China's polyester filament apparel fabric manufacturers have
pledged to fight back against the European Commission's preliminary
rulings in an anti-dumping case.
"The rulings on China's enterprises are unfair," said Fu
Donghui, the lawyer for the Chinese firms, adding that they would
appeal to the European Commission.
This reflects the latest development of the largest anti-dumping
case in China's textile sector since the country entered the World
Trade Organization (WTO) in 2001.
The European Commission decided on Wednesday to levy punitive
duties against all finished polyester filament apparel fabrics
originating from China.
Twenty-five enterprises, which were granted market economy
status, were charged with duties of 20 percent, 19 were charged
with separate duties ranging from 26.7 percent to 74.8 percent,
while all the others were charged punitive duties of 85.3
percent.
"In the sample survey of eight enterprises, the European
Commission took a discriminatory policy against Chinese
enterprises," Fu said.
He explained that the European Commission declined to grant
market economy status to wholly mainland-owned companies by paying
attention to their detailed financial problems, but neglecting
similar problems at foreign or Taiwan-funded companies.
"The EU also violated the accuracy and representativeness
stipulated by WTO rules and EU anti-dumping laws in its method of
reaching the preliminary ruling because it took the price of
related enterprises as its guide," he said.
The anti-dumping investigation was launched by the European
Commission on 17 July last year at the request of seven European
producers.
The European companies claimed to represent a major proportion
of production in EU countries - 26 percent. This volume is slightly
higher than the minimum of 25 percent stipulated by the WTO.
China's polyester filament apparel fabrics makers argued that
the EU could not testify that these companies occupied a major
market share of the 25 European countries as the commission has yet
to publish the names of these European companies.
"We will further study the results of the investigation provided
by the European Commission in order to collect abundant information
to win the appeal," Fu added.
The China Chamber of Commerce for Import and Export of Textile
said it would start to evaluate the impact on the country's
polyester filament apparel fabrics exports to the European
market.
And the chamber said it would organize the enterprises to fight
for a preferable final determination in September.
Over 800 Chinese enterprises are involved in the case.
Among the 56 Chinese companies, which responded the case, only
25 were granted market economy status.
The newly declared duties were quite high for Chinese exporters
and would block China's exports to the European market as products
from Indian and Pakistan are also competitive, Fu said.
(China Daily March 18, 2005)