Investigation into Alleged Subsidies and Dumping of Aluminium Road Wheels

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Investigation into Alleged Subsidies and Dumping of Aluminium Road Wheels

The Australian Customs and Border Protection Service (“Customs”) has been conducting an investigation into alleged dumping and subsidies relating to the export of aluminium road wheels (“ARW”) from the PRC to Australia. Customs had very recently required securities on account of interim duties depending upon the relevant exporters. However, by way of Australian Customs Dumping notice No. 2012/28 Customs has now announced the termination of certain aspects of the Investigation.

The Notice indicated that:

  • Customs had resolved to terminate the countervailing investigation in relation to exports by CITIC Dicastal and Zhejing Shuguang Industrial Co Limited (“PDW”). This is on the basis that while there may have been countervailable subsidies paid to the benefit of these exporters, they never exceeded the negligible level during the period of the investigation.
  • Customs had also resolved to terminate the dumping investigation so far as it relates to PDW.

There are avenues for appeal by the Australian applicant for the measures. However, for the time being the decisions by Customs will stand. As a result, for now, there will be no measures at all imposed in relation to exports of ARW by PDW.

Further, Customs has completed its final report and recommendation which have been forwarded to the Minister for Home Affairs. We await the result of the Ministerial determination. Investigation into hollow structural sections.

By way of Australian Customs Dumping Notices numbered 2012/25, 26 and 27, Customs has made further rulings in relation to the investigation into alleged dumping and subsidies of certain hollow structural sections (“HSS”) exported from the PRC, South Korea, Malaysia, Taiwan and Thailand.

The effect of the Notices is as follows:

  • Termination of the investigation in relation to countervailable subsidies for two PRC exporters.
  • Termination of the investigation in relation to exports from Thailand.
  • That there appeared to have been sufficient grounds for the publication of a countervailing duty notice in respect of certain HSS exported to Australia from the PRC. However, given the nature of the securities previously sought by Customs arising from its Preliminary Affirmative Determination in relation to the imposition of dumping duties on those exports, no further measures are to be sought. Customs has confirmed that its final report and recommendations have been issued to the Minister and we await the final ruling by the Minister as to measures to be applied to these exports.

Investigation into alleged dumping of hot-rolled coil steel

By way of Australian Customs Dumping Notice No 2012/30 issued on 15 June 2012, Customs has announced the initiation of an investigation into alleged dumping of hot-rolled coil steel exported from Japan, South Korea, Malaysia and Taiwan. The application for the investigation was made by the BlueScope Group as the sole Australian manufacturer. The Notice sets out the timetable for the various stages of the investigation as well as the process for making submissions. Many of the affected importers and all of the affected exporters will receive questionnaires from Customs followed by some verification visits from Customs.