Commission Implementing Regulation (EU) 2017/763 of 2 May 2017 imposing a definitive anti-dumping duty and collecting definitively the provisional duty imposed on imports of certain lightweight thermal paper originating in the Republic of Korea
32017R0763
European Union
§ Article 5
Article 5(7) of the Basic Regulation sets the bar for negligibility at 1 % market share, unless the exporting countries collectively account for at least 3 % of Union consumption.
.
(61) In the absence of any comments with respect to the volume and market share of the imports from the country concerned, the conclusions set out in recitals (56) to (58) of the provisional Regulation were confirmed.
3.4.2.
Price of the imports from the country concerned and price undercutting
(62) The Hansol Group deemed the 8,1 % undercutting margin provisionally established not significant due to the limited volume of imports (13,6 % of Union consumption). The party claimed that the WTO Panel report on DRAM Chips
WTO Panel Report, European Communities — Countervailing measures on Dynamic Random Access Memory Chips from Korea, WT/DS299/R, 3.8.2015.
considers that significant means important, major, consequential, more than just a nominal/marginal movement. It also quotes two cases (Dense sodium carbonate
Commission Decision 90/507/EEC of 7 September 1990 terminating the review of the anti-dumping measures concerning dense sodium carbonate originating in the United States of America (OJ L 283, 16.10.1990, p. 38).
and Certain laser optical reading systems
Commission Decision 1999/55/EC of 21 December 1998 terminating the anti-dumping proceeding concerning imports of certain laser optical reading systems, and the main constituent elements thereof, for use in motor vehicles, originating in Japan, Korea, Malaysia, the People's Republic of China and Taiwan (OJ L 18, 23.1.1999, p. 62).
) where the Commission considered that the undercutting margin was limited.
(63) The Commission dismissed the Hansol Group's claims on the following grounds. First, even if in Dense sodium carbonate the Commission regarded a 6 % undercutting margin as not significant, it is noted that the market share of imports in that case was much lower (3,2 % before 1983; 1,4 % afterwards) than in the current case. Second, the Certain laser optical reading systems decision concerned mainly non-homogenous products with a great variety of features and technical differences and subject to rapid technological development, which is not the case of LWTP products. Last but not least, the Commission considered that for LWTP an 8,1 % undercutting margin was significant given that the level of dumped imports was important and that it sharply increased during the period considered. As indicated in recital (67) below, the established definitive undercutting margin was even higher than the provisional one, which also rebuts the argument that the margin had to be considered as limited.
(64) The Hansol Group's claim that the undercutting calculation was illegal was rejected on similar grounds as those stated in Section 6.1 below.
(65) In order to follow the same methodology as the dumping calculation, at definitive stage it was decided to calculate price undercutting by applying the same weighting as in Section 2.4.1 of this Regulation. The undercutting margin established for the Hansol Group was a weighted average of the margins established for the sales of jumbo rolls (margin of – 5 % - 0 % with a weight of 15 % - 25 %) and the sales of small rolls (margin of 10 % - 20 % with a weight of 75 % - 85 %). This approach and the corrections explained in Section 2 above entailed a revision of the undercutting margin provisionally established.
(66) Following definitive disclosure, the Hansol group claimed that the Commission did not draw the consequences from the negative undercutting margin found for one part of the sales and thereby violated Articles 3(2) and 3(3) of the basic Regulation. This claim was however rejected since the Commission made its conclusions on the basis of the overall undercutting margin, in line with its normal practice.
(67) The definitive undercutting margin amounts to 9,4 %.
(68) In the absence of any further comments with respect to the price of the imports from the country concerned, and with the exception of the undercutting margin, as explained in the recitals above, the conclusions set out in recitals (59) to (64) of the provisional Regulation were confirmed.
3.5.
Economic situation of the Union industry
3.5.1.
Macroeconomic indicators
3.5.1.1.
Production, production capacity and capacity utilisation
(69) The Hansol Group claimed that the situation of the Union industry did not deteriorate because, except for one company, the production results were impressive and some Union producers increased their production capacity and capacity utilisation. It also claimed that capacity utilisation was close to full capacity.
(70) However, as regards production, recital (70) of the provisional Regulation showed that the Union industry's production volume decreased overall by one per cent. This negative trend is consistent with the finding that the industry was in an injurious state, given the high fixed costs it incurs. This overall finding cannot be undermined by the situation of some individual producers. In any event, the substantial increase in the production output of one non-sampled producer was only the mathematical result of the restart of operations that had been temporarily halted, as explained in recital (71) of the provisional Regulation. Furthermore, one producer was phasing out LWTP production. This took place in the context of an increasing Union consumption during the period considered (+ 15 %). In past cases, such as in Certain candles
Commission Regulation (EC) No 1130/2008 of 14 November 2008 imposing a provisional anti-dumping duty on imports of certain candles, tapers and the like originating in the People`s Republic of China (OJ L 306, 15.11.2008, p. 22).
, the Commission found injury in the presence of an increase in production (which is not the case in LWTP), where such increase was lower than the increase in Union consumption.
(71) As to production capacity, it is not correct that, as the party claimed all Union producers increased their production capacity, except for one company. The Union producer mentioned in recital (71) of the provisional Regulation did not increase its production capacity as such. It simply restarted a production facility that was not available for use in 2012, hence not considered as existing capacity that year. In addition, recital (70) of the provisional Regulation highlights the difficulties experienced by one sampled company as regards production.
(72) As to the overall capacity utilisation, Table 4 of the provisional Regulation does not show an increase but a drop in capacity utilisation within the Union industry during the period considered. The substantial increase by one producer of its capacity utilisation was the result of the restart of operations after the halt stated in recital (71) of the provisional Regulation.
(73) Furthermore, even though a 92 % capacity utilisation may indeed seem high, it is considered that an 8 % gap between capacity and actual utilisation, especially in a high fixed costs industry, is not insignificant. LWTP producers have to maintain a constant order book, keep selling and producing in order to avoid idle time on their production lines. A paper producer would prefer selling a product at a lower price, rather than producing less, as idle machines would likely cause even greater injury. Given the highly capital-intensive nature of the paper industry and the often limited pricing scope when selling, high utilisation rates are essential to profitability. Thus, marginal shifts in utilisation rates can make or break a firm. As to the 8 % gap, it represents 32240 tonnes of LWTP production, which is more than the Hansol Group's import volumes in 2015. In addition, Union producers have multi-purpose equipment with swing capacity and can easily offer more capacity, as highlighted in recital (125) of the provisional Regulation. However the swing capacity cannot be used in a market where dumping practices exist.
(74) Consequently, the above claims were rejected, and, in the absence of other comments, the conclusions set out in recitals (69) to (72) of the provisional Regulation were confirmed.
3.5.1.2.
Sales volume and market share
(75) The Hansol Group claimed that the situation of the Union industry did not deteriorate because i) Union producers increased their sales in the Union and ii) decided to reduce sales of the product concerned to the Union market in order to concentrate their efforts on third country markets.
(76) The above claims were rejected since, even if the Union industry sales volume on the Union market overall increased by 1 % during the period considered, Union producers could not reap full benefits of the increase in Union consumption (+ 15 %). This was translated into a substantial loss of market shares. As to the claim regarding the reduction of sales onto the Union market, it is in contradiction with the first part of the claim.
(77) In the absence of other comments, the conclusions set out in recitals (73) to (75) of the provisional Regulation were confirmed.
3.5.1.3.
Employment, labour costs and productivity
(78) The Hansol Group claimed that the situation of the Union industry did not deteriorate because Table 6 of the provisional Regulation summarizes the good performance of the Union industry with reference to employment. The party stated as well that there was no inflation which could explain an increase in labour costs.
(79) As to employment, the Commission did not find that the Union industry was performing well. As highlighted in the provisional Regulation, in contrast it found that the employment level went down by 1 %. According to the file for inspection by interested parties, the employment level increased significantly for two of the Union producers. However, given the size of these producers, this translates into few jobs in absolute terms and into an overall decrease for the Union industry as a whole. In any case, bearing in mind that in this specific sector the employment level follows closely production, employment is not considered to be an indicator giving decisive guidance about the injurious situation of the Union producers.
(80) Following definitive disclosure, the Hansol Group claimed that the workforce from two Union producers should be excluded from Table 6 of the provisional Regulation because of their specific situation. This claim was rejected because no justification was provided in order to allow the Commission to depart from its normal practice as regards its analysis of macroeconomic injury indicators.
(81) As far as labour costs are concerned, recital (86) of the provisional Regulation must be interpreted in the sense that the increase in labour costs did not seem too high in light of the annual inflation rates.
(82) Accordingly, the above claims were rejected, and, in the absence of other comments, the conclusions set out in (77) to (79) and (85) to (86) of the provisional Regulation were confirmed.
3.5.1.4.
Prices and factors affecting prices
(83) The Hansol Group claimed that the prices in the Union by the Union producers should be further investigated. This party put into question the absence of price increases by Union producers during the investigation period based on the allegation that some Union producers increased their sales prices. The Hansol Group also stated that the sale price decrease that took place between 2013 and 2014 was caused by the fact that one Union producer flooded the Union market with goods that it could not sell in the United States of America (USA).
(84) The above claims were rejected. As regards the first claim, the fact that some producers had announced a series of price increases did not mean that all the increases materialised. The party's claim is based on price increases for Union industry sales to its related companies, which only represent a minor part of the Union consumption. According to Table 7 of the provisional Regulation, which is based on verified figures, there was not an overall increase in prices in the Union. Last but not least, the drop in sale prices between 2013 and 2014 coincides in time with the biggest decrease of import prices from the Republic of Korea according to Table 3 of the provisional Regulation.
(85) Concerning the second claim, Table 5 of the provisional Regulation (sales volume on the Union market by the Union industry) does not show any sign of the alleged flood. Between 2013 and 2014 the index went from 101 to 97.
(86) In the absence of other comments, the conclusions set out in (82) to (84) of the provisional Regulation were confirmed.
3.5.1.5.
Inventories
(87) The Hansol Group claimed that the situation of the Union industry did not deteriorate because inventory levels decreased both in absolute and relative terms, thus the Union industry found no difficulty in selling its output.
(88) The above claims were rejected because, as stated in recital (88) of the provisional Regulation, in general the like product is produced on the basis of specific orders of the users. Hence, stocks are not considered to be an important injury indicator for this type of industry because they follow production and during the period considered they consistently remained not bigger than the production of one month.
(89) In the absence of other comments, the conclusions set out in (87) to (88) of the provisional Regulation were confirmed.
3.5.1.6.
Profitability and investments
(90) The Hansol Group claimed that the situation of the Union industry did not deteriorate because its investments more than doubled during the investigation period. In its view, Table 10 of the provisional Regulation and evidence on the record do not support the statement in recital (93) of the provisional Regulation that the sampled producers kept their level of investment to the amounts absolutely necessary to keep on running. It also claimed that two sampled Union producers made major investments in 2014.
(91) The above claims were however rejected since, despite the fact that the investments doubled, the absolute level of investment remained limited, in particular considering the fact that, for example, the value of a new production line of LWTP is estimated at 120 Million EUR. During the period considered, as pointed in recital (119) of the provisional Regulation, the Union industry postponed some investments due to shrinking profits.
(92) The same party also asked for a reassessment of the Union industry's profitability because the problems of one sampled Union producer allegedly derived from factors not related to dumped imports but, in particular, from huge costs related to the closure of two mills, and, in addition, as a result of another company's provisions to cover future payments of anti-dumping duties in the USA. It added that any bias concerning the market strategies undertaken by the other two sampled companies on different geographical markets should be eliminated and alleged that, in overall, the same two companies generated substantial profits during the investigation period.
(93) The Commission considered that there is no need for a reassessment of the Union industry's profitability because all exceptional costs alleged were already isolated and excluded from the establishment of the profitability showed at provisional stage. Also, as stated in recital (90) of the provisional Regulation, the Commission established the profitability of the sampled Union producers by expressing the pre-tax net profit of the sales of the like product to unrelated customers in the Union as a percentage of the turnover of those sales, i.e. profitability in non-Union markets was put aside. Therefore, those claims were rejected.
(94) In the absence of other comments, the conclusions set out in recitals (89) to (91) and, as regards investments, in recital (93) of the provisional Regulation were confirmed.
3.5.1.7.
Magnitude of the dumping margin, growth, cash flow, return on investments and ability to raise capital
(95) In the absence of comments regarding magnitude of the dumping margin, growth, cash flow, return on investments and ability to raise capital, the conclusions set out in recitals (76), (80) to (81), (92), (93) as regards return on investments and (94) of the provisional Regulation were confirmed.
3.5.2.
Conclusion on injury
(96) On the basis of the analysis of the comments summarized in recitals (55) to (95) above, the conclusions set out in recitals (95) to (98) of the provisional Regulation were hereby confirmed.
- CAUSATION
(97) The Hansol Group claimed that the injury could not be attributed to the imports of dumped imports from the country concerned but to: the impact of the USA anti-dumping measure on one sampled Union producer; the impact of manufacturing costs together with exchange rates; and the impact of the price of phenol-free LWTP. Most of the arguments were a reiteration of those already brought forward at the provisional stage. They are all addressed in recitals (98) to (101) below.
(98) As to the USA anti-dumping measure, the Commission noted that in recital (109) of the provisional Regulation it was acknowledged that there was some impact on the Union producer in question. Even if such impact was not confined to that company, as explained in recital (110) of the provisional Regulation, the overall impact was almost inexistent for the Union industry as a whole during the investigation period. In recital (110) of the provisional Regulation it was established that the USA imposed high duties on one Union producer only, but that these duties were lifted in 2015 and that the sampled Union producer managed to partially compensate by increasing exports to other markets. Whether the sampled Union producer in question managed to fully compensate lost sales in the USA and recover is irrelevant since those circumstances would have no effect on most of the data relating to that Union producer, as stated in recital (109) of the provisional Regulation. Contrary to what the Hansol Group suggests, there was not a flood of LWTP originating in the Union at the time when USA high duties were in place (this claim is further rebutted in recital (85) above) or an increase of sales prices in 2015 (as shown in Tables 3 and 7 of the provisional Regulation). On the basis of the above and of the findings at provisional stage, it was concluded that the USA anti-dumping measures analysed did not lead to a decrease in prices and profitability on the Union market.
(99) As to manufacturing costs, the party first focused only on the period 2014-2015. After definitive disclosure, it extended the claim to the whole period under investigation and submitted that the increase in raw material prices, together with the downward trend of the Euro exchange rate particularly affected the Union industry. It was however established that, during the period considered, the loss in profitability was due to the lack of correlation between costs (+ 3 %) and prices (– 11 %), the drop in prices being higher than the cost increases. On the basis of the above and of the findings at provisional stage, it was concluded that the increase in costs did not break the causal link between material injury and dumped imports form the Republic of Korea.
(100) As regards the impact of the price of phenol-free LWTP, the alleged higher purchase prices of some companies related to the exporting producer do not contradict the overall finding in recital (113) of the provisional Regulation that over the period considered the unit sales prices of phenol-free LWTP dropped less than the unit sales prices of phenol-containing LWTP. Those companies represent a minor share of Union consumption. On the basis of the above and of the findings at provisional stage, it was concluded that the Union industry's price depression could not be attributed to the alleged price decrease of phenol-free LWTP.
(101) The Hansol Group claimed that even if none of the alleged factors alone had decisive influence, the Commission should further investigate actual causes of alleged injury, including their aggregated effect. This claim was however rejected, since the Commission already made such a combined assessment in recital (121) of the provisional Regulation, and no new element was brought forward after the imposition of the provisional measures.
(102) On the basis of the above and in the absence of any other comments, the conclusions set out in recitals (99) to (121) of the provisional Regulation were confirmed.
- UNION INTEREST
5.1.
Interest of the Union industry
(103) The complainant suggested the existence of a threat of further injury to Union producers in light of the Hansol Group's announcement to significantly increase its thermal paper capacity by 2019. Given the findings on material injury, the Commission did not carry out a threat of injury analysis.
(104) In the absence of any comments regarding the interest of the Union industry, the conclusion set out in recitals (123) to (128) of the provisional Regulation were confirmed.
5.2.
Interest of other interested parties
(105) The Government of Korea reiterated its claim stated in recital (132) of the provisional Regulation without providing any additional evidence. Such claim was already dismissed at provisional stage.
(106) The Government of Korea also claimed that measures are not in the Union interest on the grounds that many European converters and importers expressed their objections at the hearing in September 2016 (see recital (5) of the provisional Regulation), that measures will negatively affect Hansol Group's subsidiary converters, which comprise the downstream sector in the LWTP industry, and that Union producers are large companies, whereas the Hansol Group's subsidiary converters are mostly small and medium-sized enterprises (SMEs) without much power to influence prices.
(107) The above claims were rejected. The investigation did not find that there is a majority of converters and importers in the Union against measures, as further developed in recital (109) below. Moreover, it was not possible to conclude to what extent measures would negatively affect Hansol Group's subsidiaries in the Union, also bearing in mind that the Hansol Group's itself highlighted that one of such subsidiaries was having negative results due to bad management. As to the size of the Hansol Group's subsidiary converters, it is noted that ultimately they belong to a large group. Since the Hansol Group's itself acknowledged the unwillingness of final customers to accept price increases, it is concluded that customers have bargaining power in price negotiations.
(108) The Hansol Group claimed that the Union downstream industries are almost unanimously against the imposition of measures and that, according to the files open for inspection by interested parties, at least 36 unrelated converters and end-users expressed their strong opposition to measures. Following definitive disclosure, the party claimed that the Commission had neglected the fact that the majority of the cooperating Union downstream converting and user industry opposed the imposition of measures. It was claimed that the fact that not all Union downstream industries expressed their opposition, or the fact that many of them did not reiterate their point of view following the provisional disclosure, would not undermine their opposition.
(109) The above claims were rejected. Recital (129) of the provisional Regulation takes stock of the limited cooperation of some parties. Many Union downstream industries remained silent during the investigation and no downstream industry made any representation following provisional or definitive disclosure. This silence could not be interpreted as opposing the measures, but as unknown position. As mentioned under recital (130) of the provisional Regulation, in terms of purchase volume of LWTP, the converters that came forward and expressed to be in favour of measures weigh more than the ones that did not express views or were opposing the measures. After the additional final disclosure an additional converter expressed to be in favour of the measures. Also the Confederation of European Paper Industries, which ultimately represents many downstream industries, expressed to be in favour of the measures both at initial and definitive stage. As to the files available to interested parties for access, they show that around one third of the unrelated converters and end-users counted in the recital above opposed to measures at some point of the proceeding before provisional disclosure.
(110) The Hansol Group claimed that the measures are against the interest of European businesses because the Union market can be defined as a duopoly/oligopoly and competition should be promoted, as there are no alternative sources of supply, the Union producers lack competitive infrastructure and would not be able to efficiently switch production to LWTP, because it is highly unlikely that the smaller Union producer would decide to reverse a business decision that resulted in increased profitability and because European SMEs that are active in the downstream industry will face limited availability of supply combined with unreasonable prices which will severely threaten their survival. Moreover, the measures would eliminate competition and entail a loss of employment for users.
(111) The above claims were rejected. The mere existence of few producers in the Union is irrelevant and, as pointed out in recital (115) of the provisional Regulation, there is no evidence on file of any anti-competitive practices. According to recital (131) of the provisional Regulation, there are several sources of supply in the Union. Additional alternatives exist: the Hansol Group's imports (at fair prices) and minor imports from other third countries. The claim on lack of competitive infrastructure is contradicted, inter alia, by the Hansol Group's submission dated 8 December 2016, which describes the Union industry as high-performing. As to the smaller Union producer, it is open to reverse to decision if there are better prospects for LWTP. As far as the downstream industry is concerned, it is considered that it will benefit from the Union industry's significant capacity (as stated in recital (73), the various sources of supply above-mentioned and from restored competition in the Union market.
(112) The Hansol Group also alleged that measures would be against the interest of consumers, who will be prevented from having access to reasonably priced LWTP. In the absence of any substantive evidence supporting this claim, this allegation was dismissed.
(113) The Hansol Group further alleged that measures would entail, on top of a flood of Chinese small rolls, the creation of new converting mills around the Union border with free access to raw material, thus the closure of many converters in the Union. In the absence of any substantive evidence supporting this claim, this allegation was dismissed.
(114) In the absence of any other comments regarding the interest of other interested parties, the conclusion set out in recitals (129) to (134) of the provisional Regulation were confirmed.
5.3.
Other arguments
(115) Hansol Group claimed that a select group of European businesses pursue an artificial increase of their profits by seeking the Commission to abuse the anti-dumping instrument.
(116) The above claim was not further substantiated. The Commission underlined that the investigation was conducted within the applicable legal framework with the highest standards for neutrality and transparency.
5.4.
Conclusion on Union interest
(117) In the absence of any other comments concerning the Union interest, the conclusion reached in recital (135) of the provisional Regulation was confirmed.
- DEFINITIVE ANTI-DUMPING MEASURES
6.1.
Injury elimination level
(118) Following provisional disclosure, no parties made comments on the target profit provisionally used for calculating underselling. No parties made comments on the target profit at definitive stage, either.
(119) The Hansol Group challenged the application by the Commission of Article 2(9) for the injury calculations, stating that Article 2(9) appears under the dumping provisions of the basic Regulation and could not be used by analogy for calculating the injury margin. The party contested that the calculation is largely based on adjusted sales transaction for small rolls, a different product not subject to the investigation. According to the Hansol Group, there is no point of competition between the sales of small rolls into the Union by its related converters and the sales of jumbo rolls by the Union industry and, by calculating the injury margin on the basis of sales prices of a product which is not the like product within the meaning of Article 1(4) of the basic Regulation, the Commission violated Article 3(3) of the basic Regulation. The party backed its point in terms of causal link by resorting to Article 3(6) of the Basic Regulation, the WTO Appellate Body Report China — GOES
Appellate Body Report, China — GOES, WT/DS414/AB/R, dated 18 October 2012, para. 128.
and the WTO Panel Report China — X-ray
Panel Report, China — X-ray, WT/DS425/R, dated 26 February 2013, para. 7.50.
.
(120) The purpose of calculating an injury margin is to determine whether imposing a lower duty rate (than the one based on the dumping margin) to the export price of the dumped imports would be sufficient to remove the injury caused by the dumped imports. This assessment should be based on the export price at the Union frontier level which is considered to be a level comparable to the Union industry ex-works price. In the case of export sales via related importers, by analogy with the approach followed for the dumping margin calculations, the export price was constructed on the basis of the resale price to the first independent customer duly adjusted pursuant to Article 2(9) of the basic Regulation. As the export price is an indispensable element in the injury margin calculation, and as this Article is the only Article in the basic Regulation which gives guidance on the construction of the export price, the application of this Article by analogy is justified.
(121) The Commission considered that the establishment of the relevant import price for undercutting and underselling calculations should not be influenced by the fact whether the exports are made to related or independent operators in the Union. The methodology followed by the Commission ensured that both circumstances receive equal treatment.
(122) The injury margin calculation should normally be based on a comparison of prices at the level where competition in the EU takes place. In this case, only a small portion of the export sales of the product concerned are done to unrelated customers in the EU. The vast majority of the sales of the product concerned are done to related converters in the Union which convert the products into small rolls. In these circumstances, most of the competition took place at the level of the related converters. By analogy with the dumping calculations, these sales prices could not be considered reliable for the purpose of an objective price comparison. Consequently, import prices for the product concerned had to be constructed. Section 2.2 above further develops the reasons why small rolls could not be ignored in the calculations and why, for certain transactions, it was necessary to construct export prices.
(123) To the extent the Commission confirmed its approach to consider small rolls for the purpose of the calculations, the references to Articles 3(3) and 3(6) of the basic Regulation, the WTO Appellate Body Report China — GOES and the WTO Panel Report China — X-ray are irrelevant.
(124) For the above reasons, the Commission considered that the approach followed was accurate and rejected the claims.
(125) In order to follow the same methodology as the dumping calculation, at definitive stage it was decided to calculate the injury margin by applying the same weighting as in Section 2.4.1 of this Regulation. This approach and the corrections explained in Section 2 above entailed a revision of the injury margin provisionally established.
(126) The definitive injury margin thus established amounted to 37,0 %.
6.2.
Form of the measures
(127) It is recalled that most sales of the Hansol Group are through related parties for conversion into small rolls. Following final disclosure, the Hansol Group contested the fact that the Commission had constructed the CIF price used as denominator for those sales (see recital (51) above). In this regard it submitted, inter alia, that the CIF price the Commission had provisionally used as a denominator in the dumping calculation for those sales would result in a duty amount higher than the amount of dumping found. To remedy this alleged distortion, the Hansol Group proposed that the Commission should apply an anti-dumping duty in the form of a specific amount per tonne instead of an ad valorem duty.
(128) The claim was duly analysed and in view of the specific circumstances of this case in relation to the determination of a reliable CIF price for these sales, the Commission concluded that it would be more appropriate to use a form of duty that does not require a reliable CIF price to be established. Therefore, the Commission decided that the anti-dumping duty should be imposed as a fixed amount per tonne in euro per tonne net instead of an ad valorem duty as provisionally imposed.
6.3.
Definitive measures
(129) Taking into account the issues mentioned in the section above, the anti-dumping duty rates, expressed on the CIF Union border price, customs duty unpaid, should be based on the dumping margin and be as follows:
CountryCompanyDefinitive dumping margin (%)Definitive injury margin (%)Definitive duty rate (%)Definitive fixed duty rate — EUR per tonneThe Republic of KoreaHansol Group (Hansol Paper Co., Ltd and Hansol Artone Paper Co., Ltd)10,337,010,3104,46All other companies10,337,010,3104,46
(130) Subsequent to the additional final disclosure, the Hansol Group submitted that the specific duty calculated and reported in the last column of the above table would reflect a dumping amount in excess of that found in the investigation. However, the calculation it had conducted to arrive at such conclusion was erroneous as it did not account for the weighting as described in recital (46) of the provisional Regulation and recital (49) above. The claim was therefore rejected.
(131) The individual company anti-dumping duty rates specified in this Regulation were established on the basis of the findings of the present investigation.
(132) As also explained in recital (50) of the provisional Regulation, the level of cooperation in this case was high, as the imports of the cooperating exporting producers constituted the total exports to the Union during the investigation period. Therefore, the residual anti-dumping duty was based at the level of the cooperating company.
(133) To ensure a proper enforcement of the anti-dumping duties, the anti-dumping duty for all other companies should apply not only to the non-cooperating exporting producers in this investigation, but also to the producers which did not have exports to the Union during the investigation period.
6.4.
Definitive collection of the provisional duties
(134) In view of the dumping margins found and given the level of the injury caused to the Union industry, the amounts secured by way of the provisional anti-dumping duty, imposed by the provisional Regulation, should be definitively collected. The amounts secured in excess of the definitive duty rate determined pursuant to Article 1(2) of this Regulation should be released.
(135) The Committee established by Article 15(1) of Regulation (EU) 2016/1036 did not deliver an opinion,
HAS ADOPTED THIS REGULATION:
Article 1
- A definitive anti-dumping duty is imposed on imports of certain lightweight thermal paper weighing 65 g/m2 or less; in rolls of a width of 20 cm or more, a weight of the roll (including the paper) of 50 kg or more and a diameter of the roll (including the paper) of 40 cm or more (jumbo rolls); with or without a base coat on one or both sides; coated with a thermos-sensitive substance on one or both sides; and with or without a top coat, originating in the Republic of Korea, currently falling within CN codes ex48099000, ex48119000, ex48169000 and ex48239085 (TARIC codes: 4809900010, 4811900010, 4816900010, 4823908520)
- The rate of the definitive anti-dumping duty applicable to the product described in paragraph 1 shall be a fixed amount of EUR 104,46 per tonne net.
- Unless otherwise specified, the provisions in force concerning customs duties shall apply.
Article 2
The amounts secured by way of the provisional anti-dumping duties pursuant to Implementing Regulation (EU) 2016/2005 shall be definitively collected. The amounts secured in excess of the rate of the duty contained in Article 1(2) above shall be released.
Article 3
This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union.
This Regulation shall be binding in its entirety and directly applicable in all Member States.
Done at Brussels, 2 May 2017.
For the Commission
The President
Jean-Claude Juncker
Metadata
- Type
- Forordning
- År
- 2017
- Ikrafttrædelsesdato
- 1. januar 1970