CELEX: 31978K0119
Language: en
Date: 1978-01-18 00:00:00
Title: Commission recommendation No 119/78/ECSC of 18 January 1978 imposing a provisional anti-dumping duty on wire rod originating in Czechoslovakia

24. 1 . 78                            Official Journal of the European Communities                                    No L 19/ 5
                             COMMISSION RECOMMENDATION No 119/78 / ECSC
                                                      of 18 January 1978
               imposing a provisional anti-dumping duty on wire rod originating in Czechoslo­
                                                             vakia
THE COMMISSION OF THE EUROPEAN                                     1977, imports originating in Czechoslovakia having
COMMUNITIES,                                                       risen from 18 000 tons to 135 000 tons in the same
                                                                   period and that, as a result, they have been able to
Having regard to the Treaty establishing the European              acquire a market share of 10 % in total and 6 % for
Coal and Steel Community, and in particular Articles               imports originating in Czechoslovakia in the market
74 and 86 thereof,                                                 most concerned, that is Germany, and that, on the
                                                                   other hand, the Community steel industry is in a
Having regard to recommendation 77/329/ECSC on                     crisis situation characterized by a reduction of about
                                                                   26 % in deliveries between 1974 and 1977 and in the
protection against dumping or the granting of boun­
ties or subsidies by countries which are not members               number employed from 780 000 to 720 000 between
of the European Coal and Steel Community ( 1), as                  1974 and 1977 and by short-time working and that, as
amended by recommendation No 3004/77/ECSC (2),                     a result, the Community steel industry recorded
and in particular Articles 15 and 19 thereof,                      serious losses in most of the firms concerned ;
After having heard the opinions expressed within the
Advisory Committee provided for by recommendation                  Whereas, in order to remedy this situation , the
77/329/ECSC,                                                       Commission has introduced, in particular, a system of
                                                                   guidance prices (4) for sales within the Community of
                                                                   certain steel products produced by the European steel
Whereas the Commission has received a complaint,                   industry ;
submitted in the name of the relevant Community
industry, setting out evidence as to the existence of
dumping of wire rod originating in Czechoslovakia
and certain other countries and material injury                    Whereas, the import prices into the Community of
resulting therefrom ;                                              products originating in Czechoslovakia are consider­
                                                                   ably lower than these guidance prices and that such
                                                                   undercutting prevents the European producers from
Whereas the Commission has published basis                         achieving the guidance prices and jeopardizes the
prices (3) based on the lowest normal prices or costs of           equilibrium of the entire pricing system and causes
production in the supplying countries where normal                 material injury to the Community industry or to a
conditions of competition prevail, including the costs             major part of it ;
of transport, insurance and customs duties ;
Whereas the prices of imports into the Community of                Whereas immediate action has been requested by a
the products which are the subject of the complaint                Member State ;
have been compared with these basis prices ;
Whereas a preliminary examination of the matter                    Whereas, in the serious conditions being experienced
based on this comparison shows that these products                 by the Community steel industry, the interests of the
originating in Czechoslovakia are offered for import               Community require immediate action ;
within the Community (the British market) at prices
lower than the basis prices and tHat dumping has
taken place, the margin of which is constituted by this
undercutting.                                                      Whereas it is for the Commission , without prejudice
                                                                   to the results of the investigation opened in accor­
                                                                   dance with Article 1 1 of recommendation 77/329 /
Whereas, with regard to injury to the industry                     ECSC, to decide promptly to apply provisional
concerned, the evidence submitted to the Commis­
                                                                   measures consisting of the imposition of a provisional
sion shows that, on the one hand, imports into the                 anti-dumping duty on imports of the products
Community of the products increased globally from                  concerned originating in Czechoslovakia, the rate of
 108 000 tonnes to 649 000 tonnes between 1974 and
                                                                   which corresponds to the difference between the basis
                                                                   price published by the Commission for this product
(') OJ No L 114, 5 . 5 . 1977, p. 6 .
(2) OJ No L 352, 31 . 12. 1977, p . 13 .                           and its price on importation into the Community,
(3) cf. Communication from the Commission of 31
    December 1977 concerning the basis prices of certain           (4) OJ No L 1 14, 5 . 5 . 1977, p . 1 ; OJ No C 174, 22. 7. 1977
    steel products, OJ No L 353 , 31 . 12. 1977, p. 1 .                and OJ No L 352, 31 . 12. 1977, p . 17.
 ---pagebreak--- No L 19 / 6                        Official Journal of the European Communities                             24 . 1 . 78
MAKES THE FOLLOWING RECOMMENDATION :                                                  Article 3
                       Article 1                             This recommendation shall be notified to the Member
                                                              States .
1 . A provisional anti-dumping duty is hereby
imposed on the following products originating in              It shall enter into force for each Member State on the
Czechoslovakia :
                                                              date of its publication in the Official Journal of the
— wire rod ,                                                  European Communities.
— Common Customs Tariff subheading 73.10 A I,
— NIMEXE code 73.10-11 .                                      Without prejudice to the provisions of Article 18 of
                                                              recommendation 77/329/ECSC, it shall apply until
2. The amount of this duty shall be equal to the              the entry into force of an Act of the Commission
amount by which the effective price (basic price plus         either adopting definitive measures or extending the
extras) established by contract, free frontier duty-paid,     provisional duty, and in any event for a maximum
is lower than the effective price (basic price plus           period of three months .
extras) published by the Commission for this product.
3 . The provisions in force for the collection of
customs duty shall apply to the collection of this duty.      Done at Brussels, 18 January 1978 .
                        Article 2
                                                                                         For the Commission
The entry of the products described in Article 1 for
consumption within the Community shall be condi­                                        Wilhelm HAFERKAMP
tional upon the deposit of security for the amount of
the provisonal duty.                                                                         Vice-President