No L 264/4 m Official Journal of the European Communities 27. 9. 90 COUNCIL REGULATION (EEC) No 2736/90 of 24 September 1990 imposing a definitive anti-dumping duty on imports of tungstic oxide and tungstic acid originating in the People’s Republic of China and definitively collecting the provisional duty THE COUNCIL OF THE EUROPEAN COMMUNITIES, Having regard to the Tréaty establishing the European Economic Community, Having regard to Council Regulation (EEC) No 2423/88 of 11 July 1988 on protection against dumped or subsi- dized imports from countries not members of the Euro- pean Economic Community ('), and in particular Article 12 thereof, Having regard to the proposal presented by the Commis- sion after consultation within the Advisory Committee as provided for in that Regulation, Whereas : (1) @ A. Provisional measures Commission Regulation (EEC) imposed 'a provisional anti-dumping duty on imports of tungstic oxide and tungstic acid origina- ting in the People’s Republic of China and falling within CN code ex 2825 90 40. Regulation (EEC) ‘No 2126/90 (°) extended this duty for a period not exceeding two months. B. Subsequent procedure Following the imposition of the provisional anti- dumping duty, the China Chamber of Commerce of Metals, Minerals and Chemicals Importers and Exporters, hereinafter referred to as ‘the China Chamber of Commerce’, acting on behalf of two Chinese exporters, China National Non-Ferrous Metals Import and Export Corporation (CNIEC) and China National Metals Import and Export Corporation (Minmetals), requested and was granted a hearing by the Commission. The Commission informed the China Chamber of Commerce of the essential facts and considerations on which it intended to base a recommendation to impose definitive anti-dumping duties and definiti- vely collect amounts secured by way of a pro- visional duty. The China Chamber of Commerce and the Chinese exporters were also granted a period within which to submit further comments. () OJ No L 209, 2. 8. 1988, p. 1. () OJ No L 83, 30: 3. 1990, p. 29. () OJ No L 195, 26. 7. 1990, p. 1. No 762/90 () 4) ) (6) ) ) The Commission considered all the comments made before formulating its final conclusions;, which have been confirmed by the Council. This investigation was not concluded within the one-year period specified in Article 7 (9) (a) of " Regulation (EEC) No 2423/88 owing to the dura- tion of consultations within the Advisory Committee prior to the imposition of provisional measures. C. Dumping In order to establish that imports of tungstic oxide and tungstic acid from China were being dumped, the Commission had to take account of the fact that China does not have a market economy and it accordingly based its calculations on the normal value of the products in a country with a market economy ; to this end, the Commission had used information gathered at the premises of a South Korean producer of intermediate tungsten products, Korea Tungsten Mining Co. Ltd (KTMC), which had agreed to cooperate with the Commis- sion during this investigation. Since KTMC did not sell any of the product in question on its domestic or export markets during the investigation period, although it had manufac- tured the product as an intermediate stage in its _production of tungsten metal powder, the Commis- sion determined normal value on the basis of the constructed value, calculated by adding together the cost of production of tungstic oxide and a reason- able profit margin. The cost of production included selling, adminis- trative and other general expenses, calculated, in the absence of date on other producers or exporters in the country of origin, by reference to sales of tungsten metal powder by KTMC on its domestic market during the reference period. The China Chamber of Commerce asserted that, as a totally integrated company. KTMC’s sales costs were higher than those incurred by companies like the Chinese exporters, which sold directly to inde- pendent distributors or processors. On these grounds, the China Chamber of Commerce disputed the method used by the Commission to determine the amount of general expenses to be included in production costs.