EU slaps interim duties on Chinese aluminium wheels

Gasgoo From Reuters

The European Union has imposed provisional anti-dumping duties of up to 20.6 percent on imports of aluminium vehicle wheels from China after a complaint of unfair competition from European manufacturers.

The European Commission, the executive arm of the 27-nation EU, said on Tuesday an investigation had revealed imports of Chinese aluminium wheels, used by car makers such as Renault and BMW, harmed European producers.

It said EU manufacturers had suffered a significant decrease in production and sales, and a loss of market share, as well as price depression due to cheaper imports from China.

"A provisional anti-dumping duty is hereby imposed on imports of aluminium road wheels ... originating in the People's Republic of China," the Commission said in the EU's official journal.

The Commission said imports of Chinese wheels had increased by 66 percent, from 3.7 million units in 2006 to 6.1 million units by June 2009, and its market share had nearly doubled from 6.3 percent in 2006 to 12.4 percent in 2009.

China's Ministry of Commerce denied the dumping charges when EU trade regulators launched the investigation in August last year, and said the investigation was not in line with World Trade Organization (WTO) rules.

Chinese officials had warned the investigation and duties imposed could raise the cost of repairs for customers, slow the recovery of the European auto sector and hurt the interests of both China and Europe.

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