CELEX: 51987PC0057
Language: en
Date: 1987-02-16
Title: Proposal for a COUNCIL REGULATION (EEC) amending Regulation (EEC) No 2176/84 on protection against dumped or subsidized imports from countries not members of the European Economic Community (submitted to the Council by the Commission)

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DOCUMENTS "COM"
COM (87) 57
Vol. 1987/0023
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                                          COM(87 ) 57 final
                                                                                      /
                                                          Brussels , 16 February 1987
                                Proposal for a
                          COUNCIL REGULATION ( EEC )
   amending Regulation ( EEC ) No 2176 / 84 on protection against dumped
         or subsidized imports from countries not members of the
                         European Economic Community
               ( submitted to the Council by the Commission )
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C0MC87 ) 57 final
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                          EXPLANATORY MEMORANDUM
                                      (1 )
1 . Regulation ( EEC ) No . 2176 / 84      empowers the Community institutions
to take measures where it has been found that exports from a third country
were dumped and were causing injury to the Community industry .
2.    Experience has shown that when an anti -dumping duty is imposed on imports
of a finished product , the duty may be avoided by importing separately all
or the majority of the parts not subject to the duty and assembling them
subsequently in the Community . This danger is particularly acute where
the producer / exporter of the finished product subject to the duty has a
subsidiary in the importing country and where the assembly is a relatively
simple operation . It has indeed become apparent that a number of the
assembly operations currently undertaken or planned are very basic .
3 . The European Parliament has called for measures preventing third country
producers from circumventing anti-dumping duties .
4 . In these circumstances the Commission considers it absolutely necessary
to establish the framework allowing the Community to take action where
necessary .
 (1 )  O.J. No . L 201 , 30.7.84 , p.1 .
 ---pagebreak---                                Proposal for a
                          COUNCIL REGULATION ( EEC )
 amending Regulation ( EEC ) No 2176 / 84 on protection against dumped
        or subsidized imports from countries not members of the
                        European Economic Community
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community ,
and in particular Article 113 thereof ,
Having regard to the proposal from the Commission ,
Whereas experience gained from the implementation of Council Regulation ( EEC )
             1
No 2176 / 84   has shown that assembly in the Community of products whose
importation in a finished state is subject to anti-dumping duty may give rise
to certain difficulties ;
Whereas in particular :
- where assembly is carried out by a party which is related to any of the
   manufacturers whose exports of the like product are subject to an anti ¬
   dumping duty , and
- where the value of the parts used in the assembly operation and originating
   in the country of origin of the product subject to an anti-dumping duty
   exceeds the value of all other parts used ,
such assembly is considered likely to lead to circumvention of the anti-dumping
duty ;
Whereas , in order to prevent circumvention , it is necessary to provide for the
collection of anti-dumping duty on products thus assembled ;
1 0J No L 201 , 30.7.1984 , p. 1 .
 ---pagebreak---                                   - 2 -
Whereas it is necessary to Lay down procedures and conditions for the collection
of duty in such circumstances ;
Whereas the amount of anti-dumping duty collected should be limited to that
necessary to prevent circumvention ,
HAS ADOPTED THIS REGULATION :
                                 Article 1
The following paragraph 10 is hereby added to Article 13 of Regulation ( EEC )
No 2176 / 54 :
" 10(a ) Regulations imposing definitive anti-dumping duties may provide , by
          way of derogation from paragraph 4(a ), second sentence , that such
          duties are also to be collected on products that are introduced into
          the commerce of the Community after having been assembled in the
          Community provided :
          - assembly is carried out by a party which is related to any of the
            manufacturers whose exports of the like product are subject to an
            anti -dumping duty ;
          - the assembly operation was started or substantially increased after
            the opening of the anti-dumping investigation ;
          - the value of parts used in the assembly operation and originating in
            the country of exportation of the product subject to the anti-dumping
            duty exceeds the value of all other parts used by at least 20% ;
    ( b ) Products thus assembled shall be declared to the competent authorities
          before leaving the assembly plant for their introduction into the
          commerce of the Community . For the purposes of Levying an anti -dump ing
          duty , this declaration shall be considered equivalent to the declaration
          referred to in Article 2 of Directive 79 / 695 / EEC .
 ---pagebreak--- ( c ) The rate of anti-dumping duty shall be that applicable to the manu ¬
      facturer in the country of origin of the like product subject to an
      anti-dumping duty to which the party in the Community carrying out
      the assembly is related . The amount of duty collected shall not
      exceed that required to prevent circumvention of the anti -dumping
      duty ."
                              Article 2
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 Counci l
 ---pagebreak---                                                     S .M
                      COMPETITIVENESS AND EMPLOYMENT IMPACT STATEMENT
        I.  Whet; is the main reason for introducing the measure ?
            To prevent the circumvention of antidumping duties
             Features of the businesses in question .         In - particular :
             la ) Are there many SMEs ?                                             '
             lb) Have any mergers been noted in any regions wiycb are : >
                   ( i ) eligible for regional aid in the Member Spates? >
                  Hi ) eligible under the ERDF ?                       j            '
              This proposal is applicable across the board to a Il EEC companies .
     III .   what direct obligations does this measure impose :n           >n businesses ?
             NONE                                                       ;
       IV .  What indirect obligations are local authorities . likely to Impose
            on businesses ?                                              j
             N0NE
        V.   Are there any special measures in respect of SMEs.
             N0NE              ■                         ;
             Please specify . .
       VI .  What 1s the likely effect on *.
             la ) the competitiveness of businesses ? )       Benefic al effects are
                                                           ))  expectèp
                                                               beceuse!
                                                                             1n both respects
             ( b ) employment ?                             >  c            EC undertakings
                                                               wîll bel better protected ^
                                                               w
      vil .  Have both sides of industry been consulted ?
             Please indicate their opinions .
             YES - . FAVOURABLE
" L' amendement en question devra permettre de prendri des mesures dont
  l' objectif est de défendre la 'production communaut : 1 re contre le
  détournement de mesures antidumping par l' importation de composantes .
  L' effet des mesures que la Communauté pourra prendre sera de ce fait
  favorable aux PME communautaires , fournisseurs actuels et potentiels
  de composantes , et à l' emploi dans la Communauté ."