COMMISSION IMPLEMENTING REGULATION (EU) 2021/2239
of 15 December 2021
imposing a definitive anti-dumping duty on imports of certain utility scale steel wind towers originating in the People’s Republic of China
1.
PROCEDURE
1.1.
Initiation
1.2.
Interested parties and comments on initiation
1.3.
Sampling
1.3.1.
Sampling of Union producers
1.3.2.
Sampling of importers
1.3.3.
Sampling of exporting producers in China
1.4.
Individual examination
1.5.
Replies to questionnaires
1.6.
Investigation period and period considered
1.7.
Non-imposition of provisional measures
1.8.
Subsequent procedure
2.
PRODUCT CONCERNED AND LIKE PRODUCT
2.1.
Product concerned
2.2.
Like product
2.3.
Claims regarding the product scope
3.
DUMPING
3.1.
Procedure for the determination of the normal value under Article 2(6a) of the basic Regulation
3.2.
Normal value
3.2.1.
Existence of significant distortions
3.2.2.
Representative country
3.2.2.1.
General remarks
3.2.2.2.
A level of economic development similar to the PRC
3.2.2.3.
Production of the product under investigation
3.2.2.4.
Availability of relevant public data in the representative country
(a) Financial information
(b) Distortions concerning factors of production
3.2.2.5.
Level of social and environmental protection
3.2.2.6.
Conclusion
3.2.2.7.
Sources used to establish undistorted costs
3.2.3.
Undistorted costs and benchmarks
3.2.3.1.
Factors of production
Factor of Production |
Commodity Code in Mexico |
Undistorted value (CNY) |
Unit of measurement |
||||||
Raw materials |
|||||||||
Steel plates of a thickness exceeding 10 mm Flat-rolled products of iron or non-alloy steel, of a width of 600 mm or more, hot-rolled, not clad, plated or coated; other, not in coils, not further worked than hot-rolled; Of a thickness exceeding 10 mm;
|
7208 51 01 7208 51 02 |
6,54 |
KG |
||||||
Steel plated of a thickness of 4.75 mm or more but not exceeding 10 mm Flat-rolled products of iron or non-alloy steel, of a width of 600 mm or more, hot-rolled, not clad, plated or coated; Other, not in coils, not further worked than hot-rolled; Of a thickness of 4.75 mm or more but not exceeding 10 mm |
7208 52 01 |
6,44 |
KG |
||||||
Steel plates of a thickness of less than 3 mm Flat-rolled products of iron or non-alloy steel, of a width of 600 mm or more, hot-rolled, not clad, plated or coated; Other, in coils, not further worked than hot-rolled, pickled; Of a thickness of less than 3 mm |
7208 27 01 |
6,36 |
KG |
||||||
Flanges Articles of iron or steel; Tube or pipe fittings (for example, couplings, elbows, sleeves), of iron or steel; Other; Flanges |
7307 91 01 |
52,93 |
KG |
||||||
Epoxy zinc-rich paint, dispersed or dissolved in a non-aqueous medium |
3208 90 99 |
50,49 |
KG |
||||||
Epoxy zinc-rich paint, dispersed or dissolved in an aqueous medium |
3209 90 99 |
22,53 |
KG |
||||||
Polyurethane paint Paints and varnishes (including enamels and lacquers) based on synthetic polymers or chemically modified natural polymers, dispersed or dissolved in a non-aqueous medium; Based on acrylic or vinyl polymers |
3208 20 01 |
71,77 |
KG |
||||||
Polyurethane paint Paints and varnishes (including enamels and lacquers) based on synthetic polymers or chemically modified natural polymers, dispersed or dissolved in a non-aqueous medium; Based on polyesters |
3208 10 01 |
39,70 |
KG |
||||||
Paint thinner Organic composite solvents and thinners, not elsewhere specified or included; prepared paint or varnish removers (Paint thinner) |
3814 00 01 |
17,55 |
KG |
||||||
Welding wire for welding by flame Wire, rods, tubes, plates, electrodes and similar products, of base metal or of metal carbides, coated or cored with flux material, of a kind used for soldering, brazing, welding or deposition of metal or of metal carbides; wire and rods, of agglomerated base metal powder, used for metal spraying; Coated rods and cored wire, of base metal, for soldering, brazing or welding by flame; Of iron other than cast iron, or steel |
8311 30 01 |
131,54 |
KG |
||||||
Welding wire for electric arc welding Wire, rods, tubes, plates, electrodes and similar products, of base metal or of metal carbides, coated or cored with flux material, of a kind used for soldering, brazing, welding or deposition of metal or of metal carbides; wire and rods, of agglomerated base metal powder, used for metal spraying; Cored wire of base metal, for electric arc welding; Of steel |
8311 20 04 |
25,45 |
KG |
||||||
Welding/Soldering flux Fluxes And Other Auxiliary Preparations For Soldering, Brazing Or Welding, Nesoi- Prepared Cores Or Coatings For Welding Electrodes Or Rods
|
3810 90 01 3810 90 99 |
25,45 |
KG |
||||||
Aluminium ladder Aluminium structures (excluding prefabricated buildings of heading 9406 ) and parts of structures (for example, bridges and bridge-sections, towers, lattice masts, roofs, roofing frameworks, doors and windows and their frames and thresholds for doors, balustrades, pillars and columns); aluminium plates, rods, profiles, tubes and the like, prepared for use in structures; Other |
7610 90 99 |
81,50 |
KG |
||||||
Door frame Doors, Windows And Frames And Thresholds For Doors, Of Iron Or Steel
|
7308 30 01 7308 30 99 |
30,09 |
KG |
||||||
Steel grill Other Grill, Netting And Fencing Welded At The Intersection Of Galvanized Steel |
7314 31 01 |
19,42 |
KG |
||||||
Anti-drop device Mountings, Fittings And Similar Articles, And Parts Thereof, Of Base Metal; Other |
8302 49 99 |
82,56 |
KG |
||||||
Various steel parts Structures (excluding prefabricated buildings of heading 9406 ) and parts of structures (for example, bridges and bridge-sections, lock-gates, towers, lattice masts, roofs, roofing frameworks, doors and windows and their frames and thresholds for doors, shutters, balustrades, pillars and columns), of iron or steel; plates, rods, angles, shapes, sections, tubes and the like, prepared for use in structures, of iron or steel; Other; Other |
7308 90 99 |
22,19 |
KG |
||||||
Electric cables for a voltage exceeding 1 000 V Insulated (including enamelled or anodised) wire, cable (including coaxial cable) and other insulated electric conductors, whether or not fitted with connectors; optical fibre cables, made up of individually sheathed fibres, whether or not assembled with electric conductors or fitted with connectors; Other electric conductors, for a voltage exceeding 1 000 V
|
8544 60 01 8544 60 99 |
57,80 |
KG |
||||||
Electric cables for a voltage not exceeding 1 000 V Insulated (including enamelled or anodised) wire, cable (including coaxial cable) and other insulated electric conductors, whether or not fitted with connectors; optical fibre cables, made up of individually sheathed fibres, whether or not assembled with electric conductors or fitted with connectors; Other electric conductors, for a voltage not exceeding 1 000 V; Others |
8544 49 01 8544 49 02 8544 49 03 8544 49 04 8544 49 05 8544 49 06 8544 49 99 |
47,29 |
KG |
||||||
Screws and bolts Screws, bolts, nuts, coach screws, screw hooks, rivets, cotters, cotter pins, washers (including spring washers) and similar articles, of iron or steel; Other screws and bolts, whether or not with their nuts or washers (except those used in aircrafts and automotives, and those made of stainless steel) |
7318 15 02 7318 15 04 7318 15 05 7318 15 06 7318 15 07 7318 15 08 7318 15 09 |
28,84 |
KG |
||||||
Various steel structures Structures (excluding prefabricated buildings of heading 9406 ) and parts of structures (for example, bridges and bridge-sections, lock-gates, towers, lattice masts, roofs, roofing frameworks, doors and windows and their frames and thresholds for doors, shutters, balustrades, pillars and columns), of iron or steel; plates, rods, angles, shapes, sections, tubes and the like, prepared for use in structures, of iron or steel; Other;
|
7308 90 01 7308 90 02 7308 90 99 |
20,91 |
KG |
||||||
By-product |
|||||||||
Steel scrap in the form of turnings and shavings Ferrous waste and scrap; remelting scrap ingots of iron or steel; Other waste and scrap; Turnings, shavings, chips, milling waste, sawdust, filings, trimmings and stampings, whether or not in bundles |
7204 41 01 |
2,02 |
KG |
||||||
Energy |
|||||||||
Electricity |
n/a |
0,98 |
kWh |
||||||
Natural gas |
n/a |
0,71 |
M3 |
||||||
Carbon dioxide |
2811 21 01 2811 21 02 |
1,35 |
KG |
||||||
Oxygen |
2804 40 01 |
1,29 1,70 |
KG M3 |
||||||
Labour |
|||||||||
Labour |
n/a |
16,25 |
Hours |
3.2.3.2.
Manufacturing overhead costs, SG&A and profits
3.2.4.
Calculation
3.3.
Export price
3.4.
Comparison
3.5.
Dumping margin
Company |
Definitive dumping margin |
Chengxi Shipyard |
126,8 % |
Penglai Dajin |
49,7 % |
Suzhou Titan |
60,7 % |
Other cooperating companies |
81,9 % |
All other companies |
143,2 % |
4.
INJURY
4.1.
Definition of the Union industry and Union production
4.2.
Union consumption
|
2017 |
2018 |
2019 |
IP |
Union consumption |
2 707 |
3 200 |
2 851 |
3 087 |
Index |
100 |
118 |
105 |
114 |
Source: EWTA |
4.3.
Imports from China
4.3.1.
Volume and market share of the imports from China
|
2017 |
2018 |
2019 |
IP |
China |
81 % |
77 % |
85 % |
79 % |
Vietnam |
4 % |
8 % |
5 % |
7 % |
Republic of Korea |
10 % |
5 % |
4 % |
3 % |
Turkey |
4 % |
9 % |
5 % |
10 % |
Others, namely Malaysia and Indonesia |
1 % |
1 % |
1 % |
1 % |
Source: EWTA |
|
2017 |
2018 |
2019 |
IP |
Volume of imports from China (towers) |
690 |
992 |
791 |
1 063 |
Index |
100 |
144 |
115 |
154 |
Market share |
25 % |
31 % |
28 % |
34 % |
Index |
100 |
122 |
109 |
135 |
Source: EWTA |
4.3.2.
Prices of the imports from China and price undercutting
|
2017 |
2018 |
2019 |
IP |
EUR/tonne |
1 131 |
1 271 |
1 130 |
1 151 |
Index |
100 |
112 |
100 |
102 |
Source: Sampled exporting producers |
4.4.
Economic situation of the Union industry
4.4.1.
General remarks
4.4.2.
Macroeconomic indicators
4.4.2.1.
Production, production capacity and capacity utilisation
|
2017 |
2018 |
2019 |
IP |
Production volume (towers) |
2 704 |
2 516 |
2 647 |
2 443 |
Index |
100 |
93 |
98 |
90 |
Production capacity (towers) |
4 859 |
4 664 |
4 936 |
4 952 |
Index |
100 |
96 |
102 |
102 |
Capacity utilisation |
56 % |
54 % |
54 % |
49 % |
Index |
100 |
97 |
96 |
89 |
Source: EWTA and sampled Union producers |
4.4.2.2.
Sales volume and market share
|
2017 |
2018 |
2019 |
IP |
Union industry EU sales to unrelated customers (towers) |
1 859 |
1 895 |
1 924 |
1 737 |
Index |
100 |
102 |
104 |
93 |
Market share |
69 % |
59 % |
68 % |
56 % |
Index |
100 |
86 |
98 |
82 |
Source: EWTA and sampled Union producers |
4.4.2.3.
Growth
4.4.2.4.
Employment and productivity
|
2017 |
2018 |
2019 |
IP |
Number of employees |
3 803 |
3 817 |
3 936 |
3 614 |
Index |
100 |
100 |
103 |
95 |
Productivity (towers per employee) |
0,71 |
0,66 |
0,67 |
0,68 |
Index |
100 |
93 |
95 |
95 |
Source: EWTA and sampled Union producers |
4.4.2.5.
Magnitude of the dumping margin and recovery from past dumping
4.4.3.
Microeconomic indicators
4.4.3.1.
Prices and factors affecting prices
|
2017 |
2018 |
2019 |
IP |
Average unit sales price to unrelated customers (EUR/tonne – full scope sales only) |
1 265 |
1 377 |
1 459 |
1 419 |
Index |
100 |
109 |
115 |
112 |
Unit cost of production (EUR/tonne – full scope sales only) |
1 191 |
1 385 |
1 538 |
1 439 |
Index |
100 |
116 |
129 |
121 |
Source: Sampled Union producers |
4.4.3.2.
Labour costs
|
2017 |
2018 |
2019 |
IP |
(EUR) |
45 411 |
45 427 |
48 121 |
48 593 |
Index |
100 |
100 |
106 |
107 |
Source: Sampled Union producers |
4.4.3.3.
Inventories
|
2017 |
2018 |
2019 |
IP |
Closing stocks (sections) |
0 |
[30 -40 ] |
[30 -40 ] |
0 |
Index |
0 |
100 |
100 |
0 |
Source: Sampled Union producers |
4.4.3.4.
Profitability, cash flow, investments, return on investments and ability to raise capital
|
2017 |
2018 |
2019 |
IP |
Profitability of sales in the Union to unrelated customers (% of sales turnover) |
3,6 % |
1,1 % |
-4,5 % |
-1,4 % |
Index |
100 |
31 |
- 126 |
-40 |
Cash flow (EUR) |
12 444 710 |
- 377 687 |
-17 013 650 |
-5 531 711 |
Index |
100 |
-3 |
- 137 |
-44 |
Investments (EUR) |
36 715 248 |
15 482 383 |
5 275 427 |
3 488 463 |
Index |
100 |
42 |
14 |
10 |
Return on investments |
16,5 % |
-4,5 % |
-18,9 % |
-4,6 % |
Index |
100 |
-27 |
- 115 |
-28 |
Source: Sampled Union producers |
4.5.
Conclusion on injury
5.
CAUSATION
5.1.
Effects of the dumped imports
5.2.
Effects of other factors
5.2.1.
Imports from third countries
Country |
|
2017 |
2018 |
2019 |
IP |
Turkey |
Volume (towers) |
34 |
121 |
48 |
134 |
Index |
100 |
356 |
141 |
393 |
|
Market share |
1,3 % |
3,8 % |
1,7 % |
4,3 % |
|
Index |
100 |
301 |
134 |
344 |
|
Average price (EUR/tonne) |
1 844 |
1 830 |
1 646 |
1 691 |
|
Index |
100 |
99 |
89 |
92 |
|
Vietnam |
Volume (towers) |
31 |
109 |
44 |
98 |
Index |
100 |
351 |
142 |
315 |
|
Market share |
1,2 % |
3,4 % |
1,5 % |
3,2 % |
|
Index |
100 |
297 |
135 |
277 |
|
Average price (EUR/tonne) |
1 712 |
1 681 |
1 592 |
1 475 |
|
Index |
100 |
98 |
93 |
86 |
|
Republic of Korea |
Volume (towers) |
85 |
69 |
34 |
41 |
Index |
100 |
81 |
40 |
49 |
|
Market share |
3,1 % |
2,1 % |
1,2 % |
1,3 % |
|
Index |
100 |
68 |
38 |
43 |
|
Average price (EUR/tonne) |
2 111 |
1 997 |
2 140 |
2 381 |
|
Index |
100 |
95 |
101 |
113 |
|
Others (Indonesia, Malaysia) |
Volume (towers) |
8 |
13 |
9 |
14 |
Index |
100 |
163 |
113 |
175 |
|
Market share |
0,3 % |
0,4 % |
0,3 % |
0,4 % |
|
Index |
100 |
137 |
107 |
153 |
|
Average price (EUR/tonne) |
1 712 |
4 184 |
2 238 |
2 896 |
|
Index |
100 |
244 |
131 |
169 |
|
All third countries above |
Volume (towers) |
158 |
312 |
136 |
287 |
Index |
100 |
197 |
86 |
181 |
|
Market share |
5,9 % |
9,8 % |
4,8 % |
9,3 % |
|
Index |
100 |
167 |
82 |
159 |
|
Average price (EUR/tonne) |
1 931 |
1 876 |
1 776 |
1 783 |
|
Index |
100 |
97 |
92 |
92 |
|
Source: EWTA (towers, market shares) and Eurostat (average price) |
5.2.2.
Export performance of the Union industry
|
2017 |
2018 |
2019 |
IP |
Export volume (towers) |
743 |
421 |
357 |
371 |
Index |
100 |
57 |
48 |
50 |
Average price (EUR/towers – only full scope orders) |
311 479 |
n.a. * |
559 982 |
643 024 |
Index |
100 |
- |
180 |
206 |
Source: EWTA (volumes) and sampled Union producers (average prices) |
5.2.3.
Offshore demand
5.2.4.
Raw material prices
5.2.5.
Production facilities issues
5.2.6.
Competition of wind power with other energy sources
5.2.7.
Non-steel towers
5.2.8.
Other factors
5.3.
Conclusion on causation
6.
LEVEL OF MEASURES
6.1.
Injury margin
Company |
Definitive dumping margin (%) |
Definitive injury margin (%) |
Chengxi Shipyard |
127,8 |
7,5 |
Penglai Dajin |
49,7 |
7,2 |
Suzhou Titan |
60,7 |
14,4 |
Other cooperating companies |
83,2 |
11,2 |
All other companies |
144,2 |
19,2 |
6.2.
Conclusion on the level of the measures
Company |
Definitive anti-dumping duty |
Chengxi Shipyard |
7,5 % |
Penglai Dajin |
7,2 % |
Suzhou Titan |
14,4 % |
Other cooperating companies |
11,2 % |
All other companies |
19,2 % |
7.
UNION INTEREST
7.1.
Interest of the Union industry
7.2.
Interest of unrelated importers
7.3.
Interest of users
7.4.
Interest of suppliers
7.5.
Environmental interests
7.6.
Other factors
7.7.
Conclusion on Union interest
8.
DEFINITIVE ANTI-DUMPING MEASURES
8.1.
Preliminary comment
8.2.
Definitive measures
Company |
Definitive anti-dumping duty |
Chengxi Shipyard |
7,5 % |
Penglai Dajin |
7,2 % |
Suzhou Titan |
14,4 % |
Other cooperating companies |
11,2 % |
All other companies |
19,2 % |
9.
FINAL PROVISIONS
Article 1
Country |
Company |
Definitive anti-dumping duty rate |
TARIC additional code |
China |
Chengxi Shipyard Co., Ltd. |
7,5 % |
C726 |
Penglai Dajin Offshore Heavy Industry Co., Ltd. |
7,2 % |
C727 |
|
Suzhou Titan New Energy Technology Co., Ltd. |
14,4 % |
C728 |
|
Other cooperating companies, listed in Annex |
11,2 % |
See Annex |
|
All other companies |
19,2 % |
C999 |
Article 2
Article 3
Article 4
Article 5
ANNEX
Cooperating exporting producers not sampled
Country |
Name |
TARIC additional code |
PRC |
Fujian Fuchuan Yifan New Energy Equipment Manufacturing Co., Ltd. |
C729 |
PRC |
Shanghai Taisheng Wind Power Equipment Co., Ltd. |
C730 |