The European Commission is expected to recommend a continuation of the European Union's 48.5 percent anti-dumping duties on bicycles from China before a June 9 deadline for its decision on the issue; based on documents obtained by Bike Europe. It should also propose to the European Council that the duties be extended to bike companies that have been found to use or ship Chinese bike components from four other countries in order to evade the high duties.
The Commission's proposals are based on investigations that have been conducted to verify the complaints of the European Bicycle Manufacturers Association (EBMA). According to Bike Europe, they are also based on separate inquiries regarding the subsidization of the Chinese aluminum and steel markets.
Lower anti-dumping duties have been assessed for three Chinese companies – Ideal (Dongguan) Bike Co., Oyama Bicycles (Taicang) Co..and Zhejiang Baoguilai Vehicle Co. – that collaborated in the inquiries. Ideal is a Chinese subsidiary of the big Taiwanese company with the same name. Conversely, Giant China will have to pay the full duty because it refused to provide the necessary information
.
Indonesia, Malaysia, Sri Lanka and Tunisia are the four countries for which the European Commission is recommending the application of the 48.5 percent anti-dumping duties because of their transshipment of parts originating in China or their assembly of bicycles made with Chinese components. However, seven companies in these countries are being granted an exemption. They are P.T. Insera Sena, Wim Cycle and United Bike in Indonesia; Asiabike Industrial, BSH Ventures and Samson Bikes from Malaysia; and Euro Cycle in Tunisia.
