Aluminum profiles are the only aluminum products in China that export more than imports. In recent years, with the continuous increase in the export volume of aluminum profiles, the risk of aluminum enterprises encountering anti-dumping has also increased. Since 2007, five importing countries have successively investigated China's aluminum profile start-up trade remedy (see table).
First, the characteristics of the case
1. There are many companies involved and the amount is large
Aluminum profiles are one of China's key export products. Once investigated and filed by foreign companies, not only the number of companies involved but also the amount of products involved are large. According to statistics of the US Department of Commerce, in the United States against China Aluminum Profiles, from 2007 to 2009, the total volume of aluminum imports from the United States increased by 90%; the import value was US$360 million, US$310 million and US$510 million, respectively. Foshan, Guangdong, an important aluminum production base in China, has become a hard-hit area. For example, Australia’s dual counterfeit case involving aluminum extrusions involved 250 million U.S. dollars in exports and involved more than 700 companies. Among them, 85 enterprises were involved in Foshan alone, involving a total amount of more than 25 million U.S. dollars.
2, double anti-survey majority
Of the five aluminum trade remedy surveys initiated abroad against China, three were anti-dumping and countervailing investigations, and two were anti-dumping investigations. It can be seen that the foreign attack on China's aluminum profiles is comprehensive.
3. Most of the cases lost the case and the tax amount is high
In the five foreign aluminum trade remedy surveys initiated by China, except for the case in Colombia, the Chinese responding companies only succeeded in South Africa and all others lost. After losing the lawsuit, the high tariffs imposed on the company made the company overwhelmed. For example, Canada ruled to impose a 101% anti-dumping tax on Chinese companies, and the United States ruled to impose a 374.15% countervailing duty on Chinese companies.
4. Sharp decline in exports, loss of overseas markets
After the enterprises were imposed high tariffs, their exports fell sharply without profits. In February 2009, after the Canadian double-insurance ruling, from January to September 2009, Foshan exported less than 400 tons of aluminum profiles to Canada, a year-on-year decrease of 92.5%, which is equivalent to the export volume one month before the judgment; 2010 On August 31, the United States made preliminary countervailing sanctions against the Huai Aluminum extrusion counters. The export of aluminum products from Foshan to the United States quickly shrank, from 3117 tons in August to 1,150 tons in October, a drop of 63.1%. . In order to reduce losses, Chinese companies have had to abandon their mature overseas markets for many years and shift their focus to the country. At present, Colombia’s anti-dumping investigations on Hualv aluminum profiles are ongoing. If the Colombian market is lost again, the entire North American market will fall.
Second, countermeasures
1. Consciously resisting low-price export competition
The purpose of anti-dumping is to resist unfair price competition. Exports below normal value have become the preferred target for anti-dumping accusations. In general, Chinese enterprises do not have the power to dump, which is the mainstream of China’s foreign trade. In order to prevent individual companies from pursuing local interests and low-cost exports to disturb the market, the relevant government departments of our government have promulgated regulations punishing low-cost export behavior and increased the intensity of penalties for illegal companies. At the same time, enterprises should also consciously resist low-cost export behavior. Reduce the incentives for foreign anti-dumping and prevent people from giving instructions.
2. Respond positively to ensure the legitimate rights and interests of the company
After the occurrence of anti-dumping cases, the most important thing is to correctly understand anti-dumping and its consequences, actively respond to the lawsuit, and try to avoid the abuse of foreign anti-dumping measures. In the past, due to the negative response of enterprises in China, a large number of valuable overseas markets were lost. Therefore, from the beginning of the anti-dumping case, the relevant companies must actively cooperate with anti-dumping investigations to maximize defense opportunities. Actively responding can guarantee their own legitimate rights and interests. In Canada’s double-accused case against China Aluminum Profile, the maximum tax rate for 8 responding companies was 42.4%, while the tax rate for other aluminum companies that did not cooperate with the survey was as high as 101%.
3. Strengthen the role of the business association
In the process of responding, the power of industry associations can not be ignored. According to the rules of the WTO, trade associations can become spokespersons for enterprises. It is much better than the response of a single company to respond to the organization of the respondent by the industry association. Because the other party's anti-dumping accusations are aimed at the entire industry, if the individual companies come forward to lobby and negotiate, the effort is minimal, and the Association came forward, can unify the industry's corporate actions, increase the response, save the cost of responding and use the other dealer The power of the other party causes them to change their attitude.
4. Establish and improve anti-dumping warning mechanism
We must establish a contingent of anti-dumping professionals with knowledge and understanding of business to carry out special research and special prevention of anti-dumping and closely follow international market conditions.
5. Strengthen international cooperation
In order to avoid foreign discriminatory policies, an effective way is to conduct international cooperation with foreign companies so that their products become the result of joint ventures and cooperation between the two sides. Such products are easily accepted by the other country. Chinese companies should consider themselves as world companies, so that Chinese enterprises can better go to the world and have world-class competitiveness.
First, the characteristics of the case
1. There are many companies involved and the amount is large
Aluminum profiles are one of China's key export products. Once investigated and filed by foreign companies, not only the number of companies involved but also the amount of products involved are large. According to statistics of the US Department of Commerce, in the United States against China Aluminum Profiles, from 2007 to 2009, the total volume of aluminum imports from the United States increased by 90%; the import value was US$360 million, US$310 million and US$510 million, respectively. Foshan, Guangdong, an important aluminum production base in China, has become a hard-hit area. For example, Australia’s dual counterfeit case involving aluminum extrusions involved 250 million U.S. dollars in exports and involved more than 700 companies. Among them, 85 enterprises were involved in Foshan alone, involving a total amount of more than 25 million U.S. dollars.
2, double anti-survey majority
Of the five aluminum trade remedy surveys initiated abroad against China, three were anti-dumping and countervailing investigations, and two were anti-dumping investigations. It can be seen that the foreign attack on China's aluminum profiles is comprehensive.
3. Most of the cases lost the case and the tax amount is high
In the five foreign aluminum trade remedy surveys initiated by China, except for the case in Colombia, the Chinese responding companies only succeeded in South Africa and all others lost. After losing the lawsuit, the high tariffs imposed on the company made the company overwhelmed. For example, Canada ruled to impose a 101% anti-dumping tax on Chinese companies, and the United States ruled to impose a 374.15% countervailing duty on Chinese companies.
4. Sharp decline in exports, loss of overseas markets
After the enterprises were imposed high tariffs, their exports fell sharply without profits. In February 2009, after the Canadian double-insurance ruling, from January to September 2009, Foshan exported less than 400 tons of aluminum profiles to Canada, a year-on-year decrease of 92.5%, which is equivalent to the export volume one month before the judgment; 2010 On August 31, the United States made preliminary countervailing sanctions against the Huai Aluminum extrusion counters. The export of aluminum products from Foshan to the United States quickly shrank, from 3117 tons in August to 1,150 tons in October, a drop of 63.1%. . In order to reduce losses, Chinese companies have had to abandon their mature overseas markets for many years and shift their focus to the country. At present, Colombia’s anti-dumping investigations on Hualv aluminum profiles are ongoing. If the Colombian market is lost again, the entire North American market will fall.
Second, countermeasures
1. Consciously resisting low-price export competition
The purpose of anti-dumping is to resist unfair price competition. Exports below normal value have become the preferred target for anti-dumping accusations. In general, Chinese enterprises do not have the power to dump, which is the mainstream of China’s foreign trade. In order to prevent individual companies from pursuing local interests and low-cost exports to disturb the market, the relevant government departments of our government have promulgated regulations punishing low-cost export behavior and increased the intensity of penalties for illegal companies. At the same time, enterprises should also consciously resist low-cost export behavior. Reduce the incentives for foreign anti-dumping and prevent people from giving instructions.
2. Respond positively to ensure the legitimate rights and interests of the company
After the occurrence of anti-dumping cases, the most important thing is to correctly understand anti-dumping and its consequences, actively respond to the lawsuit, and try to avoid the abuse of foreign anti-dumping measures. In the past, due to the negative response of enterprises in China, a large number of valuable overseas markets were lost. Therefore, from the beginning of the anti-dumping case, the relevant companies must actively cooperate with anti-dumping investigations to maximize defense opportunities. Actively responding can guarantee their own legitimate rights and interests. In Canada’s double-accused case against China Aluminum Profile, the maximum tax rate for 8 responding companies was 42.4%, while the tax rate for other aluminum companies that did not cooperate with the survey was as high as 101%.
3. Strengthen the role of the business association
In the process of responding, the power of industry associations can not be ignored. According to the rules of the WTO, trade associations can become spokespersons for enterprises. It is much better than the response of a single company to respond to the organization of the respondent by the industry association. Because the other party's anti-dumping accusations are aimed at the entire industry, if the individual companies come forward to lobby and negotiate, the effort is minimal, and the Association came forward, can unify the industry's corporate actions, increase the response, save the cost of responding and use the other dealer The power of the other party causes them to change their attitude.
4. Establish and improve anti-dumping warning mechanism
We must establish a contingent of anti-dumping professionals with knowledge and understanding of business to carry out special research and special prevention of anti-dumping and closely follow international market conditions.
5. Strengthen international cooperation
In order to avoid foreign discriminatory policies, an effective way is to conduct international cooperation with foreign companies so that their products become the result of joint ventures and cooperation between the two sides. Such products are easily accepted by the other country. Chinese companies should consider themselves as world companies, so that Chinese enterprises can better go to the world and have world-class competitiveness.
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