Chinese truck tyres: EC proposes revised anti-dumping duties
Thanks to an internal document sent to EU member states and national tyre trade associations, we now have a clearer idea about what form the European Commission’s final anti-dumping measures against Chinese truck and bus tyres may take. The Commission favours a system of fixed, per-tyre duties similar to the preliminary duties introduced in May; the silver lining for Chinese tyre makers is that it has recommended these duties be reduced.
When preliminary anti-dumping duties were announced in May the highest per-tyre duty, applicable to products from Xingyuan Tire Group and “all other companies,” was 82.17 euros per tyre; the Commission now proposes a top rate of 55.96 euros per tyre, a 32 per cent reduction. Other manufacturers also fare well under the Commission’s proposals.
Hankook should pay just 43.86 euros instead of 52.85 euros for every tyre it imports from China; admittedly, the company says the duties are irrelevant as it no longer imports truck and bus tyres from China, having shifted production to other locations in anticipation of coming duties. The proposed rate applicable to Giti Tire has dropped from 57.42 euros to 47.51 euros per tyre. A sizable reduction has been proposed for the Aeolus group and Pirelli, and if adopted it will see its tyres charged at a rate of 44.94 euros per unit instead of 64.13 euros.
All other “cooperating companies” would pay 47.13 euros per tyre instead of the 62.79 euros charged under the preliminary duties. Duties would thus range from 43.86 euros to 55.96 euros rather than the preliminary duties of 52.85 euros to 82.17 euros per tyre.
The proposed rates have been set out in a General Disclosure Document and do not represent the Commission’s final decision on the matter. Affected parties now have the opportunity to respond to the proposals. That said, the document may be interpreted as confirmation of the European Commission’s intentions. We will know for sure in November at the latest.
Governorship aspirant of the Peoples Democratic Party (PDP) in Oyo state, Mr Seyi Makinde has accused the Oyo state government under the administration of Governor Abiola Ajimobi of reckless management of the financial resources of the state and enrichment of few government officials and their friends.
In a statement signed recently by his media aide, Mr Dotun Oyelade, Makinde said the state government misappropriated state funds in all sectors of government especially in health, education and agriculture.
In education, Makinde questioned last week’s announcement of the award of N5.7billion contract to renovate schools in the state, with some schools billed for completion on April 30.
Makinde called for explanations on how the state government would expend N5.7 billion on the renovation in 15 days.
He described the three model schools set to be commissioned as inadequate to address school infrastructure deficit, insufficiently motivated and inadequate teachers.
In health, Makinde said, in spite of N116 billion debt, hospitals remained pitiably underfunded, lacking in drugs, equipment, manpower and in a state of disrepair.
“Part of government propaganda to hoodwink unsuspecting members of the public was the announcement last week that N5.7bn contract has been awarded to renovate schools in the state and that a substantial part of the renovation will be completed before the resumption of schools on April 30.
“We want the government to explain how a large chunk of almost N6bn will be expended on the renovation in 15 days. The impression is being given that this arrangement is not only graft inclined but it is money that is already misappropriated,” the statement said.