China's wheel makers oppose EU probe

03/09/2009 12:00 - 622 Views

The latest on the European Union's anti-dumping investigation on Chinese aluminum alloy wheel hubs Friday marked the expiry date for the Chinese manufacturers involved in the case, to complete their sample questionnaires for the investigation.

Wheel makers say the EU charges are groundless and there NO winners will arise from the situation.

As China's biggest alloy wheel hub maker, CITIC Dicastal Wheel Manufacturing Company has been affected the most by the EU's probe.

The questionnaire is the first step for the Hubei-based company to face the anti-dumping investigation.

The firm says Chinese manufacturers have never damaged the interests of their European counterparts and the EU's charges are groundless.

Geng Xiaojun, Vice GM CITIC Dicastal Wheel Manufacturing Co., said, "Figures from both China and Europe show China's aluminum alloy wheel hubs only account for less than 8 percent of the EU market. We couldn't cause any damages to related industries in Europe, nor have we dumped products. Meanwhile, competition among Chinese alloy wheel makers is fierce. We are all eager to seek higher profits. No one will sell products lower than cost price."

Geng Xiaojun says the measures against Chinese fastener producers failed to comply with WTO rules.

In mid-August, the European Commission officially announced it was launching an anti-dumping investigation into Chinese exports of aluminum alloy wheel hub products.

It involved more than 60 Chinese companies and was expected to cause 390 million US dollars in losses to exporters. Once the judgment is made, the EU may levy tariffs of up to 33 percent on Chinese aluminum alloy hubs for five years.

The vice general manager says this means Chinese manufacturers may thoroughly retreat from the European market. And this will not only blow the related Chinese industries and cause job cuts, but will also increase the cost to European auto makers and consumers.

Editor: Zhang Pengfei | Source: CCTV.com

2009-08-29 10:41 BJT

Source: english.cctv.com
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