4
Fastener + Fixing
Dangerous to
Magazine
18 Alban Park,
Hatfield Road,
St Albans,
Hertfordshire,
get around
AL4 OJJ, UK
Tel: 0044 (0) 1727 739 150
Fax: 0044 (0) 1727 831 033
Publisher
Jeremy Ramsdale
So, anti-dumping is with us. It is hard not to be reminded of T.S. Eliot’s Phil Matten jerry@fastfair.net
line, “not with a bang but a whimper”. Certainly, with inventory levels Editor
high and market demand so depressed, it is going to be some time before all the implications, for
Phil Matten
better or ill, can be properly assessed.
phil@fastfair.net
What is profoundly disturbing, right now, is the torrent of offers from some Chinese suppliers to
Assistant Editor
circumvent anti-dumping measures – some incredibly blatant. Today, as I was preparing this column,
Will Lowry
will@fastfair.net
another was copied to me. It offered to tranship a container via Taiwan or Malaysia, where a “middle
Advertising Director
man will supply the certificate of origin”. The writer added “the EC will stop this channel soon” and made
Jamie Mitchell
a second proposition - to simply “change the description to other than fasteners or screws”. Of course,
jamie@fastfair.net
for a Chinese company there is no practical risk; they are not subject to European law. The importer that
Senior Advertising
consciously or even inadvertently, circumvents an anti-dumping regulation, though, most definitely is.
Executive
We tried to obtain from the European Commission some clarity over this issue but, frankly, failed – Harry Whyte
despite forwarding examples of what is going on. For those at the Commission responsible for enforcement,
harry@fastfair.net
of course, this problem is nothing new and must be a feature of virtually all anti-dumping cases. It is Advertising Executive
also understandable that they are not willing to disclose details of detection strategies. Nevertheless, it
Claire Lake
is disappointing not to receive at least some help in highlighting the very real risks of the situation. UK
claire@fastfair.net
Customs were more helpful and told us “The normal provision for determining origin for ADD purposes
Production Manager
Gemma Edwards
(non-preferential origin) is Article 24 of the Community Customs Code (EC Regulation 2913/92), which
production@fastfair.net
states that: “Goods whose production involved more than one country shall be deemed to originate in the
country where they underwent their last, substantial, economically justified processing or working in an Fastener + Fixing Magazine
undertaking equipped for that purpose and resulting in the manufacture of a new product or representing
is a dedicated, trade-only
publication which is
an important stage of manufacture.”
circulated freely throughout
In its guide on anti-dumping tariffs UK Customs also notes: “In recent years there have been several
the European trade.
investigations by OLAF (European Commission’s Anti-Fraud Unit) relating to allegations that a number of
Disclaimer
existing measures were being circumvented by simply moving the goods and shipping them to the EC
The Publisher cannot be held
from a neighbouring country (and claiming that country as the country of origin). The main area of recent
responsible or, in any way,
liable for errors or omissions,
concern has been South East Asia.
during input or printing of any
Those investigations established that in a number of cases the goods concerned did not in fact originate material supplied or contained
in the declared country of origin, but in another country in which ADD does apply. Large duty demands
herein although the utmost
care is taken to ensure that
were therefore issued throughout the European Community for the ADD underpaid. As with any other
information contained is
customs duty, EC legislation allows for the collection of any back ADD payable for a period of up to three accurate and up to date. The
years after the goods have been imported.”
Publisher also cannot be held
liable for any claims made by
So, no question, transhipment via a third country, where only the document changes, is circumvention.
advertisers or in contributions
There is a grey area, which we are simply not qualified to consider, about what constitutes sufficient
from individuals or companies
processing to result in a new product. Certainly, we can find no official credence for any of the percentage
submitted for inclusion within
this publication.
changes in value that have been bandied about in relation to fasteners, as demonstrating an acceptable
The opinions expressed are not
level of product change. Making any assumption in this respect, therefore, appears inherently dangerous.
necessarily those of the
Editor or Fastener Fairs Limited.
Given the high level of duty involved and current trading conditions, these offers are obviously tempting
– indeed, some companies have said, “what are we supposed to do? If our competitor does it they gain a Copyright
huge advantage in these tough times.” True, but that is no justification for breaking the law. The reality is
Entire contents copyright
© Fastener Fairs Limited
that, for the importer, the business consequences of detection are potentially catastrophic and that jeopardy
No part of this publication may
continues – and accumulates – for three years.
be reproduced, stored in a
One of the core objectives of anti-dumping measures is supposed to be to re-establish a level playing
retrieval system, or transmitted
in any form or by any means
field. I do not believe for one minute that the Commission’s enforcement agency is indifferent or that
without the prior permission of
the individual Customs authorities lack the systematic capability of detecting circumvention. In the case
the publisher.
of fasteners, though, there is real need for those authorities to quickly make clear their commitment to
Annual subscription (6 issues)
preventing an activity that, far from levelling, runs the risk of seriously distorting the market. to non-trade and outside EU is
£80/€120/$160
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