CELEX: 51983PC0558
Language: en
Date: 1983-09-19
Title: Proposal for a COUNCIL REGULATION (EEC) imposing a definitive anti-dumping duty on imports of certain glass textile fibres (rovings) originating in Czechoslovakia, the German Democratic Republic and Japan (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (83) 558
Vol. 1983/0211
 ---pagebreak--- Disclaimer
Conformément au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983
concernant l'ouverture au public des archives historiques de la Communauté économique
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983,
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents
classifiés présents dans ce dossier ont été déclassifiés conformément à l'article 5 dudit
règlement.
In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983
concerning the opening to the public of the historical archives of the European Economic
Community and the European Atomic Energy Community (OJ L 43, 15.2.1983, p. 1), as
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243,
27.9.2003, p. 1), this file is open to the public. Where necessary, classified documents in this
file have been declassified in conformity with Article 5 of the aforementioned regulation.
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom 1.
Februar 1983 über die Freigabe der historischen Archive der Europäischen
Wirtschaftsgemeinschaft und der Europäischen Atomgemeinschaft (ABI. L 43 vom 15.2.1983,
S. 1), geändert durch die Verordnung (EG, Euratom) Nr. 1700/2003 vom 22. September 2003
(ABI. L 243 vom 27.9.2003, S. 1), ist diese Datei der Öffentlichkeit zugänglich. Soweit
erforderlich, wurden die Verschlusssachen in dieser Datei in Übereinstimmung mit Artikel 5
der genannten Verordnung freigegeben.
 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                              C0M183) 558 final
                                              Brussels, 19 September 1983
                             Proposal for a
                        CQyNCIL_REGyLATION_(EEC)
   imposing a de fi nitive anti-du mp ing duty on imports of certain
   glass textile fibres (rovings) originating in Czechoslovakia,
              the German Democratic Republic and Japan
            (submitted to the Council by the Commission)
 ---pagebreak---                                            ■EXPLANATORY MEMORANDUM
   On June 15 1983, by Regulation (EEC) No 1631/83(1) the Commission imposed
   a p r o v i s i o n a l anti-dumping duty on imports of certain glass textile
   fi br es (rovings) originating in Czechoslovakia, the German Democratic
   Re p u b l i c and Japan.           This duty expires on 18 October 1983.
   After the imposition of the provisional duty the exporters in Czechoslovakia
    and the German Democratic Republic and certain importers requested hearings
    du r i n g which they made their views known.               They strongly contested the
    s e l e c t i o n of the US market as the analogue country for the normal value
    determination.                Their main argument was that the quality between the
    p r o d u c t s is quite different.           The Commission, after careful consideration
    of the arguments put forward, amended the provisionally established
    w e i g h t e d average dumping margins as follows:             Czechoslovakia 56.03%,
     G e r m a n Democratic Republic 62%.
     The pr o v i s i o n a l l y established weighted average dumping margin for Japan
     r e m a i n e d unch ang ed (21.25%).
.     With r e ga rd to the injury suffered by the Community industry, the main
      arguments                 put forward by the interested parties concerned the losses
      ca r r i e d by the Community producers and the resale prices of the imported
      p r o d u c t s into the Community.          After careful examination of the facts as
       f i na lly de termined and in connection with the conclusions on injury reached
       in R e g u l a t i o n (EEC) No 1631/83,                                     the injury
       c a u s e d by dumped imports of glass textile fibres originating in Czechoslovakia
       the G e r m a n Democratic Republic and Japan, taken in isolation from that
       ca u s e d by other factors, has to be considered as material) and             action must
               be taken.
4.      Co n s i d e r i n g that no satisfactory price undertakings have been submitted, with
        the e x c e p t i o n of the price undertaking submitted by Nippon Electric Co and
        C Itoh Co be fore the imposition of the provisional duty, the protection
        of the Community's interests calls for the imporition of a definitive anti­
        du m p i n g du ty and for the c llection             of the provisional duty.    The amount
        of this du ty shall be equal to the amount by which the price per kg net free-
         a t - C o m m u n i t y frontier, before duty, is less than 1.03 ECU.
           (1) 0J No L 160, 18.6.1983, p. 18.
 ---pagebreak---                     Proposal for a
                          COUNCIL REGULATION (EEC)
    impcs rig a definitive anti-dumping duty on imports of cert ain
    gl a s s textile fibres (rovings) or i g i n a t i n g in Cz ec hos lo vak ia ,
    the German Democratic Republic and              Japan
            THE COUNCIL OF THE EURO PEA N COMMUNITIES,
             Having regard to the Tr eaty establi sh ing the Euro pea n Economic Community,
            Having regard to Council R e g u lat io n (EEC) No 3 0 1 7 / 7 9 of 20 December 1979
            on pr otection against d u m p e d or su b s i d i z e d imports from countries not
            members of the European Economic Co mm uni ty (1),, as am e n d e d by Regulation
             (EEC) No 1 5 80 /82 (2), and in p a r t i c u l a r Article 2 thereof.
            Having regard to the prop osa l su b m i t t e d by the Comm iss io n after
            consultation within the Ad v i s o r y Co mmittee as p r o v i d e d for under
            the above Regulation,
   Whereas:
   A.      Provisional action
'I The Commission, by Re gu lation (EEC) No 1 5 31 /83 (3), impo sed a pr ov isi on al
   an t i - d u m p i n g duty on imports of certain glass text ile fibres (rovings)
   o r i g i n a t i n g in Czechoslovakia, the Ge rm an Democratic R e pu bli c and
   Japan and te r m i n a t e d the p r o c edu re concerning certain gl a s s textile
   fibres (mats) or ig ina ti ng in C z ec hos lo vak ia and the Ge r m a n Democratic
   Re p u b l i c , no injury having been caused bv these imports d u ri ng the oeriod
   under review.
   (1) 0J No L 339, 31.12.1979, p. 1.
   (2) 0J No L 178, 22.6.1982, p. 9.
   (3) 0J No L 160, 18.6.1983, p. 18.
 ---pagebreak--- B.      Subsequent procedure
Following the imposition of the provisional anti-dumping duty the
C z e c h o s l o v a k i a n and the German Democratic Republic exporters, certain
i m p o rte rs and Community producers concerned requested, and were
g r a n t e d , an opportunity to be heard by the Commission.         Other exporters
and importers made written submissions making known their views on
the duty.
 The e x p o rte rs and main importers requested to be informed of certain
 facts           and essential considerations on the basis of which it was
 in t e n d e d to recommend definitive action and these requests were granted.
 The ma i n arguments put forward by the part ies and considered by the
  C o m m i s s i o n since the imposition of the provisional measures concerned
 the c o mp ara bi lit y of the products involved and the injury caused by
  the d u m p e d imports.
  C.       Like product
   It was argued by the Czechoslovakian and German Democratic Republic
   e x p o r t e r s and several importers that the products in question originating
   in th e s e two countries, the products ma nufactured in the United States,
   w h i c h were used to determine the normal value,and the products manufactured
   by t h e Community producers were not like products within the meaning of
   A r t i c l e 2 (12) of Regulation (EEC) No 3017/79.         This argument was
    s u p p o r t e d by a considerable amount of evidence such as technical
    c o m m ent s, studies made by experts and letters from users of these products.
    The Co mm uni ty producers                   refuted this argument and prov ide d .
    e v i d e n c e to       demonstrate that the products were indeed like products within
    t h e m e an ing of the said Regulation.
 ---pagebreak---                                            - 3 -
6.    The Cc minission, after careful e x a m ina ti on of all relevant arguments
      c o n c l u d e d that as regards physical c h a r act er ist ic s     the p r od uct s
      closely resemble one an o t h e r a n d that, in a great m a jo rit y of cases,
      they can be used for the same ap plications irrespe ct ive of the country
      of origin.          Therefore, the Commission has conc lud ed that they are
      like o r od uct s but gran ted certain al lowances for q u al ity d i ff ere nc es.
      Ba se d on the in f o r m a t i o n received th es e a l l o wan ce s for differe nc esi n quality were
   set at 10 % for Czechoslovakia unci 15% for the German De mo cratic Republic.
      D.      Dumpi ng
7.    C o ns equ en tly the pr el imi na ry d e te rmi na tio ns of     dumping are m o di fie d
      with respect to Cz ec hos lo vak ia and the German De mocratic Republic.
      The dumping margins now amount to 5 6 . 0 3 % for C z ec hos lo vak ia and 62%
      for the German Democratic Republic.
8.    No new evidence on dumping with respect to Japan has be en rece ive d
      since the imposition of the provisi on al duty and
                               the        findings on dumping as set out in Re gu lat io n
      (EEC) No 1631/83 are th er efo re c o n s ide re d to be d e f i nit iv e.
      E.      Injury
9.    With re ga rd to the injury suffered by the Community industry, the main
      a r g u men ts put forward by the in terested parties were that low price
      imports from other third countries have in creased s u b s t a n t i a l l y in recent
      years and are comparable to the volume of the d u mp ed imports.                      It has been
      found, however, that the pr ices of th es e imports are s i g n i f i c a n t l y
      higher than the prices of imoorts from the co untries in question.
 ---pagebreak---                                                  - 4 -
      F- Comm uni ty interest
10.   C o m m uni ty pr o c e s s i n g industries which use glass textile fibres as input materials
      have cont inu ed to argue that the introduction of protective measures was not in
      the C o m m u n i t y ’s interest because it would make them less competitive.
11.   In view, however, of the particularly serious losses which the Community
      pr o d u c e r s are incurring in the production and sale of the products concerned
      and in or d e r to avoid the danger that other plants may close in addition
       to the two a l re ady closed since 1981. the Council has come to the conclusion
       that on b a la nce it is in the Community's interests that action be taken.
       In th es e circumstances, pr ot ection of the Community's interests calls
       for the impo sit io n of a d e f i nit iv e anti-du mp ing du ty on imports of glass
       t e x t i l e fibres (rovings) or ig ina ti ng in Czechoslovakia, the German Democratic
       R e pu bli c and Japan.
       G. Amount of d e f i nit iv e duty
12.   For the pr ov isi on al duty the Commission had fixed the level required to '
      e l i m i n a t e injury at the amount by which the fr ee -at -C ommunity-frontier price,
      b e f o r e duty, was less than 0.97 ECU per kilogram.             The Community industry
      a r g u e d that this price was too low because the unit cost of the Community
      p r o d u c e r s ' products would still be higher than the likely resale price of
      t h e imports following imposition of the provisional duty.
 13.   Accordingly,                                       the pr od uct io n costs of each
        C o m m u n i t y producer were rechecked and the more deta ile d product by
       p r o d u c t cost information confirmed that unit p r o d uct io n costs were higher
        t h a n the re sale prices of the imports and that an increase of the duty
        was ne c e s s a r y .
  14.    Having ther efo re compared the Community producers'
         w e i g h t e d aver age prices and costs, account being taken of their profit margins,
         wi t h the individual importers' costs and special marketing conditions,
         w h e r e a v a i lab le , and having made allowances for quality differences and differences
         in co n d i t i o n s and terms of sale where necessary, it has been               concluded
         that t h e d e f i nit iv e anti-dumping duty should be the amount by which the free-
          a t - C o m m u n i t y frontier net price, before duty, is less than 1.03 ECU per
          k i l o g r a m for glass textile fibres      (rovings).
 ---pagebreak---                                                  - 5 -
      H.      U n d e rtakings
15.   An u n d e rta ki ng was offered by the C z ec hos lo vak ia n ex porter, Olassexport
       Co Ltd,           The Commission, after consultation, co ns ide re d that this
      un d e r t a k i n g was not acceptable since its terms wo ul d have led to the
      e l i m i n a t i o n of neit her d u mo ing nor injury.
16.    Under th es e circumstances the applica ti on of the duty shall be limited
       to those exporters who have not been, named as being e x c l u d e d from the duty.
       I.      Coll ect io n of provisional duty
17.    in view of the extent of the d u mp ing and iniury found and the critical
       si t u a t i o n of the Community industry, the amounts secured by way of
       p r o v i s i o n a l anti-dumping duties should be d e fi nit iv ely collected.
    HAS A D O P T E D THIS REGULATION:                                               ,/                               ----
                                                  Arti cle 1
    1.      A d e f i nit iv e anti-dumping duty is hereby imposed on imports of continuous glass
    t e x t i l e fibres (rovings) falling within subheading ex 70.20 B of the
    Common Customs Tariff                     co r r e s p o n d i n g to NI MEXE code 70.2 0-7 0, o r i g i n a t i n g
    in C z e c hos lo vak ia / the Ge rm an Demo cra ti c Republic and Japan.
    2.      The amount of the duty shall be equal to the amount by wh ic h the
    pr i c e per kilo gra m fr ee -a t - C o m m u n i t y - f r o n t i e r b e fo re duty is less than
    1.03 ECU.
    The f r e e - a t - C o m m u n i t y - f r o n t i e r prices shall be net if the conditions
    of sale p r o v i d e for payment within 30 days from the date of shipment;
    they shall be reduced or increased by 1% for each increase or decr eas e
    of one mo nt h in the p e ri od for payment.
 ---pagebreak---                              - 6 -
3.   The duty shall not apply to products originating in Japan
produced by Nippon Electric Co., Otsu, Japan and exported by
C Itoh & Co Ltd, Osaka, Japan.
4.   The provisions in force concerning customs duties shall apply
for the application of the duty.
                           Article 2
 The sums secured by way of provisional anti-dumping duty under
 Regulation (EEC) No 1631/83 shall be definitively collected.
                           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