CELEX: 51981PC0260
Language: en
Date: 1981-05-18
Title: Proposal for a COUNCIL REGULATION (EEC) imposing a definitive anti-dumping duty on styrene monomer originating in the United States of America (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (81) 260
Vol. 1981/0089
 ---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
                                                   COM(81)260 final
                                                   Brussels , 18 May 1981
                               Proposal for a
                           COUNCIL REGULATION ( EEC )
         imposing a definitive anti-dumping duty on styrene monomer
                originating in the United States of America
                 ( submitted to the Council by the Commission )
                          /S)
                         /n ;                " ;    "
                                vt\.
                          v; -    V                   i
                                     V/ 'v_.     ^
  C0M(81 ) 260 final
 ---pagebreak---                           EXPLANATORY MEMORANDUM
   In February 1981 , the Commission imposed         >a provisional anti-dumping
   duty of 4% on imports of styrene monomer originating in the United States
   of America * This was subsequently increased^ to 14*8% following
   supplementary investigations by Commission officials in the United States
   of America *.
   The facts as finally established show that there was a weighted average
   dumping margin for all US exports of styrene to the Community - other
   than exports by companies found not to be dumping - of :
    1,8% of the FOB export price in the first quarter of 1980
    4*9% of the FOB export price in the second quarter of 1980
   15*9% of the FOB export price in the third quarter of 1980 ( 14*8% of the
       - CIF export price )*
• As regards injury caused thereby to the Community industry , this consists
   essentially of an increase in the market share held- by US styrene , . to
   the detriment of Community producers , and in severe price depression ,
   particularly in,the third quarter of 1980 , when Community producers were
   forced to sell at prices falling fsr below their costs of production *
   It is therefore proposed to impose a definitive anti-dumping duty of 14„8%
   on styrene monomer originating in the United States of America *           It is ,
   however , proposed to exclude from the application of this duty the exports
 , of four firms found not to be dumping , and of two firms - Gulf and Dow -
   who did not export at all to the Community in the investigation period ,
   and whose position as major Community - as well as US - producers of styrene
   would appear to ensure that they will not wish to damage the Community
   market by dumped exports of styrene at a future date * .
   It is further proposed that the amounts secured by way of provisional duty
   should be definitively collected *
    Régulation ( E E C ) Ne 384 /81 , uJ No L 42 ,. 14*2*1981 , p * 14
    régulât ion ( EEC) Mo           , 0J No L.   .            f p*
 ---pagebreak---                                Proposal for a
                         COUNCIL REGULATION fEEC )
           imposing a definitive anti-dumping duty on styrene monomer
               originating in the United States of America
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
                           »
Having regard to the Treaty establishing the European Economic Community ,
Having regard to Council Regulation ( EEC )          No 3017 / 79 of 20 December 1979
on ^protfect ion against dumped or subsidized imports from' countries not
members of the European Economic Communityd ) , and in particular Article 12 thereo
Having regard to the proposal submitted by the Commission after consultation with
the Advisory Committee set up under Article 6 of Regulation                ( EEC ) No 3017 / 79 ,
Whereas the Commission , by Regulation ( EEC ) No 384 / 81(2 ), imposed a provisional
anti-dumping duty of 4% on imports of styrene monomer originating in the
United States of America , with the exception of styrene '             exported by :
-      Borg Warner Chemicals
-      Cosden Oí l and Chemical Company
       Cosden International Sales Company
-      Monsanto International Sales Company
                *
Whereas the Commission , by Regulation ( EEC ) No                 / 81(3 ), subsequently
increased the amount of the provisional anti-dumping duty to 14J8% , this being
equal to the weighted average dumping margin provisionally established for the
third quarter of 1980 ;
 Whereas the Commission has since then requested and received updated information
 from the US firms whose exports'were excluded from the application of the
 provisional duty ;          whereas this shows that the situation of Borg Warner has
 not changed ,- and that exports to the Community          '    by Cosden and Monsanto
 have continued to be made at prices not below normal value ;
  ( 1 ) 0J No L 339 , 31.12.1979 , p. 1
  ( 2 ) 0J No L     42 , 14.2.1981 , p. 14     –
  ( 3)  0J   No L                       "
 ---pagebreak--- Whereas the Commission has otherwise received no additional information
 in respect of dumping such as to lead it to revise the weighted -
average dumping margins it has established ; whereas these margins have therefore            •
been considered as definitively established ;
Whereas , with regard to the injury caused by the dumped imports to the             Community
industry , the Commission has now attempted       fully tp update and revise all
the relevant data for 1980 ;
Whereas imports of styrene monomer of US origin stood at 85.6 thousand tonnes
in 1979 , 27.4 thousand tonnes in the first quarter of 1980 , 24.4 thousand
tonnes in the second quarter and 18.3 thousand tonnes -in the third quarter ; whereas
this represents an increase of 86% , comparing the first nine months of 1980 .
with the first nine months of '\9i? 9 ; ,      '  - . ■ 1 ■ •
Whereas it is difficult to estimate with certainty the exact level of. the share
which these imports took of the non-captive Community market for styrene , since
no official statistics exist regarding the size of the latter ; whereas , on the
basis of the best estimate of the non-captive market by the European Council of
Chemical Manufacturers " Federations ( CEFIO ,, the share taken by US exports .
stood . at 17% in 1979 , 17% in-the first quarterof . 1980 ,, - 17% in second'. ? quarter,
and 19% in the third quarter ; whereas , on the basis of the Commission 's own
estimates of effective consumption , the 'share of US exports in the non-captive
market-may have been as high as 23% in the third quarter ; whereas it seems clear
in any event that US exports have , for some time , held a substantial share of the
non-captive Community market , and that this share increased in the third quarter ■            !
of 1980 ;    '          v          '
Whereas the average CIF value of imported US styrene was £ 853 per tonne in the first
quarter of 1980 , S 849 per tonne in the second quarter , and £736 per tonne in the
third quarter ; whereas this was approximately 10% below the average unit sales
revenue of the complainant Community producers in the first quarter ; whereas ,
thereafter , the Community producers progressively reduced their prices until , by
the third quarter , these had fallen to approximately the 'same level as the
average    CIF value of imported US styrene ;.
 ---pagebreak---                                   2 bis -
Whereas the Level of production of the complainant Community producers
fell by 12% between the first and second quarters of 1980 , and by 24%
between the s?cond and third quarters , bringing their average level of
capacity utilisation down from 80% to 53% ;
    ■-                                 \ .       -   -       ■ ■
Whereas the average unit sales revenue of the complainant producers fell
from      i2943 per tonne in the first quarter of 1980 to £875 per tonne
in \the second quarter and '   " JS 72 5 per tonne in the third quarter ; whereas
this latter level was considerably below the level required to . cover the
costs of production , thereby leading to losses for the producers , which
were in some cases substantial ;
 ---pagebreak---                                  - 3 -
Whereas , as regards the injury caused by other factors which , individually
or 1n combination , are also affecting the Community Industry , the Commission -
                       since the adoption of
has received no information            Regulation ( EEC ) No 384 / 81 which might
lead it to revise the conclusions reached therein in this respect ; whereas
the Commission has therefore definitively concluded that the dumped imports
have caused material injury to the Community industry concerned ;
Whereas , in these circumstances , protection of the Community 's interests calls
for the imposition of a definitive anti-dumping duty on styrene monomer
originating in the United States of America which , having regard to the extent
of the injury caused , should be equal to the weighted average dumping margin
established for the third quarter of 1980 , and for the definitive collection
in their entirety of the amounts secured by way of provisional duty ;
Whereas , for the reasons indicated above , exports of styrene to the Community
by the following firms should be excluded from the application of this
definitive duty :
-   Borg Warner   Chemicals,
-   Cosden Oil and Chemical Company,
-   Cosden International Sales Company,
-  Monsanto International Sales Company;
Whereas Gulf Oil Chemicals Company has requested that it too should be excluded
from the application of' any anti-dumping duty on the grounds that it was willing
to co-operate fully     > with the Commission in its investigation , that it was
not responsible for any of the , dumped exports to the Community , and that
Gulf 's position as a major styrene producer in the Community with no captive
consumption means that it cannot possibly have any interest in damaging the
non-captive Community market by future exports of dumped styrene onto it ;
whereas , since these arguments are sufficient grounds for exclusion , exports
to the Community by Gulf Oil Chemicals Company should be excluded from the
application of the definitive anti-dumping duty ;
Whereas since Dow Chemical Company has lodged a request for exclusion on
analogous grounds , its exports should likewise be excluded from the
application of the definitive ant 1 -dumping   duty ; /
 ---pagebreak---                                    - 4 -
  HAS ADOPTED THIS REGULATION :
                                  Article   1
  1.   A   definitive anti-dumping duty is hereby imposed on styrene monomer fallir*
  within Common Customs Tariff subheading 29.01 D II and corresponding to NIMEXE
  code 29.01-71 originating in the United States of America .
                      t
 2.   This duty shall not apply to styrene monomer exported by :
 -   Borg Warner Chemicals,               "
     Cosden 0i l and Chemical ^Company,
 -   Cosden International Sales Company ,
     Dow Chemical Company,
 -   Gulf Oil Chemicals Company,
 -   Monsanto International Sales Company .
 3.   This duty shall be equal to 14.8% of the price f ree- at - Community frontier .
 4.   The provisions in force concerning customs duties shall apply for the
 application of this duty .
                             Article 2
The amounts secured by way of provisional duty pursuant to Regulation ( EEC )
No    384 / 81 shall be definitively collected . ■
                             Article 3
This Regulation shall      enter into force on the day of its publication in
the Of ficial - Journal of the European Communities .
This Regulation shall be binding in its entirety and directly applicable
in all Member States .
Done at Brussels ,                   1981             For the Council
                                                      The President