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Anti-Dumping Duty of 13.8% Likely to be Imposed on Chinese Glass

31 January 2011

Based on EuCIA sources, representatives of the EU27 Member States provisionally voted last week on the European Commission proposal for definitive anti-dumping duties on glass fibre originating in China.

The Commission proposes definitive import duties of 13.8 % and excludes yarns from the proceedings. The definitive import duties are to be imposed from the 17th of March 2011 for a period of 5 years if finally agreed by the Council of the European Union later next month.

The Commission proposal provisionally voted last week by the EU27 Member States was initially released for consultation in December 2010. The proposal followed the Commission Regulation 812/2010 imposing provisional import duties of 43.6% for a period of 6 months since the 17th of September 2010.

EuCIA has argued that even at 13.8%, import duties remain harmful for the European users and will trigger negative impacts on the employment and innovation within the sector. A number of major European users of glass fibre and Associations across Europe have jointly expressed their concerns.

According to EuCIA, a high number of Member States representatives abstained from the provisional vote, while only 4 Member States out of 27 voted in favour of imposing definitive import duties of 13.8% with detrimental effects for the European composites industry.Under the EU rules, that may be enough to impose the duties.

Commenting on the vote, Alexandre Dangis, Managing Director EuPC noted It is surprising to see how the EU Executive body can pass its proposal through the Member States when only 4 countries support the duties in a Europe of 27 member States. The impact of this case on many SMEs has clearly been underestimated and not understood properly by the large number of EU Member States that abstained. I call on these Member State, the EU Commission and the Council of Ministers to review the proposal once again and terminate the investigation without any anti-dumping measures. Time is also ripe to review the Anti-dumping legal proceedings and the efficiency of the Trade Defence Instruments (TDI) to ensure that sectors with large SMEs are properly heard and defended when cases are affecting them.

Volker Fritz, EuCIA president added: So far, we are satisfied with the results and everything possible was done to achieve the best outcome. The high reduction of duties from the initial phase and the low number of countries who supported this case showed that EuCIA was listened to during our meetings and is becoming more and more influential with the EU legislators. From the beginning, the objective was to protect the interests of the composites sector and to show the impacts of additional costs on SMEs. While the result in terms of duties was not fully accomplished we are now clear about the overall situation of duties on our industry.

Following the provisional consultation that took place last week, the European Commission will now formally communicate the proposal for definitive measures for consultation and voting in the Council of the European Union. A final vote is expected next month. If voted in favour, the definitive measures are expected to be published in the Official Journal of the European Union on the 16th of March 2011.