China's energy-saving lamps two-line combat enterprises need to respond actively

China's energy-saving lamps companies are facing the difficult situation of "two-line warfare" in anti-dumping: half a month ago, the EU Council decided to impose another one-year anti-dumping duty on energy-saving light bulbs imported from China for compact energy-saving fluorescent lamps. At the end of August, India officially filed an anti-dumping case against China's energy-saving lamps.
In the interview, the reporter learned that many Chinese energy-saving lamps companies think that it is too difficult and costly to appeal the results of the EU Council, so they give up their appeals to the European Court and prepare for the anti-dumping investigation in India. Experts said that in the face of the anti-dumping war between the EU and India, China's energy-saving fluorescent lamps companies should not miss the opportunity to respond actively.

Renewal of anti-dumping duties: approved by the EU Council

The decision to extend the taxation has attracted strong criticism both inside and outside the EU. EU Trade Commissioner Mandelson has insisted on abolishing anti-dumping duties, but was opposed by Gent Felhojgen, member of the European Commission responsible for corporate and industrial affairs. The global environmental organization WWF (World Wide Fund for Nature) believes that the proposal is seriously inconsistent with the EU's goal of improving energy efficiency and curbing climate change. Dr. Mei Xinyu from the Research Institute of the Ministry of Commerce of China pointed out that the EU imposed a unified anti-dumping duty on the entire industry of China's energy-saving fluorescent lamps, which undoubtedly violates the provisions of the WTO Anti-Dumping Agreement. “The competent authority usually responds to every known exporter of the product under investigation or Producers determine their respective dumping margins."
More European importers have indicated that they will appeal to the European Court of Justice. According to reports, the head of the Italian lighting equipment manufacturer Tajti said that since 2003, the company has paid an additional US$5 million per year for the EU’s anti-dumping ruling on the product. The EU’s decision clearly violates relevant laws. Defects, so once the EU officially approves the extension of anti-dumping duties on compact energy-saving fluorescent lamps imported from China, the company will appeal to the European Court of Justice and file a claim.

Dealing with anti-dumping in India: avoiding Foshan lessons

In contrast, Chinese lighting companies have a harder time. They are not only facing the EU's extended taxation, but also facing India's anti-dumping investigations. This series of investigations and rulings have made them overwhelmed. Mr. Zhang, who is responsible for the customs declaration business of Guangdong Xuelaite Company, said: “The Indian anti-dumping investigation is particularly urgent, but we have previous experience in dealing with EU anti-dumping investigations, and we will consider how to respond positively.”
Lawyer Wang Lei, consultant of the WTO Affairs Center of Guangdong Province, said that according to the indictment of the Indian anti-dumping investigation, a temporary tax rate will be introduced within 150 days, and once the tax rate is determined, it will be implemented for five years. If a high tax rate is imposed, Chinese energy-saving lamps enterprises may lose. The head of the Policy and Regulation Department of the Foreign Trade and Economic Cooperation Bureau of Foshan City, India, told reporters that on May 17, 2000 and July 19, 2006, Foshan lighting companies had encountered EU anti-dumping investigations. A painful lesson. “At that time, the energy-saving lamp enterprises encountered anti-dumping investigations for the first time. The enterprises did not have relevant experience. As a result, Xiamen energy-saving lamps enterprises that had the effect of complaints obtained a zero-tax market position, while some enterprises in Foshan did not participate in the response, and the results were collected as high as 66%. Heavy taxes, which basically lost the European market," he said, "in view of the lessons of the last time, our anti-dumping investigation against India decided to respond early."
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