HTML PUBLIC "-//W3C//DTD HTML 4.01 Transitional//EN"L 261/2
EN
Official Journal of the European Union
6.10.2011
REGULATIONS
COUNCIL IMPLEMENTING REGULATION (EU) No 990/2011
of 3 October 2011
imposing a definitive anti-dumping duty on imports of bicycles originating in the People’s Republic
of China following an expiry review pursuant to Article 11(2) of Regulation (EC) No 1225/2009
THE COUNCIL OF THE EUROPEAN UNION,
(2) Following
an
expiry
review
pursuant
to
Article
11(2)
of
the basic Regulation, the Council, by Regulation (EC)
No 1524/2000 ( 5 ), decided that the abovementioned
measures should be maintained.
Having regard to the Treaty on the Functioning of the European
Union,
(3) Following
an
interim
review
pursuant
to
Article
11(3)
of
the basic Regulation (the ‘previous investigation’), the
Having regard to Council Regulation (EC) No 1225/2009 of
Council, by Regulation (EC) No 1095/2005 ( 6 ), decided
30 November 2009 on protection against dumped imports
to increase the anti-dumping duty in force to 48,5 %.
from countries not members of the European Community ( 1 )
(the ‘basic Regulation’), and in particular Article 9(4) and
Article 11(2), (5) and (6) thereof,
2. Present investigation
(4) On
13
July
2010,
the
Commission
announced
by
a
notice (‘Notice of initiation’) ( 7 ), published in the Official
Having regard to the proposal submitted by the European
Journal of the European Union, the initiation of an expiry
Commission (the ‘Commission’) after consulting the Advisory
review of the anti-dumping measures applicable to
Committee,
imports of bicycles originating in the PRC.
Whereas:
(5) The
review
was
initiated
following
a
substantiated
request
lodged by the European Bicycles Manufacturers
Association (EBMA, the ‘applicant’) on behalf of Union
producers representing a major proportion, in this case
A. PROCEDURE
more than 25 %, of the Union production of bicycles.
1. Measures in force
(1) By
Regulation
(EEC)
No
2474/93
( 2 ) the Council imposed
(6)
The request was based on the grounds that the expiry of
a definitive anti-dumping duty of 30,6 % on imports of
the measures would be likely to result in a continuation
bicycles originating in the People’s Republic of China (the
of dumping and recurrence of injury to the Union
‘original measures’). Following an anti-circumvention
industry.
investigation in accordance with Article 13 of the basic
Regulation, this duty was extended by Council Regulation
(EC) No 71/97 ( 3 ) to imports of certain bicycles parts
3. Parties concerned by the investigation
originating in the People’s Republic of China (‘PRC’). In
addition, it was decided to create an ‘exemption scheme’
(7) The
Commission
officially
advised
the
applicant,
the
on the basis of Article 13(2) of the basic Regulation. The
Union producers mentioned in the request, any other
details of the scheme were provided for in Commission
known Union producers, the exporting producers,
Regulation (EC) No 88/97 ( 4 ). In order to receive an
importers as well as the associations known to be
exemption from the extended duty, bicycle producers
concerned and the authorities of the PRC, of the
in the Union have to respect the conditions of
initiation of the investigation.
Article 13(2) of the basic Regulation, namely to respect
a ratio of less than 60 % of Chinese bicycle parts in their
operation or the addition of more than 25 % value to all
parts brought into the operation. To date, more than 250
(8) Interested
parties
were
given
an
opportunity
to
make
exemptions have been granted.
their views known in writing and to request a hearing
within the time limits set in the Notice of initiation.
( 1 ) OJ L 343, 22.12.2009, p. 51.
( 2 ) OJ L 228, 9.9.1993, p. 1.
( 5 ) OJ L 175, 14.7.2000, p. 39.
( 3 ) OJ L 16, 18.1.1997, p. 55.
( 6 ) OJ L 183, 14.7.2005, p. 1.
( 4 ) OJ L 17, 21.2.1997, p. 17.
( 7 ) OJ C 188, 13.7.2010, p. 5.

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EN
6.10.2011 Official
Journal
of
the
European
Union L
261/3
(9) A
number
of
Union
producers
represented
by
the (17) The
Commission
sought
and
verified
all
information
it
applicant, other cooperating Union producers, exporting
deemed necessary for the purpose of determining the
producers, importers, and user associations made their
likelihood of continuation or recurrence of dumping
views known.
and injury to the Union interest. Information submitted
by the following companies was verified on spot:
(10) All
interested
parties
who
so
requested
and
showed
that
(a) Producers in the Union
there were particular reasons why they should be heard
were granted a hearing.
— Accell Group NV, Heerenveen, the Netherlands,
4. Sampling
— Decathlon SA, Villeneuve d’Ascq, France,
(11) In view of the large number of exporting producers,
— Cycleurope Industries S.A.S., Romilly sur Seine,
Union producers and importers involved in the investi
France,
gation, sampling was envisaged in the Notice of
initiation, in accordance with Article 17 of the basic
— Denver S.R.L., Dronero, Italy,
Regulation.
— Derby Cycle Werke GmbH, Cloppenburg,
Germany,
(12) In order to enable the Commission to decide whether
sampling would be necessary and, if so, to select a
sample, exporting producers and representatives acting
— MIFA Mitteldeutsche Fahrradwerke AG, Sanger
on their behalf, Union producers and importers were
hausen, Germany,
requested to make themselves known and to provide
information as specified in the Notice of initiation. The
— Sprick Rowery Sp.zo.o., wiebodzin, Poland, and
Commission also contacted known associations of
Sprick Cycle GmbH, Gütersloh, Germany,
exporting producers and the relevant authorities of the
PRC. These parties raised no objections to the use of
— UAB Baltik Vairas and UAB Baltic Bicycle Trade,
sampling.
iauliai, Lithuania, and Pantherwerke AG and
Onyx Cycle GmbH, Lhne, Germany.
(13) In total, 7 exporters/producers, around 100 Union
(b) Exporting producers in the PRC
producers and 4 importers provided the requested
information within the time limits set.
— Oyama Bicycles (Taicang) Co., China,
(14) Given
that
only
seven
Chinese
producers
replied
to
the
— Tianjin Golden Wheel Bicycle (Group) Co. Ltd,
sampling information requested in the Notice of
China.
initiation, it was decided not to apply sampling. Ques
tionnaires were sent to these seven companies, only three
(18) The
investigation
of
dumping
and
injury
covered
the
RIP.
of which submitted replies. Of these three companies,
The examination of trends in the context of the analysis
only two reported exports of the product concerned to
of injury covered the period from January 2007 to the
the Union during the period from 1 April 2009 to
end of the RIP (the ‘period considered’).
31 March 2010 (the ‘review investigation period’ or
‘RIP’).
B. PRODUCT CONCERNED AND LIKE PRODUCT
(19) The
product
concerned
is
the
same
as
that
covered
by
(15) As for the Union producers, in accordance with
Regulation (EC) No 1524/2000, namely bicycles and
Article 17(1) of the basic Regulation, the sample was
other cycles (including delivery tricycles, but excluding
selected after consultation with the relevant association
unicycles), not motorised, currently falling within CN
and with their consent on the basis of the largest repre
codes ex 8712 00 10, 8712 00 30 and ex 8712 00 80.
sentative volume of sales and production within the
Union. As a result, eight Union producers were selected
(20) As
in
the
previous
investigation,
the
bicycles
were
clas
in the sample. The Commission sent questionnaires to
sified in the following categories:
the eight companies selected, which submitted complete
replies.
— (A) ATB (all-terrain bicycles including mountain
bicycles 24″ or 26″),
(16) Given
the
limited
number
of
importers
who
replied
and
indicated their willingness to cooperate (four importers),
— (B) trekking/city/hybrid/VTC/touring bicycles 26″ or
it was decided that sampling was not necessary as regard
28″,
importers. The Commission sent questionnaires to the
four importers. Subsequently, only one importer sent a
— (C) junior action (BMX) and children’s bicycles 16″ or
reply to the questionnaire, but this reply was incomplete
20″,
as the importer was involved in the process of closing
down its operations.
— (D) other bicycles/cycles (excluding unicycles).

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L 261/4
EN
Official Journal of the European Union
6.10.2011
(21) All
types
of
bicycles
as
defined
above
have
the
same
However, for one of them it was not possible to verify
basic physical and technical characteristics. Furthermore,
information given in the questionnaire reply as the
they are sold through similar distribution channels such
company failed to provide documents that would
as specialised retailers, sport chains and mass
substantiate the data which it had submitted. The other
merchandisers on the Union market. The basic appli
company cooperated satisfactorily, but its exports to the
cation and use of bicycles being identical, they are
Union during the RIP represent less than 5 % of the total
largely interchangeable and models from different
exports of the product concerned from the PRC to the
categories therefore compete with each other. On this
Union.
basis, it was concluded that all the categories form one
single product.
(28) On the basis of the above, the Chinese authorities and
the three companies were notified of the possibility that
(22) The
investigation
also
showed
that
bicycles
produced
and
Article 18 of the basic Regulation might be applied due
sold by the Union industry on the Union market, those
to a low level of cooperation by the exporting producers
produced and sold on the analogue country market and
and were given an opportunity to present their
those imported into the Union market originating in the
comments. The Commission did not receive any
PRC have the same basic physical and technical char
comments in response to this communication.
acteristics and the same basic uses.
Consequently, conclusions regarding the likelihood of
continuation or recurrence of dumping below are based
on facts available in accordance with Article 18 of the
(23) After
disclosure,
one
party
alleged
that
there
was
little
or
basic Regulation, namely trade statistics and submissions
no competition between the Chinese bicycles and the
by interested parties, including the request.
bicycles produced in the Union market. However, there
was no information in the file that could have supported
such a claim and no documentary evidence was
submitted in support to this claim. In this context, it is
2. Dumping of Chinese imports during the RIP
also noted that, as mentioned below in recital 26, the
cooperation of the Chinese exporting producers was very
2.1. Analogue country
low and they provided very limited information
(29) In
the
Notice
of
initiation,
it
was
envisaged
to
use
Mexico
concerning the products produced and sold by the
as an analogue country for the purpose of establishing a
Chinese producers to the Union market. Therefore, and
normal value for the PRC. Interested parties were invited
in the absence of any more reliable information, the
to comment on the appropriateness of this choice.
claim was rejected.
(24) Bicycles
produced
and
sold
by
the
Union
industry
on
the
(30) One
party
commented
on
the
appropriateness
of
the
Union market, those produced and sold on the analogue
selection of Mexico as the analogue country, claiming
country market and those imported into the Union
that domestic prices of bicycles in Mexico are not
market originating in the PRC are, therefore, considered
reliable and are unsuitable for the purpose of this inves
to be alike within the meaning of Article 1(4) of the
tigation. India was proposed as an alternative. This claim
basic Regulation.
was, however, not substantiated and, therefore, rejected.
C. LIKELIHOOD OF A CONTINUATION OR A
(31) Mexico
was
used
as
an
analogue
country
in
the
previous
RECURRENCE OF DUMPING
investigations and no new or changed circumstances
which would justify a change were proven to exist. The
1. Preliminary remarks
Mexican market profile for the product concerned,
number of operators, domestic competition and the
(25) In
accordance
with
Article
11(2)
of
the
basic
Regulation,
it was examined whether dumping was likely to continue
features of production process confirmed that Mexico
or recur upon a possible expiry of the measures in force.
was still an appropriate analogue country.

(26) The
level
of
cooperation
in
this
proceeding
was
very
low
(32) Questionnaires
were
sent
to
three
Mexican
companies.
Of
since its initiation. As indicated in recital 14, only three
the three companies, only one wished to cooperate and
Chinese producers submitted questionnaire replies and
submitted a questionnaire reply.
were willing to cooperate initially. Of these three
companies, only two reported exports of the product
concerned to the Union during the RIP, representing
together less than 10 % of the total exports of the
2.2. Normal value
product concerned to the Union.
(33) Domestic
sale
prices
from
the
analogue
country
were
used to establish an average normal value, using the
average currency rate for the RIP between euro and
(27) Verification
visits
were
carried
out
at
the
premises
of
the
Peso in order to obtain a weighted average ex-works
two companies with exports sales to the Union.
price in euro.

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6.10.2011 Official
Journal
of
the
European
Union L
261/5
2.3. Export price
terms, the largest in the world. The PRC has a production
capacity of 100 to 110 million bicycles and a production
(34) Due to the application of Article 18 and to the absence
of about 80 million bicycles per year. The Chinese
of other reliable information available, export prices were
bicycles industry is export oriented: out of an annual
mainly established on the basis of Eurostat data and on
production of 80 million bicycles, 25 million bicycles
information provided by the only Chinese cooperating
are for the domestic market and the remaining
exporter.
55 million bicycles, or 69 % of total production, is for
export.
(35) During
the
previous
investigation,
it
was
concluded
that
the prices found in Eurostat were inconclusive for the
purpose of the analysis ( 1 ). However, due to the low
(41) The estimated annual spare capacity in the PRC is about
cooperation from the Chinese exporters, the Commission
20 to 30 million bicycles, which is more than double the
considered the import prices of Eurostat for the PRC as a
present production in the Union as stated in recital 66.
reasonable source for the purpose of the current investi
Moreover, information obtained during the investigation
gation. Nonetheless, the Commission is aware of the
shows that the production capacity in the PRC for
limitations of this analysis and that it can only serve as
bicycles can be easily increased, inter alia, through the
an indicator of price trends.
employment of additional workforce, in case of an
increased demand.
(36) The
export
price
derived
from
Eurostat
is
a
CIF
price,
which had to be adjusted for the average cost of sea
freight per transaction in order to calculate an ex-
(42) Therefore,
in
view
of
the
above,
it
cannot
be
excluded
works level. Information contained in the reply of the
that spare capacity available in the PRC could be used to
sole cooperating Chinese producer was used to establish
increase exports to the Union in the absence of anti-
the average sea freight cost per unit, calculated at EUR
dumping measures.
8,30. The ex-works export price to the Union of the only
Chinese cooperating company was established on a
similar basis. The resulting unit price was then used to
(43) After
disclosure, one party argued that the Chinese
calculate a weighted average Chinese ex-works price.
production capacity mentioned in the Regulation was
unfounded and based on pure speculation. In this
2.4. Comparison
respect, it is reminded that the cooperation from the

Chinese exporting producers was very low and that to
(37) Pursuant
to
Article
2(11)
of
the
basic
Regulation,
the
a large extent findings had to be based on the facts
weighted average normal value from Mexico was
available. In this case, and as mentioned above in
compared to the weighted average Chinese export price
recital 40, in the absence of any other more reliable
on an ex-works basis. A weighted average dumping
information, the Commission used the prima facie
margin was thus established.
evidence submitted in the request. The investigation did
not bring into light any information that would have
suggested that such prima facie evidence was inaccurate.
2.5. Dumping margin
The party in question did also not submit any
information or evidence that would have shown
(38) The dumping calculations showed a countrywide
substantially different levels of spare capacity in PRC.
dumping margin of more than 20 %. This level should,
This claim was therefore rejected.
however, be considered as conservative due to the fact
that the Eurostat data does not take into account the
substantial price differences among the various types of
the product concerned. It should be noted in this context
3.3. Attractiveness of the Union market and export prices to
that according to information submitted in the request,
third countries
dumping margins reached levels of more than 100 %.
(44) Data from Eurostat and from the request show that the
Union constitutes an attractive market for the Chinese
3. Development of imports should measures be
exporting producers.
repealed
3.1. Preliminary remark
(45) Price
information provided by the only cooperating
(39) The
likely
development
of
the
imports
from
the
PRC
was
Chinese exporting company show that the weighted
analysed in terms of both expected price trends and
average ex-works export prices of the product
volume.
regarding third countries is lower than the average ex-
works sales prices in the Union for the RIP. Taking the
production capacity in the PRC and the demand in the
3.2. Spare capacity of the Chinese exporting producers
Union market into consideration, it would be quite likely
that Chinese manufacturers would immediately increase
(40) Based
on information submitted in the request, the
their exports of bicycles to the Union, should the
Chinese bicycles manufacturing industry is, in volume
measures be repealed. Moreover, the existing overcapacity
gives the Chinese manufacturers the possibility to be
( 1 ) OJ L 183, 14.7.2005, p. 20.
present on the European market at very low prices.

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Official Journal of the European Union
6.10.2011
3.4. Conclusion of the likelihood of continuation of dumping
is benefiting from the exemption scheme which was
described in recital 1 above.
(46) In view of the fact that even considering the measures
currently in force, a conservative comparison using
Eurostat figures and information submitted by the only
(49) All
available
information,
including
information
provided
Chinese cooperating exporter showed a dumping margin
in the request, data collected from Union producers and
of over 20 % for Chinese exports during the RIP, it is
national associations before and after the initiation of the
very likely that dumping will continue in the absence of
investigation, as well as general production statistics was
measures.
used in order to establish total Union production.
(47) The foregoing analysis demonstrated that Chinese
imports continued to enter the Union market at
2. Consumption in the Union market
dumped prices. Given most notably the spare capacity
(50) The Union producers’ sales were assessed on the basis of
available in the PRC, which can easily be increased
data collected from producers in the reply to the
even more if needed, as well as the analysis of the
sampling forms and data reported in the request lodged
price levels in the Union and other third countries, it
by the applicant. The data in the request was collected
can be concluded that there is a likelihood of
from various bicycle-manufacturing associations in the
continuation of dumping, should measures be removed.
Union.
D. SITUATION ON THE UNION MARKET
(51) The
apparent
Union
consumption
was
established
on
the
1. Union production and Union industry
basis of the sales of all Union producers on the Union
market, as estimated in recital 68, plus imports from all
(48) In
the
course
of
the
present
investigation
it
was
found
countries, as reported by Eurostat.
that bicycles have been manufactured by around 100
Union producers which made themselves known in the
investigation plus other producers, most of which are
(52) Between 2007 and the RIP, Union consumption
represented by their national associations. These
decreased by 11 % from 22 912 066 units in the year
companies constitute the Union industry within the
2007 to 20 336 813 units during the RIP. Consumption
meaning of Article 4(1) of the basic Regulation.
fell in particular between 2008 and 2009. Detailed data,
Furthermore, the investigation showed that the industry
expressed in units, are as follows:
Table 1 – Consumption
2007 2008 2009 RIP
Volume (units)
+ Total imports 10
073
428 10
017
551 8
973
969 9
202
752
+ Union production sold on the
12 838 638 12
441
446 11
604
072 11
134
061
Union market
= Consumption 22
912
066 22
458
997 20
578
041 20
336
813
Index (2007 = 100) 100 98 90 89
3. Volume and market share of dumped imports from the PRC
(53) The volume of imports of the product concerned was established on the basis of statistical
information provided by Eurostat. The volume of dumped imports of the product concerned orig
inating in the PRC decreased by 38 % over the period considered to 615 920 units during the RIP
(see Table 2). The imports of the product concerned from the PRC at the beginning of the period
considered was 26 % higher than that imported during the RIP of the previous investigation (1 April
2003 to 31 March 2004: 733 901 units ( 1 )). The largest drop in the imports of the product
concerned occurred between 2008 and 2009, which is in line with what occurred in total Union
consumption (see Tables 1 and 2).
(54) Since the imports from the PRC fell more than the consumption during the period considered, the
market share of the PRC dropped slightly from 4,4 % in 2007 to 3,1 % in the RIP.
( 1 ) OJ L 183, 14.7.2005, p. 19.

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6.10.2011 Official
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of
the
European
Union L
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(55) The developments of imports and market share of bicycles originating in the PRC during the period
considered is shown in the following table:
Table 2 – Imports from PRC
2007 2008 2009 RIP
Volume of imports from the country
986 514 941
522 598
565 615
920
concerned (units)
Index (2007 = 100) 100 95 61 62
Market share of imports from the
4,4 % 4,3
% 3,0
% 3,1
%
country concerned
4. Prices of the imports concerned
4.1. Evolution of prices
(56) As explained in recital 35 the Commission considered the imports prices of Eurostat for the PRC as a
reasonable source for the purpose of the current investigation.
(57) According to Eurostat data, the weighted average import prices, hereafter indicated by index, from the
PRC increased by 125 % between the year 2007 and the RIP. The import prices rose significantly in
2009 and then remained almost constant. Detailed data is shown in the following table:
Table 3 – Prices of the imports concerned
2007 2008 2009 RIP
PRC
Index (2007 = 100) 100 128 224 225
4.2. Price undercutting
(58) For the determination of the price undercutting of bicycles originating in the PRC, the Commission
based its analysis on the information submitted in the course of the investigation by the sampled
Union producers and the average prices from Eurostat. The relevant sales prices of the Union industry
were those to independent customers, which were adjusted when necessary to ex-works level. The
comparison showed that after deduction of the anti-dumping duty, imports from the PRC were
undercutting the prices of the Union industry by 53 %.
5. Imports from other countries
(59) Based on Eurostat data, imports from other third countries decreased from 9 087 000 units in 2007
to 8 587 000 units in the RIP; an overall decrease of 6 %. They followed the decreasing trend of
Union consumption (– 11 %), but at a slower pace. The market share of third countries increased
from 40 % to 42 % during the period considered. However, as stated in recital 35 and 56, the prices
in Eurostat do not take into consideration the various product mixes from each country and therefore
only indexes are used to indicate the price trends. Since the product mix of the imports from other
third countries is unknown, it is not meaningful to compare prices of the imports below with those
of the Union industry. Nevertheless, some additional information was sought and obtained regarding
imports from those countries that account for most other imports of bicycles. Detailed data is shown
below:

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Table 4 – Imports from other countries
2007 2008 2009 RIP
All Types Units
′000 Market
share Price
EUR/unit Units
′000 Market
share Price
EUR/unit Units
′000 Market
share Price
EUR/unit Units
′000 Market
share Price
EUR/unit
Taiwan 3
186 14
% 3
428 15
% 2
949 14
% 2
958 15
%
EN

Indexed 100 100 100 108 110 104 93 103 125 93 105 125
Thailand 1
534 7
% 1
522 7
% 1
384 7
% 1
397 7
%
Indexed 100 100 100 99 101 107 90 100 127 91 103 127
Philippines 690 3
% 437 2
% 449 2
% 476 2
%
Indexed 100 100 100 63 65 105 65 73 106 69 78 103
Off
icial
Malaysia 475 2
% 361 2
% 193 1
% 265 1
%
Jour
Indexed 100 100 100 76 77 106 41 45 116 56 63 99
nal
of
Sri Lanka 574 3
% 749 3
% 1
017 5
% 1
101 5
%
the
European
Indexed 100 100 100 131 133 107 177 197 108 192 216 107
Tunisia 550 2
% 527 2
% 530 3
% 495 2
%
Union
Indexed 100 100 100 96 98 105 96 107 113 90 101 113
Others 2
078 9
% 2
052 9
% 1
854 9
% 1
895 9
%
Indexed 100 100 100 99 101 110 89 99 131 91 103 127
TOTAL 9
087 40
% 9
076 40
% 8
375 41
% 8
587 42
%
Indexed 100 100 100 100 102 109 92 103 125 94 106 122
6.10.2011

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6.10.2011 Official
Journal
of
the
European
Union L
261/9
(1) Taiwan
circumvention practices via Sri Lanka should not be
taken into consideration in the final conclusions. In
(60) The
imports
from
Taiwan
have
decreased
during
the
reply to this claim, it should be underlined that, as
period considered from 3 158 600 units in 2007 to
clearly expressed in recital 62 above, the Commission
2 958 000 units in the RIP and their market share
did not draw any conclusion on this issue.
slightly increased from 14 % to 15 % during the same
period. Imports of bicycles from Taiwan are aimed at the
high-end market. During the investigation it has been
6. Economic situation of the Union industry
demonstrated, applying model comparison, that imports
from Taiwan are sold at a higher price than the similar
6.1. Preliminary remarks
models produced by the Union industry, as in the
previous investigation period ( 1 ). In addition, during the
(64) Pursuant
to
Article
3(5)
of
the
basic
Regulation,
the
period considered, the price of the imports had an
Commission examined all relevant economic factors
increasing trend, registering an increase of 25 % in the
and indices having a bearing on the state of the Union
RIP as compared to 2007.
industry.
(2) Thailand
(65) As
explained
above,
considering
the
large
number
of
complainant Union producers, the provisions on
(61) Imports
originating
in
Thailand
have
decreased
during
sampling had to be used. For the purpose of the injury
the period considered from 1 534 000 units in 2007
analysis, the injury indicators have been established as
to 1 397 000 units during the RIP. The decline of the
follows:
imports was in line with the consumption trend as their
market share remained constant at 7 %. However, the
imports of bicycles from Thailand are mid-range
— The macroeconomic elements (production capacity,
bicycles and the investigation showed that applying
sales volume, market share, employment, produc
model comparison, the imports from Thailand are sold
tivity, growth, magnitude of dumping margins and
at a higher price than the similar models produced by the
recovery from the effects of past dumping) were
Union industry. In addition, during the period
assessed at the level of the whole Union production,
considered, the price of the imports had an increasing
on the basis of the information collected from the
trend, registering an increase of 27 % in the RIP as
national Union producers associations and individual
compared to 2007.
companies. These factors were cross-checked, where
possible, with the overall information provided by the
(3) Sri Lanka
relevant official statistics.
(62) The
imports
from
Sri
Lanka
almost
doubled
during
the
period considered from 574 000 units in 2007 to
— The analysis of microeconomic elements (stocks, sales
1 101 000 units during the RIP and their market share
prices, cash flow, profitability, return on investments,
reached 5 % at the end of the period considered. It has,
ability to raise capital, investments and wages) was
however, been alleged by one party that the Chinese
carried out for the individual companies, i.e. at the
exporters are circumventing the anti-dumping duties by
level of those Union producers which were included
means of transhipment via Sri Lanka. At this moment in
in the sample.
time, the Commission does not have sufficient
information to draw any conclusion in respect of the
situation of these imports. In these circumstances, it
6.2. Macroeconomic indicators
cannot be excluded that imports reported as originating
from Sri Lanka are contributing to the injury suffered by
(a) Production, production capacity and capacity utilisation
the Union industry.
(66) The
Union
industry’s
production
slightly
decreased
each
year during the period considered. By the end of RIP, the
(63) After
disclosure,
one
interested
party
claimed
that
the
production decreased by 11 % compared to 2007 in line
conclusions on a possible circumvention via Sri Lanka
with the consumption trend. The detailed data is shown
were only a conjecture and any allegation concerning
in Table 5:
Table 5 – Total Union production
2007 2008 2009 RIP
Volume (units)
Production 13
813
966 13
541
244 12
778
305 12
267
037
Index (2007 = 100) 100 98 93 89
( 1 ) OJ L 183, 14.7.2005, p. 30.

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(67) Production
capacity
increased
slightly
by
2
%
between
2007
and
the
RIP.
As
production
decreased,
the resulting capacity utilisation showed an overall decrease of 13 % between 2007 and the RIP,
reaching an 81 % capacity utilisation during the RIP. Detailed data is shown below:
Table 6 – Production capacity and capacity utilisation
2007 2008 2009 RIP
Volume (units)
Production capacity 14
785
000 15
804
000 15
660
000 15
118
000
Index (2007 = 100) 100 107 106 102
Capacity utilisation 93
% 86
% 82
% 81
%
Index (2007 = 100) 100 92 87 87
(b) Sales volume
(68) The sales volume of the Union industry on the Union market to unrelated customers decreased by
13 % between 2007 and the RIP. This development is in line with the general trend of decreasing
consumption on the Union market. Detailed data is shown below:
Table 7 – Sales to unrelated customers
2007 2008 2009 RIP
Volume (units) 12
838
638 12
441
446 11
604
072 11
134
061
Index (2007 = 100) 100 97 90 87
(c) Market share
(69) The
market
share
held
by
the
Union
industry
slightly
fluctuated
between
2007
and
the
RIP.
Overall,
there has been a decrease of 1,3 percentage points during the period considered. Detailed data is
shown below:
Table 8 – Union market share
2007 2008 2009 RIP
Union market share 56,0
% 55,4
% 56,4
% 54,7
%
Index (2007 = 100) 100 99 101 98
(d) Employment and productivity
(70) Employment decreased by 9 % during the period considered from 14 925 employees in 2007 to
13 646 during the RIP.
(71) The
productivity
slightly
increased
in
2008
as
compared
to
2007,
but
then
it
declined.
Overall,
the
productivity slightly decreased by 3 % during the period considered. Detailed data is shown below:
Table 9 – Total Union employment and productivity
2007 2008 2009 RIP
Number of employees 14
925 14
197 14
147 13
646
Index (2007 = 100) 100 95 95 91
Productivity (units/year) 926 954 903 899
Index (2007 = 100) 100 103 98 97

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261/11
(e) Growth
(72) Overall,
it
should
be
noted
that
the
market
share
of
all
Union
producers
slightly
decreased
by
1,3
percentage points, while the level of consumption decreased by 11 %, which indicates clearly that
they have not been able to grow.
(f) Magnitude of dumping margin
(73) Dumping from the PRC continued during the RIP. As explained in recital 34, the dumping calcu
lation is based on average prices from Eurostat due to the low cooperation from the Chinese
exporters. As stated in recital 35, the average prices from Eurostat contains limited information
concerning the product mix which is of significant importance for the calculation of the dumping
margin; nevertheless, given the spare capacity from the PRC, the impact on the Union industry of the
actual margins of dumping cannot be considered to be negligible.
(g) Recovery from past dumping
(74) It was analysed whether the Union industry recovered from the effects of past dumping. It was
concluded that the expected recovery of the Union industry from the effects of past dumping has not
happened to the extent anticipated as shown, in particular, by the persistently low profitability and a
decrease in the capacity utilisation.
6.3. Microeconomic Indicators
(h) Stocks
(75) One
producer
could
not
provide
consistent
information
regarding
stocks
for
the
period
considered
due to its current internal structure. Accordingly, data from this company had to be excluded when
carrying out the analysis of stocks for the period considered.
(76) Stocks
of
bicycles
increased
over
the
analysis
period
from
880
935
units
in
2007
to
1
091
516
units
in the RIP, an increase of 24 %. Detailed data is shown below:
Table 10 – Stocks
2007 2008 2009 RIP
Volume (units)
Closing stocks 880
935 1
132
612 818
276 1
091
516
Index (2007 = 100) 100 129 93 124
(i) Sales prices and costs
(77) Average ex-works sales prices of the Union industry to unrelated customers in the Union followed a
slightly increasing trend over the period considered. Overall, the Union industry increased its prices
by 9 % between 2007 and the RIP in line with the increase of the cost of production, as explained in
recital 79.
Table 11 – Unit price Union market
2007 2008 2009 RIP
Unit price of Union sales (EUR per
163 170 176 178
unit)
Index (2007 = 100) 100 104 108 109
(78) The cost of production was calculated on the basis of the weighted average of all types of the like
product produced by the sampled producers.
(79) The cost of production throughout the period increased by 9 %. This increase is mainly due to a
change in the mix of the products. Detailed data is shown below:

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L 261/12
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Official Journal of the European Union
6.10.2011
Table 12 – Unit cost of production
2007 2008 2009 RIP
Unit cost of production (EUR per
165 169 180 180
unit)
Index (2007 = 100) 100 102 109 109
(80) After
disclosure,
one
party
alleged
that
the
increasing
cost
of
production
took
place
against
a
back
ground of significant reductions in some raw material costs, namely steel and aluminium, which
would suggest that the injury suffered was self-inflicted. However, this allegation was not
substantiated by sufficient evidence. Indeed, the party provided only data showing, in very general
terms, the price evolution of aluminium and steel during the period under consideration, but did not
show to what extent these developments should have impacted the overall cost of production of
bicycles. In addition, this argument was only raised after disclosure, i.e. at an advanced stage of the
proceeding, and it was, therefore, not verifiable anymore. Therefore, the allegation was rejected.
(j) Profitability
(81) The overall profitability of the sampled producers in respect of the product concerned during the first
year of the period considered was negative (– 1,7 %). In 2008, the Union producers became
profitable. However, in 2009 and in the RIP, the industry was again loss-making.
(82) The above trend indicates that the industry is in a fragile situation as compared to the previous
investigation when the Union industry profitability was 3,6 % during the RIP.
Table 13 – Profitability
2007 2008 2009 RIP
Profitability Union sales –
1,7
% 0,6
% –
2,2
% –
1,1
%
Index (2007 = 100) –
100 33 –
129 –
68
(83) After
disclosure,
it
was
alleged
without
providing,
however,
any
supporting
documentary
evidence,
that the Union industry had failed to improve its efficiency and performance. To the contrary, the
investigation has shown that the Union industry has done evident efforts to adjust to the price
pressure coming from dumped imports by relocating the production facilities within the Union and,
thus, to increase cost effectiveness, as stated in recital 85 below. Therefore, these allegations have
been rejected.
(k) Return on investment
(84) Investment in the business of the product concerned significantly decreased during the period
considered, from EUR 21 491 000 in 2007 to EUR 11 738 000 during the RIP. This can be
explained in large part by the economic crisis which began in 2008 and reached its deepest point
during the RIP when access to new capital was ever more difficult and sales’ forecasts were pessi
mistic.
(85) It
should
be
noted
that
a
sizeable
part
of
investments
has
been
done
in
order
to
increase
the
efficiency of the manufacturing process and keep up-to-date with the latest technologies. In this
process, some of the production capacity has been shifted from western European countries to
eastern European countries, expanding the production base over almost all Member States and
showing the Union industry’s vitality and efforts to remain competitive.
Table 14 – Investments and Return on Investment
2007 2008 2009 RIP
Investments (EUR ′000) 21
491 21
743 10
701 11
738
Index (2007 = 100) 100 101 50 55
Return on investment –
16
% 5
% –
20
% –
10
%

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(86) One producer was not able to provide consistent information on net production of fixed assets for
the period considered for the calculation of the return on investment due to its internal structure.
Accordingly, data from this company had to be excluded when carrying out the analysis of return on
investment for the period considered.
(87) Return on investment followed the profitability trend. In 2007 the sampled Union producers
registered a negative return on investment of 16 % which slightly increased to a negative 10 %
during the RIP.
(l) Cash flow and ability to raise capital
(88) One
producer
was
not
able
to
provide
consistent
information
on
cash
flow
for
the
period
considered
due to its structure which made it impossible to estimate the cash flow for only a bicycle part out of
its total activity. Accordingly, data from this company had to be excluded when carrying out the
analysis of the cash flow for the period considered.
(89) The cash flow, which is the ability of the industry to self-finance its activities, remained positive
during the period under investigation. However, between 2007 and the RIP, it decreased by around
33 %. Detailed data is shown below:
Table 15 – Cash flow
2007 2008 2009 RIP
Cash flow (EUR ′000) 19
981 20
767 19
261 13
350
Index (2007 = 100) 100 104 96 67
(90) The sampled producers raise capital either internally when they belong to a group of companies or
by bank loans. In other cases, cash flow generated by the company is used as a source of financing.
None of the sampled producers have shown any significant difficulties to raise capital.
(m) Wages
(91) During the period considered, the wage cost per employee increased by 11 %. This reflects a shift of
production to slightly more sophisticated products.
Table 16 – Wages
2007 2008 2009 RIP
Wage cost per employee (EUR) 20
239 20
880 22
499 22
541
Index (2007 = 100) 100 103 111 111
(92) After
disclosure,
it
was
alleged
that
the
wage
cost
per
existence of the measures maintaining a stable market
employee was increasing while, at the same time, the
share. However, the Union production decreased and
demand slumped, which would indicate that the injury
profit margin remained insufficient. Any possibility for
was self-inflicted. Indeed, as shown in the table above,
further growth and profits has been undermined by the
the wage cost per employee increased by 11 % during the
price and volume pressure of dumped imports.
period considered. However, as explained in recital 70,
the number of employees decreased by 9
%.
(94) As
shown
in
recital
53,
volumes
of
imports
from
the
Consequently, the total wage cost increased by only
PRC decreased between 2007 and the RIP. However,
2 %. Therefore, the overall impact on the profitability
the biggest drop of the volume of imports was
of the Union industry was found to be very small.
between 2008 and 2009 when the import prices from
the PRC increased significantly. Nevertheless, as the inves
7. Conclusion on injury
tigation showed and as explained in recital 58, this
increase in price was still not enough to allow the
(93) The
existing
anti-dumping
measures
have
clearly
had
an
industry to improve its situation. Indeed, the imports
effect on the situation of the Union industry. Indeed, the
from the PRC were undercutting the prices of the
latter has managed, to some extent, to benefit from the
Union industry by 53 %.

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(95) The
industry
is
clearly
in
a
fragile
situation,
as
it
is
loss-
consumption trend. The market share of imports from
making. Almost all injury indicators relating to the
other countries increased from 40 % in 2007 to 42 % in
financial performance of the Union producers – such
the RIP. Their average imports price had an increasing
as profitability, return on investments and cash flow –
trend by 6 % between 2007 and the RIP. The main
deteriorated during the period considered. Consequently,
countries from which the product concerned was
it cannot be concluded that the situation of the Union
imported were Taiwan, Thailand and Sri Lanka.
industry is secure. Moreover, this situation could have
been further exacerbated by the pressure of the
possibly circumventing imports.
(101) The market share of imports from Taiwan slightly
increased over the period considered (from 14 % to
15 %). However, the available information indicates
(96) On
this
basis,
it
is
concluded
that
the
Union
industry,
as
that, as explained in recital 60, the imports from
a whole, remains in a vulnerable economic situation and
Taiwan are competing under fair conditions with the
has continued to suffer material injury within the
Union produced bicycles.
meaning of Article 3 of the basic Regulation.
8. Impact of dumped imports and other factors
(102) The market share of imports from Thailand remained
constant over the period considered. As explained in
8.1. Impact of the dumped imports
recital 61, the available information indicates that
during the RIP these imports were sold at a competitive
(97) In parallel to the shrinking consumption in the Union,
price with similar bicycles produced in the Union.
the market share of Chinese imports slightly decreased
from 4,4 % to 3,1 % (see recital 53). As mentioned in
recital 58 above, based on a calculation excluding the
anti-dumping duty, the Chinese imports undercut the
(103) Imports originating in Sri Lanka have increased by 92 %
Union industry prices by 53 % during the RIP. It is
during the period considered. Their market share during
recalled that the duty rate amounts to 48,5
%.
the RIP was 5 %. However, as explained in recital 62, the
Consequently, the level of undercutting demonstrates
imports from Sri Lanka are alleged to include Chinese
on the one hand the effectiveness of the duties in
origin bicycles.
place, and on the other hand the necessity to continue
the measures. This conclusion is reinforced by the fact
that the undercutting found was at the same level as in
the last review investigation. Hence, the injurious price
(104) In conclusion, among the biggest exporters of bicycles to
impact of dumped imports from the PRC on the Union
the Union, the imports from Taiwan and Thailand could
industry remained significant and, as explained above in
not have a negative impact on the situation of the Union
recital 58, it is likely to continue.
industry mainly because of their price levels (similar to or
even higher than that of the Union industry prices). In
contrast, it cannot be excluded that imports reported as
originating from Sri Lanka are contributing to the injury
8.2. Impact of the economic crisis
suffered by the Union industry.
(98) Due
to the negative economic conditions prevailing
during the RIP, the consumption of bicycles decreased.
Production and employment also decreased to follow the
8.4. Circumvention
consumption trend. As the bicycle industry does not
have high fixed costs, the decline in production did not
(105) It has been alleged with evidence that the Chinese
have an impact on the profitability of the Union bicycles
exporters are continuously circumventing the measures
industry.
through imports via several countries and these imports
cause injury to the Union industry. Taking into account
the evidence of circumvention discovered by the
(99) After
disclosure,
it
was
alleged
that
the
Union
industry
European Anti-Fraud Office (‘OLAF’) in the past, most
created additional production capacity when the Union
specifically for imports via Philippines, it cannot be
consumption was declining which had a negative impact
excluded that such illegal behaviour still occurs on the
on the Union industry’s situation. This statement is in
market and that it causes injury to the Union industry.
contradiction with the development of consumption and
capacity as described in recitals 52 and 67 above. Indeed,
consumption mainly decreased between 2008 and 2009,
E.
while the production capacity had already increased 1
LIKELIHOOD OF CONTINUATION OF INJURY
year before, namely in 2007 and 2008. Consequently,
1. Preliminary remarks
this allegation was rejected.
(106) As described in recitals 66 to 91, the imposition of anti-
dumping measures allowed the Union industry to recover
8.3. Imports from other countries
from the injury suffered, but only to some extent. During
the period considered, the Union industry appeared in a
(100) As explained in recital 59, the volume of imports from
fragile and vulnerable situation, still exposed to the
other third countries decreased by 6 % in line with the
injurious effect of the dumped imports from the PRC.

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(107) In accordance with Article 11(2) of the basic Regulation,
4. Circumvention allegations
imports from the country concerned were assessed in
order to establish if there was a likelihood of
(113) As explained in recital 105, it has been alleged with
continuation of injury.
evidence that the Chinese exporters are continuously
circumventing the measures through imports via several
countries. This is further confirmed by OLAF in the Phil
2. Chinese export volumes
ippines case. This type of behaviour shows the high
interest of the Chinese exporters for the attractive
(108) As mentioned in recital 40, the Chinese bicycles industry
Union market.
is export oriented. The Chinese bicycles are present on
the main markets worldwide, particularly in the USA and
Japan, where they have a dominant position. As
5. Conclusion
mentioned in a previous investigation ( 1 ), at the end of
the nineties, after a 2-year absence from the US market
(114) The Union industry had been suffering from the effects
following the imposition of anti-dumping duties, the
of the Chinese dumped imports for several years and is
Chinese exporting producers managed to significantly
still currently in a fragile economic situation.
increase their presence on that market in a very short
period of time. In 2009, the exports of Chinese bicycles
to the USA were in the range of 14 055 000 units, out
(115) As shown above, the Union industry managed to recover
of a total consumption of 14 888 000 units.
from the Chinese dumping practice thanks to the anti-
dumping measures in force. During the RIP, however, it
found itself in a difficult economic situation. In this
(109) This situation shows that the Chinese producers are able
context, should the Union industry be exposed to
to quickly export and penetrate new markets and to
increased volumes of dumped low-priced imports from
maintain a dominant position for a long period of time.
the country concerned, this would be likely to result in a
further deterioration of its sales, market share and sales
(110) After disclosure, one party claimed that should measures
prices, as well as a further deterioration of its financial
be allowed to lapse there would not be a substantial
situation.
increase of imports of Chinese bicycles because Chinese
exporters faced difficulties in complying with the
European bicycle safety standards (EN 14764, EN
(116) In addition, as stated in recital 58 above, it was also
14765, EN 14766 and EN 14781). However, this alle
found that the fact that the sales prices of Chinese
gation was not substantiated by any documentary
producers undercut those of the Union industry on
evidence. To the contrary, the investigation has shown
average by 53 % appears to indicate that in the absence
that a significant proportion of bicycles and bicycle parts
of measures, Chinese exporting producers are likely to
are already imported from the PRC complying with the
export the product concerned to the Union market at
necessary safety standards. There was, therefore, no
prices considerably lower than those of the Union
reason to believe that Chinese producers are not able
industry.
to comply with the safety standards in force for
bicycles. This claim was, therefore, rejected.
(117) In view of the findings made during the investigation,
namely the spare capacity in the PRC, the export oriented
3. Spare capacity in the PRC market
characteristic of the Chinese industry and the past
behaviour of the Chinese exporters on foreign markets,
(111) As described in recital 41, data collected during the
any repeal of the measures would point to a likelihood of
investigation showed that there is a significant spare
continuation of injury.
capacity available in the PRC. Clear indications were
found pointing to the conclusion that a large part of
this spare capacity could be used to increase exports to
(118) Finally, as referred to in recitals 105 and 113, the
the Union in the absence of anti-dumping measures. This
circumvention is strongly underpinning the conclusion
is confirmed in particular because there are no indi
of the likelihood of the continuation of injury. It
cations that third country markets or the Chinese
constitutes clear evidence that the Union market
domestic market could absorb any additional production
continues to be an attractive market for the Chinese
from the PRC.
producers who would likely direct higher volumes of
exports into the Union in the absence of the anti-
dumping measures.
(112) In addition, after disclosure, it was alleged that the
increase of Chinese labour costs would severely restrict
the increase of Chinese production capacity. In this
regard it is noted that, as mentioned in recital 26, the
F. UNION INTEREST
cooperation of the Chinese exporting producers was very
1. Introduction
low and figures relating to labour cost and capacity in
the PRC have not been provided. In addition, the party
(119) In accordance with Article 21 of the basic Regulation, it
concerned did not submit any evidence to support its
has been examined whether, despite the conclusion on
claim. Therefore, this claim had to be rejected.
injurious dumping, it could be clearly concluded that it
would not be in the Union interest to maintain the anti-
( 1 ) OJ L 175, 14.7.2000, p. 49.
dumping measures against imports from the PRC.

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(120) It should be recalled that in the previous investigations,
3. Interest of users
the adoption of measures was considered not to be
against the Union interest. Furthermore, the fact that
(127) The present investigation is supported by the European
the present investigation is a review, thus analysing a
Cyclists’ Federation (ECF), an umbrella federation of the
situation in which anti-dumping measures have already
national cyclists’ associations in Europe.
been in place, allows the assessment of any undue
negative impact on the parties concerned by the
current anti-dumping measures.
(128) ECF argues that Europe is the most important market for
modern cycling products with high standards in quality
(121) The determination of the Union interest was based on an
and safety and that an inflow of products from the PRC
appreciation of the various interests involved, i.e. those of
would lessen those standards. In addition, ECF states that
the Union industry, importers and users.
there is an enormous potential for growth of the bicycles
industry within the Union’s economy, which would be
jeopardised if anti-dumping duties are terminated.
2. Interest of the Union industry
(122) The Union bicycle industry has shown that it is viable
and competitive if fair market conditions prevail.
(129) It is recalled that in the previous investigations, it was
However, the investigation showed that the industry is
found that the impact of the imposition of measures
still in a weak situation with a financial result close to
would not be significant for the users. Despite the
break-even. Therefore, effective competitive conditions
existence of measures, importers/users in the Union
need to be maintained on the Union market.
were able to continue to source their supply, inter alia,
from the PRC. No indications were brought forward
whether there have been difficulties in finding other
(123) Furthermore, considering that new bicycle models are
sources. It is therefore concluded that the maintenance
developed by the industry in the Union to a large
of the anti-dumping measures is not likely to have a
extent, they would also fully benefit from such devel
serious effect on users in the Union.
opments, in terms of sales volumes and prices, if the
pressure of dumped imports is kept under control by
measures.
4. Interest of suppliers
(124) It is considered that the continuation of measures would
(130) The Association of the Bicycles Parts Producers
benefit the Union industry which should then be able to
(COLIPED) made itself known during the investigation.
maintain and possibly increase sales volumes and,
COLIPED argued that in the Union there are about 300
probably, sales prices thereby generating the necessary
factories which are supplying components to the bicycle
return level which would enable it to continue to
producers which employ about 7 300 people and that
invest in new technology.
the further existence of the supplier industry was
therefore inevitably depending on the continuation of
the bicycles production in Europe. In this respect, it
(125) By contrast, if measures on imports from the PRC were
was found that without the existence of the measures,
to lapse, further trade distortions are likely to occur,
it is to be expected that further closures of bicycles
which would inevitably lead to a halt in the recovery
production in Europe will occur, which would have
process of the Union industry. Considering the spare
negative consequences for the Union parts industry and
production capacity of the PRC, the past behaviour of
would jeopardise employment in the supplier industry. It
the Chinese exporters on foreign markets, it is clear that
is therefore concluded that the imposition of anti-
if measures were to lapse, it would be very difficult, if
dumping measures would be in the interest of the
not impossible, for the Union industry to recover and
suppliers.
even to maintain its position. Otherwise, the injurious
situation of the Union industry is likely to further
deteriorate, which may lead to a further reduction of
production capacity in the Union and closure of several
5. Interest of importers
producing companies. It is therefore concluded that anti-
dumping measures are in the interest of the Union
(131) Only one questionnaire reply was received from the
industry.
unrelated importers concerning the imports from the
PRC but this questionnaire was incomplete as the
company was preparing to cease its operations for undis
(126) In view of the conclusions on the situation of the Union
closed reasons.
industry as set out in recitals 93 to 96 above, and
pursuant to the arguments relating to the analysis on
the likelihood of continuation of injury as explained in
recitals 106 to 117, it can also be considered that the
(132) It should be noted first of all that in view of the low level
Union industry would be likely to experience a serious
of cooperation of importers, it was impossible to make a
deterioration of its financial situation in case the anti-
proper full assessment of the possible effects of
dumping duties were allowed to expire.
imposition or non-imposition of measures. It

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Union L
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should also be recalled that the purpose of the anti-
well as an exemption scheme which allows this industry
dumping measures is not to prevent imports, but to
to use Chinese bicycle parts free of anti-circumvention
restore fair trade and ensure that imports are not made
duties provided that specific conditions are met.
at injuriously dumped prices. As fairly priced imports will
still be allowed to enter into the Union market, and as
imports from third countries will also continue, it is
(138) The current expiry review has confirmed the complexity
likely that the traditional business of importers will not
of the bicycle sector and its close interconnection with
be substantially affected. It is also clear that the Union
the sector of bicycle parts. It showed that the Union
producers have sufficient capacity to supply a possible
industry of bicycles is using to a large extent, as shown
increase in demand of bicycles. Moreover, as seen from
in recital 1, the exemption scheme for imports of bicycle
the table in recital 59, imports from other third countries
parts. It is therefore important that the functioning of the
indicate that there is a substantial capacity to produce
measures is regularly re-examined. On these grounds,
bicycles in these countries. It is therefore highly unlikely
consideration was given to whether the measures
that a shortage of bicycles would occur.
should be limited to 3 years.
(133) As fairly priced imports will still be allowed to enter into
(139) After disclosure, several Union producers and their
the Union market, it is likely that the traditional business
associations argued that measures should be extended
of the importers will continue even if anti-dumping
for 5 years. The parties mainly argued that the bicycle
measures against dumped imports are maintained on
producers were ready to make investments in the
the PRC. The low cooperation by unrelated importers,
production of bicycle parts in order to reduce their
and the fact that after the imposition of measures on
dependence on imports of Chinese bicycle parts, but a
the PRC the investigation could not gather any
period of 3 years was not sufficient to obtain a positive
evidence of importers experiencing particular difficulties,
return on such investments.
further underscores this conclusion.
(140) In this respect, the argument that several parties have
6. Conclusion
made or intend to make investments in the bicycles or
the bicycle parts sector is not relevant when assessing the
(134) The continuation of measures on imports of bicycles
need and the duration of anti-dumping measures in the
originating in the PRC would clearly be in the interest
context of an expiry review. Indeed, the latter can only
of the Union industry, the consumers and in the interest
be based on the determination that the expiry of the
of the Union suppliers of bicycle parts. It will allow the
measures would be likely to lead to the continuation
Union industry to grow and improve its situation in a
or recurrence of dumping and injury.
restored fair competition. Furthermore, the importers will
not be substantially affected since fairly priced bicycles
will still be available in the market. In contrast, if
measures are not imposed, Union producers of bicycles
(141) As already explained in recital 137 above, it is recalled
will likely go out of business, thus also threatening the
that since the initial imposition of measures in 1993 and
existence of Union suppliers of bicycle parts.
their extension to bicycle parts in 1997, the situation of
bicycles production in the Union changed significantly as
more than 250 exemptions have been granted.
Furthermore, measures on bicycles are directly linked to
(135) In view of the above, it is concluded that there are no
the measures extended to bicycle parts and to the
compelling reasons not to impose anti-dumping duties
exemption scheme system created. In view of this, the
against imports of bicycles originating in the PRC.
conclusion that the measures would warrant re-exam
ination as established above on recital 138 still applies.
In this respect, the Council notes that the Commission
G. DEFINITIVE ANTI-DUMPING MEASURES
has the possibility to initiate ex officio an interim review
covering dumping, injury as well as the exemption
(136) In the light of the foregoing, the anti-dumping measures
scheme aspects pursuant to Article 11(3) of the basic
on bicycles should be maintained. In accordance with
Regulation.
Article 11(2) of the basic Regulation the extension of
the measures following an expiry review would
normally apply for 5 years, unless there are specific
(142) On these grounds, and in view of the fact that the period
grounds or circumstances which call for a shorter
of measures would be, in any event, an issue in any
period of time.
review, it is premature to assess in the framework of
the current expiry review whether there are specific
grounds or circumstances which call for a period of
(137) In this context, it should be noted that the present
time different from the normal period of 5 years as
proceeding is characterised by particular circumstances
specified in Article 11(2) of the basic Regulation. It is
as referred to in recitals 1 and 48, which should also
considered, therefore, that the measures should be
be adequately reflected in the duration of the anti-
prolonged for a period of 5 years. This is without
dumping measures. In substance, the Union industry is
prejudice to the fact that the duration of the current
benefiting from an atypical set of measures which
anti-dumping measures may be revisited in a subsequent
combine both ad valorem duties on finished bicycles as
full interim review, if any, depending on the findings.

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L 261/18
EN
Official Journal of the European Union
6.10.2011
H. FINAL PROVISIONS
but excluding unicycles), not motorised, currently falling within
CN codes ex
8712
00
10 (TARIC code 8712
00
10
90),
(143) All parties were informed of the essential facts and
8712 00 30 and ex 8712 00 80 (TARIC code 8712 00 80 90)
considerations on the basis of which it was intended to
and originating in the People’s Republic of China.
recommend that the existing measures be maintained.
They were also granted a period to submit comments
subsequent to that disclosure. The submissions and
2. The
rate
of
the
definitive
anti-dumping
duty
applicable
to
comments were duly taken into consideration where
the net free-at-Union-frontier price, before duty, for the
warranted.
products described in paragraph 1 shall be 48,5 %.
(144) It follows from the above that the anti-dumping duties
should be maintained for 5 years,
3. Unless
otherwise
specified,
the
provisions
in
force
concerning customs duties shall apply.
HAS ADOPTED THIS REGULATION:
Article 1
Article 2
1. A
definitive
anti-dumping
duty
is
hereby
imposed
on
This Regulation shall enter into force on the day following its
imports of bicycles and other cycles (including delivery tricycles,
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 Luxembourg, 3 October 2011.
For the Council
The President
J. FEDAK

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