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Trade and Industry Department The Government of the Hong Kong Special Administrative Region
Brand Hong Kong - Asia world city

Commercial Information Circulars

24-hour hotline : 23 922 922

e-mail address : enquiry@tid.gov.hk

Ref : EIC 230/2/3/2/13

6 October 2014

Dear Sirs,

Commercial Information Circular No. 873/2014

European Union (EU) * : Initiation of an Expiry Review of the Anti-dumping Measures on Imports of Certain Seamless Pipes and Tubes of Iron or Steel Originating in the Mainland of China

Further to Commercial Information Circular No. 177/2014 of 21 February 2014, the European Commission (the Commission) has published a notice to initiate an expiry review of the anti-dumping measures imposed on imports of certain seamless pipes and tubes of iron or steel originating in the Mainland of China. The notice can be accessed through the following link:
http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=OJ:JOC_2014_347_R_0006&from=EN.

DETAILS

Ground for the Review

2.The expiry review is initiated at the request lodged on 27 June 2014 by the Defence Committee of the Seamless Steel Tubes Industry of the European Union (ESTA) ('the applicant') on behalf of producers representing more than 25% of the total Union production of seamless pipes and tubes.

3.According to the Commission, the applicant had provided prima facie evidence that, inter alia, should the measures be allowed to lapse, the current import level of the concerned product from the Mainland of China to the Union is likely to increase at injurious price level due to the existence of unused capacity and the manufacturing facilities of the exporting producers in the Mainland of China, and due to the existence of trade barriers for the Mainland of China in other third-country markets and the attractiveness of the Union market. It was also alleged that any further substantial increase of imports at dumped prices from the Mainland of China would likely lead to a continuation or recurrence of injury to the Union industry should the measures be allowed to lapse.

Review Procedures

4.Salient points of the expiry review are set out below-

(a) Date of Publication of the Notice of Initiation : 3 October 2014
(b) Product Coverage :
Seamless pipes and tubes, of iron or steel, of circular cross section, of an external diameter not exceeding 406.4 mm with a Carbon Equivalent Value (CEV) not exceeding 0.86 according to the International Institute of Welding (IIW) formula and chemical analysis, currently falling within CN codes ex 7304 19 10, ex 7304 19 30, ex 7304 23 00, ex 7304 29 10, ex 7304 29 30, ex 7304 31 20, ex 7304 31 80, ex 7304 39 10, ex 7304 39 52, ex 7304 39 58, ex 7304 39 92, ex 7304 39 93, ex 7304 51 81, ex 7304 51 89, ex 7304 59 10, ex 7304 59 92 and ex 7304 59 93.
(c) Procedures :
In view of the potentially large number of exporting producers in the Mainland of China involved in this expiry review and in order to complete the investigation within the statutory time limits, the Commission may apply sampling.  To enable the Commission to decide whether sampling is necessary and, if so, to select a sample, all exporting producers, or representatives acting on their behalf, including the ones who did not cooperate in the investigation leading to the measures subject to the present review, are requested to provide information requested in Annex I to the notice, including their identities and contact details, turnover and sales volume, activities of their companies/related companies, and indication of agreement to their possible inclusion in the sample which will involve completing a questionnaire and accepting a visit at their premises in order to verify their responses.  Such information should reach the Commission within 15 days from 3 October 2014, unless otherwise specified

All interested parties wishing to submit any other relevant information regarding the selection of the sample must do so within 21 days from 3  October 2014, unless otherwise specified.

If a sample is necessary, the exporting producers may be selected based on the largest representative volume of exports to the Union which can reasonably be investigated within the time available.  All known exporting producers, the authorities of the Mainland of China, and associations of exporting producers will be notified of the companies selected to be in the sample.  All exporting producers selected to be in the sample and any known association of exporting producers will have to submit a completed questionnaire within 37 days from the date of notification of the sample selection, unless otherwise specified.  Companies that have agreed to their possible inclusion in the sample but are not selected to be in the sample will be considered to be cooperating ('non-sampled cooperating exporting producers').

In the previous investigation, the United States of America was used as a market economy third country for the purpose of establishing normal value in respect of the Mainland of China.  For the purpose of the current investigation, the Commission envisages using again the United States of America.  Interested parties are invited to comment on the appropriateness of this choice within 10 days from 3 October 2014.  According to the information available to the Commission, other market economy suppliers of the Union may be located in, inter alia, Ukraine, Russia and Japan.  The Commission will examine whether there is production and sales of the concerned product in those market economy third countries for which there are indications that production of the concerned product is taking place.

Subject to the provisions of the notice, all interested parties are invited to make their views known, submit information and provide supporting evidence to the Commission within 37 days from 3 October 2014, unless otherwise specified.
All interested parties may request to be heard by the Commission investigation services.  Any request to be heard must be made in writing and must specify the reasons for the request.  For hearings on issues pertaining to the initial stage of the investigation, the request must be submitted within 15 days from 3 October 2014.  Thereafter, a request to be heard must be submitted within the specific deadlines set by the Commission in its communication with the parties.

Interested parties are invited to make all submissions and requests by e-mail including scanned powers of attorney and certification sheets, with the exception of voluminous replies which shall be submitted on a CD-ROM or DVD by hand or by registered mail.  By using e-mail, interested parties express their agreement with the rules applicable to electronic submissions contained in the document 'CORRESPONDENCE WITH THE EUROPEAN COMMISSION IN TRADE DEFENCE CASES' published on the website of the Directorate - General for Trade (DG Trade): http://trade.ec.europa.eu/doclib/docs/2011/june/tradoc_148003.pdf. They must indicate their name, address, telephone and a valid e-mail address and should ensure that the provided e-mail address is a functioning official business e-mail which is checked on a daily basis. Once contact details are provided, the Commission will communicate with interested parties by e-mail only, unless they explicitly request to receive all documents from the Commission by another means of communication or unless the nature of the document to be sent requires the use of a registered mail.  For further rules and information concerning correspondence with the Commission including principles that apply to submissions by e-mail, interested parties should consult the communication instructions with interested parties referred to in the notice.

Commission address for correspondence:

European Commission
Directorate-General for Trade
Directorate H
Office: CHAR 04/039
1049 Brussels
Belgium

E-mail:

Interested parties may request the intervention of the Hearing Officer for DG Trade, who acts as an interface between the interested parties and the Commission investigation services through reviewing requests for access to the file, disputes regarding the confidentiality of documents, requests for extension of time limits and requests by third parties to be heard. The Hearing Officer may organise a hearing with an individual interested party and mediate to ensure that the interested parties’ rights of defence are being fully exercised.  A request for a hearing with the Hearing Officer should be made in writing and should specify the reasons for the request.  For hearings on issues pertaining to the initial stage of the investigation the request must be submitted within 15 days from 3 October 2014. For further information and contact details, interested parties may consult the Hearing Officer's web pages on DG Trade's website:
http://ec.europa.eu/commission_2010-2014/degucht/contact/hearing-officer/.
(d) Investigation Schedule : The investigation will be concluded within 15 months from 3 October 2014.

BACKGROUND

5.Definitive anti-dumping duty on imports of certain seamless pipes and tubes of iron or steel originating in the Mainland of China has been imposed since 7 October 2009. The current rate of duty is 39.2% of the net, free-at-Union-frontier price before duty (except for a number of companies whose individual duty rates range from 17.7% to 27.2%).

ENQUIRIES

6.For enquiries concerning the contents of this circular, please contact the undersigned at telephone number 2398 5684

Yours faithfully,

(Miss Stella CHAN)
for Director-General of Trade and Industry

*The EU includes Austria, Belgium, Bulgaria, Croatia, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden and the United Kingdom.

Note 1: While every effort is made to ensure the accuracy of the above information, the Department cannot guarantee this to be so and will not be held liable for any reliance placed on the same.
Note 2: The biweekly newsletter "Business Alert - EU" of the Hong Kong Trade Development Council provides up-to-date information on the latest developments in EU trade policy and trade regulations. The newsletter is available for free e-subscription and can be accessed through
http://www.tdctrade.com/alert/eualert.htm.