a duty is necessary in order to
        prevent indirect imports avoiding the export tax levied by the
        Royal Thai Government and to safeguard the effectiveness of the
        undertaking.
                          B.   SUBSEQUENT PROCEDURE
(3)     Following the imposition of the provisional countervailing duty,
        the  interested    parties    who    so  requested   were    granted   an
        opportunity   to be heard     by the Commission     and   to make   known
        their views on the findings.
(4)     Upon request, parties were informed of the essential facts and
        considerations    on   the  basis    of  which   it   was   intended   to
        recommend the imposition of a definitive duty and the definitive
        collection of amounts secured by way of the provisional duty.
        They   were   also    granted    a   period  within    which    to   make
        representations subsequent to the disclosure.
(2) O.J. L 56, 9.3.1993, p. 24
(3) OJ L182, 18.7.1992, p. 6
(4) OJ L152, 16.6.1990, p. 59
 ---pagebreak---                                         -^~-
    The oral and written comments submitted by the parties were taken into
    consideration.
                       B. RECALCULATION OF SUBSIDY AMOUNT
(5)      The provisional duty of 13.4% was based on the original rate of
         export   tax   of  1.76  baht  per  piece,  expressed    c.i.f.  at  the
         Community frontier as determined in Decision 90/266/EEC.
(6)      The   Commission     has,   when    reviewing    this   Decision,    now
         recalculated the amount of subsidy granted to the exporters in
         Thailand during the year immediately prior to the opening of the
         review. It has concluded that the subsidy now amounts to 0.91
         baht   per   piece.   The  Royal   Thai  Government   has    accordingly
         modified the rate of the export tax on ball bearings exported
         directly to the Community.
                       D.  INJURY AND COMMUNITY INTEREST
(7)      No  evidence was     supplied  with  regard   to  injury   or  Community
         interest.    The Council therefore confirms the conclusions of the
         Commission in Decision 90/266/EEC concerning these matters.
 ---pagebreak---                                       -ï-
                             E.  DEFINITIVE DUTY
(8)     The  Commission   concludes   that  it   is  necessary    to   impose  a
        countervailing duty on indirect imports in order to preserve the
        effectiveness of    the undertaking    and  to prevent     such  imports
        causing  injury   to  the  community   industry   (as   established   in
        Decision 90/266/EEC). The council confirms this conclusion.           In
        order to take account of future price changes due to exchange
        rate fluctuations, it is appropriate to express the duty on an
        ad-valorem basis. The duty so calculated amounts to 6.7%.
                    F. COLLECTION OF PROVISIONAL DUTIES
(9)     In view of the fact that indirect        exports are subsidised      and
        contribute to the injury suffered by the Community industry, the
        Council considers it necessary that the amounts collected by way
        of provisional duty should be definitively collected up to the
        amount of the duty definitively imposed.
         G. COLLECTION OF ANTI-DUMPING AND COUNTERVAILING DUTIES
(10)    Council Regulation    (EEC) No 2934/90(5) imposed      an   anti-dumping
        duty of 6.7% on imports of ball bearings with a greatest external
        diameter   not  exceeding   30  mm   originating    in   Thailand.   The
        collection   of this   anti-dumping   duty  on  all   imports   of  Thai
        origin remains unaffected by the present Regulation.
(5) O.J. L281, 12.10.1990, p.l.
 ---pagebreak---         As   explained   in  Commission   Regulation   (EEC)  No  1631/90<6)
         (Recitals 47-53) confirmed by Council Regulation (EEC) No 2934/90
         (Recitals  19-20),   the   imposition  of   both  anti-dumping  and
        countervailing duties is possible in this case.
        Therefore the countervailing duty should be collected in addition
        to the anti-dumping duty. The combined amount of anti-dumping and
        countervailing duty to be collected in this case is, therefore,
        13.4% (6.7% anti-dumping duty plus 6.7% countervailing duty).
        The basis for calculating the amount of both anti-dumping and
        countervailing duty should be the same net, free at Community
        frontier price.
                        HAS ADOPTED THIS REGULATION:
                                  Article 1
1. A definitive countervailing duty is hereby imposed on imports of ball
   bearings with a greatest external diameter not exceeding           30 mm,
   falling within CN code 8482 10 10, which originate in Thailand but are
   exported to the community from another country.
   (Originating in Thailand and exported from another country :
              Taric additional code 8723;
    Originating in Thailand and exported from Thailand :
              Taric additional code 8724.)
(6) O.J. L152, 16.6.1990, p. 24.
 ---pagebreak---                                    - ^ -
2. The countervailing duty expressed as a percentage of the net, free at
   Community frontier price of the product, shall be 6.7%.
3. The provisions in force concerning customs duties shall apply.
                                Article 2
The amounts collected or secured by way of provisional      countervailing
duty pursuant to Regulation   (EEC) No 527/93 shall be collected at the
rate of duty definitively imposed. Secured amounts which are not covered
by the rate of duty definitively imposed shall be released.
                                Article 3
This  Regulation  shall  enter  into  force  on  the  day  following   its
publication in the Official Journal of the European Communities.
This Regulation shall be binding in its entirety and directly applicable
in all Member states.
Done at Brussels,
                  For the council
 ---pagebreak---  ---pagebreak---                                                                       ISSN 0254-1475
                                                               COM(93) 264 final
                                                      DOCUMENTS
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                                 Catalogue number : CB-CO-93-294-EN-C
                                                             ISBN 92-77-56540-3
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