EU backs duties on imports of e-bikes from China - EU sources (updated)

Giant Manufacturing Co

18/12/2018 11:12

(Updates with details of case)
    By Philip Blenkinsop
    BRUSSELS, Dec 18 (Reuters) - EU governments voted on Tuesday
to impose duties on Chinese electric bicycles to curb cheap
imports that European producers say benefit from unfair
subsidies and are flooding the market, EU sources familiar with
the case said.
    The European Commission, which is investigating on behalf of
the 28 EU members, has proposed that definitive or final tariffs
of between 18.8 and 79.3 percent should apply for all e-bikes
coming from China.
    The anti-dumping and anti-subsidy duties are the latest in a
series of EU measures against Chinese exports ranging from solar
panels to steel, which have sparked strong words from Beijing.
    Unlike the United States, the European Union has not
launched a trade war against China, but it shares U.S. concerns
about forced technology transfers and Chinese state subsidies.
    The electric bicycle imports are already subject to the
duties set on a provisional basis in July.  urn:newsml:reuters.com:*:nL8N1UE4XS
Definitive duties typically apply for five years.     
    Taiwan's Giant  9921.TW , one of the world's largest bicycle
makers, which has factories in China as well as in the
Netherlands, would be subject to a rate of 24.8 percent.
    The Commission found Chinese exports of e-bikes to the
European Union more than tripled from 2014 until September 2017.
Their market share rose to 35 percent, while their average
prices fell by 11 percent.
    It has also said Chinese producers benefit from controlled
aluminium prices as well as advantageous financing and land
rights conditions and tax breaks.
    EU producers include Dutch groups Accell  ACCG.AS  and
Gazelle, Romania's Eurosport DHS and Germany's Derby Cycle
Holding.

 (Reporting by Philip Blenkinsop, editing by Robin Emmott)
 ((philip.blenkinsop@thomsonreuters.com; +32 2 287 6838; Reuters
Messaging: philip.blenkinsop.thomsonreuters.com@reuters.net))