COMMISSION IMPLEMENTING REGULATION (EU) 2020/705
of 26 May 2020
imposing a provisional anti-dumping duty on imports of certain heavyweight thermal paper originating in the Republic of Korea
1.
PROCEDURE
1.1.
Initiation
1.2.
Interested parties
1.3.
Sampling
1.3.1.
Sampling of the Union producers
1.3.2.
Sampling of importers
1.4.
Replies to the questionnaire
1.5.
Verification visits
1.6.
Presentation of data
1.7.
Investigation period and period considered
2.
PRODUCT CONCERNED AND LIKE PRODUCT
2.1.
Product concerned
2.2.
Like product
3.
DUMPING
3.1.
Normal value
3.2.
Export price
3.3.
Comparison
3.4.
Dumping margin
Company |
Provisional dumping margin |
Hansol Paper Co., Ltd |
22,3 % |
All other companies |
22,3 % |
4.
INJURY
4.1.
Definition of the Union industry and Union production
4.2.
Union consumption
|
2016 |
2017 |
2018 |
IP |
Total Union consumption |
178 000 – 184 000 |
182 000 – 188 000 |
188 000 – 192 000 |
180 000 – 186 000 |
Index |
100 |
102 |
105 |
101 |
Source: Sampled Union producers, exporting producer, complaint and Eurostat. |
4.3.
Imports from the country concerned
4.3.1.
Volume and market share of the imports from the country concerned
|
2016 |
2017 |
2018 |
IP |
Volume of imports from the country concerned (tonnes) |
9 500 – 11 500 |
6 500 – 8 500 |
15 500 – 17 500 |
18 500 – 20 500 |
Index |
100 |
69 |
155 |
183 |
Market share (%) |
5,5 – 6,5 |
3,5 – 4,5 |
8 – 9 |
10 – 11 |
Index |
100 |
68 |
149 |
180 |
Source: Exporting producer. |
4.3.2.
Prices of the imports from the country concerned and price undercutting
|
2016 |
2017 |
2018 |
IP |
Average prices of Korea imports |
1 050 – 1 150 |
1 000 – 1 100 |
1 180 – 1 280 |
1 420 – 1 520 |
Index |
100 |
95 |
112 |
134 |
Source: Exporting producer. |
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
|
2016 |
2017 |
2018 |
IP |
Production volume (tonne) |
219 069 |
228 616 |
221 717 |
214 227 |
Index |
100 |
104 |
101 |
98 |
Production capacity (measuring unit) |
380 906 |
375 058 |
391 499 |
404 863 |
Index |
100 |
98 |
103 |
106 |
Capacity utilisation (%) |
58 % |
61 % |
57 % |
53 % |
Index |
100 |
106 |
98 |
92 |
Source: Questionnaire reply submitted by the complainant. |
4.4.2.2. Sales volume and market share
|
2016 |
2017 |
2018 |
IP |
Sales volume on the Union market (tonnes) |
150 000 – 160 000 |
170 000 – 180 000 |
160 000 – 170 000 |
150 000 – 160 000 |
Index |
100 |
109 |
104 |
98 |
Market share (%) |
85 – 90 |
90 – 95 |
85 – 90 |
80 – 85 |
Index |
100 |
107 |
99 |
97 |
Source: Injury questionnaires and information submitted by the complainant. |
4.4.2.3. Growth
4.4.2.4. Employment and productivity
|
2016 |
2017 |
2018 |
IP |
Number of employees |
1 213 |
1 241 |
1 224 |
1 232 |
Index |
100 |
102 |
101 |
102 |
Productivity (tonne/employee) |
181 |
184 |
181 |
174 |
Index |
100 |
102 |
100 |
96 |
Source: Information submitted by the complainant. |
4.4.2.5. Magnitude of the dumping margin
4.4.3.
Microeconomic indicators
4.4.3.1. Prices and factors affecting prices
|
2016 |
2017 |
2018 |
IP |
Average unit EXW sales price in the Union to unrelated customers (EUR/tonne) |
1 800 – 1 810 |
1 825 – 1 835 |
1 985 – 1 995 |
2 060 – 2 070 |
Index |
100 |
101 |
110 |
114 |
Unit cost of production EXW (EUR/tonne) |
1 530 – 1 540 |
1 600 – 1 610 |
1 845 – 1 855 |
1 880 – 1 890 |
Index |
100 |
105 |
120 |
123 |
Source: Sampled Union producers. |
4.4.3.2. Labour costs
|
2016 |
2017 |
2018 |
IP |
Average labour costs per employee (EUR) |
55 000 – 56 000 |
57 000 – 58 000 |
56 500 – 57 500 |
57 000 – 58 000 |
Index |
100 |
104 |
103 |
104 |
Source: Verified questionnaire replies of the sampled Union producers. |
4.4.3.3. Inventories
|
2015 |
2016 |
2017 |
IP |
Closing stocks (tonnes) |
13 100 – 13 200 |
14 350 – 14 450 |
13 800 – 13 900 |
15 650 – 15 750 |
Index |
100 |
110 |
105 |
119 |
Closing stocks as a percentage of production (%) |
9,5 – 10,5 |
10,5 – 11,5 |
10 – 11 |
12 – 13 |
Index |
100 |
107 |
105 |
122 |
Source: Verified questionnaire replies of the sampled Union producers. |
4.4.3.4. Profitability, cash flow, investments, return on investments and ability to raise capital
|
2016 |
2017 |
2018 |
IP |
Profitability of sales in the Union to unrelated customers (% of sales turnover) |
8 – 11 |
5 – 8 |
2 – 5 |
2 – 5 |
Index |
100 |
70 |
36 |
31 |
Cash flow (EUR) |
28 000 000 – 30 000 000 |
16 500 000 – 18 500 000 |
4 000 000 – 5 000 000 |
2 000 000 – 3 000 000 |
Index |
100 |
61 |
16 |
8 |
Investments (EUR) |
2 500 000 – 3 000 000 |
3 000 000 – 3 500 000 |
5 000 000 – 5 500 000 |
6 500 000 – 7 000 000 |
Index |
100 |
119 |
176 |
237 |
Return on investments (%) |
48 – 52 |
30 – 34 |
7 – 11 |
16 – 20 |
Index |
100 |
64 |
18 |
35 |
Source: Verified questionnaire replies of the sample of Union producers. |
4.4.4.
Conclusion on injury
5.
CAUSATION
5.1.
Effects of the dumped imports
5.2.
Effects of other factors
5.2.1.
Imports from other third countries
|
|
2016 |
2017 |
2018 |
IP |
Total of third countries except the country concerned |
Volume (tonne) |
12 000 – 13 000 |
4 000 – 5 000 |
8 000 – 9 000 |
8 000 – 9 000 |
|
Index |
100 |
38 |
69 |
69 |
|
Market share (%) |
6,5 – 7,5 |
2 – 3 |
4 – 5 |
4 – 5 |
|
Index |
100 |
38 |
66 |
68 |
|
Average price |
1 800 – 1 900 |
1 600 – 1 700 |
1 700 – 1 800 |
2 000 – 2 100 |
|
Index |
100 |
92 |
97 |
113 |
Source: Complaint, Eurostat and Commission’s estimates. |
5.2.2. Export performance of the Union industry
|
2016 |
2017 |
2018 |
IP |
Export volume (tonne) |
38 591 |
39 545 |
36 234 |
33 336 |
Index |
100 |
102 |
94 |
86 |
Average price (EUR/tonne) |
1 650 – 1 750 |
1 650 – 1 750 |
1 800 – 1 900 |
1 950 – 2 050 |
Index |
100 |
99 |
107 |
116 |
Source: Complainant’s estimates and verified questionnaire replies of the sample of Union producers. |
5.2.3.
Increase in raw material prices
5.2.4.
Alleged incapacity of the Union industry to satisfy the demand of BPA-free products
5.2.5.
Domestic competition among European producers
5.3.
Conclusion on causation
6.
UNION INTEREST
6.1.
Interest of the Union industry
6.2.
Interest of unrelated importers
6.3.
Interest of users
6.4.
Interest of other interested parties
6.5.
Conclusion on Union interest
7.
PROVISIONAL ANTI-DUMPING MEASURES
7.1.
Injury elimination level (Injury margin)
7.2.
Provisional measures
Country |
Company |
Dumping margin (%) |
Injury margin (%) |
Provisional anti-dumping duty (%) |
The Republic of Korea |
Hansol Paper Co. Ltd |
22,3 % |
22,5 % |
22,3 % |
All other companies |
22,3 % |
22,5 % |
22,3 % |