EU starts registering Chinese truck & bus tire imports

Brussels – New and retreaded truck and bus tires imported to the EU from China will have to be registered, according to a recent decision by the European Commission.

According to a 2 Feb report by Official Journal of the European Union, the move – which came to effect 3 Feb – is part of the Commission’s investigation into whether anti-dumping activities are taking place in the market.

Once confirmed, the Commission will take anti-dumping measures against those imports.

“Should the investigation result in findings leading to the imposition of anti-dumping and/or countervailing duties, those duties can, if the necessary conditions are fulfilled, be levied retroactively on the registered imports in accordance with the applicable legal provisions,” the Commission added.

The anti-dumping proceeding was initiated by the Commission in August last year, following a complaint lodged by the “coalition against unfair tires imports”.

The coalition, which represents more than 45 % of the EU production of new and retreaded truck and bus tires, claims that dumping margins range between 74 and 152%.

According to the EU journal report, the Commission has concluded that “there is sufficient evidence to justify such actions”.

The EC said that it had, at its disposal, sufficient evidence that imports of the product concerned from China were being subsidised.

The alleged subsidy practices consist, namely, of direct transfer of funds and potential direct transfers of funds or liabilities, government revenue forgone or not collected, and government provision of goods or services for less than adequate remuneration.

Other examples include VAT exemption, import tariff rebates and preferential loans.

“Therefore, the available evidence at this stage tends to indicate that the exports of the product concerned are benefiting from countervailable subsidies,” the EC said.

According to the “coalition against unfair tires imports” the volume of Chinese truck and bus tires rose 14.3% during the period from April to September 2017 compared to the same period in 2016.

Latest Eurostat figures, indicate that imports of light truck tires and truck tires from China to Europe almost quadrupled from 1.4 million units in 2010 to 4.37 million units in 2016.

The data also indicates that import levels for 2017 will be on a par with the year before, if not higher. By end of June, nearly 2.4 million truck tire units were imported into Europe from China – a 116% rise compared to the first half of 2016.