Global Fastener News

Chinese May File WTO Complaint Against EU Fastener Tariffs

Jason Sandefur

With probable European Commission sanctions in the works, Chinese fastener makers are pressing their government to file a complaint with the World Trade Organization, Dow Jones reports.

The Jiaxing Association, which represents fastener manufacturers in that region, claims the duties violate international trade rules.

“The EU proposed to exempt Chinese subsidiaries of two E.U. fastener manufacturers – Agrati Group of Italy and Celo Group of Spain – from the duties that will apply to other importers in China,” Dow Jones reports. “That has irked the Chinese companies, who say that their European-owned competitors are getting favorable treatment from the EU.”

The EC has issued a recommendation to impose an antidumping tariff of 87.3% on a majority of exporting Chinese fastener factories, across all the tariff codes cited in the antidumping complaint.

A tariff level of 78% is proposed for around 90 factories that cooperated with the European investigators.

“Products likely to be affected by the antidumping measures, which are normally imposed for a five year period, range from socket screws, hex cap screws through self tapping and other small screws, wood and drywall screws, to flat and spring washers,” writes Fastener & Fixing Europe editor Phil Matten.

Nuts and threaded rod are not included in the probe.

Tariffs would not be applied immediately. The proposal must be considered by the EU Antidumping Committee, which is expected to meet either late November or early December. If approved, the tariffs could start in January.

Chinese companies reportedly shipped about $745 million worth of fasteners to the EU in 2007. �2008 FastenerNews.com