The China Association of Automobile Manufacturers said on the 12th that the European Wheel Manufacturers Association (EUWA) recently applied for an anti-dumping investigation on China's exports of auto-aluminum alloy wheels to the EU. There is no reason for this. The Chinese side has organized research measures concerning the companies involved in the investigation and prepared for active response.

On June 29, the European Wheel Manufacturers Association (EUWA), representing six EU aluminum wheel manufacturers, submitted a complaint to the European Commission on Trade for the initiation of an anti-dumping investigation against the aluminum wheels of the European Union. The EU side officially took note of China on August 3, saying that the official investigation will be launched no later than August 14.

According to the European Union's anti-dumping law and the European Wheel Manufacturers Association's application, the EU will impose an anti-dumping tax of up to 33% on China's aluminum wheels exported to the EU once for five consecutive years.

Reasons are hard to stop

Li Xiaoqing, secretary general of the Wheel Committee of the China Association of Automobile Manufacturers, told reporters that most of the aluminum wheel products exported by China are low-end and popular products, and they are mainly retail markets and are complementary to normal trade. They do not have a particularly large impact on Europe. .

At the same time, Xiong Chuanlin, deputy secretary-general of the China Association of Automobile Manufacturers, pointed out that the prices of aluminum wheels sold by China to the European market are higher than those in the domestic market, and therefore do not constitute dumping.

There are also industry insiders believe that China's export-related products only account for 8% of the EU's demand, and the ratio for automakers is less than 3%. It is difficult to cause damage on the scale. Some European hub manufacturers themselves are affected by the financial crisis or are mismanaged, but they pass losses on to Chinese companies. This is unfair.

The relevant person in charge of the Ministry of Commerce’s import and export fair trade also publicly stated on the 7th that the EU’s proposed anti-dumping investigation against China’s aluminum alloy wheels was not in line with the WTO’s anti-dumping agreement in terms of “qualification of applicants” and “selection of alternative countries”. It is stipulated that the EU should rigorously review and act with caution.

It is understood that the European Union has chosen Turkey as the "cost reference country" for China's aluminum wheels. The involved products are "all aluminum wheels related to automobile exports from China to the European Union." Given that Turkey's cost is 33% higher than China's, the EU intends to impose a 33% anti-dumping tax on China's aluminum wheels. According to industry sources, there are major problems in choosing Turkey as a replacement country. Some European companies have branch offices in Turkey. The data provided is questionable and there may be connected transactions.

Why did you raise the banner of anti-dumping?

The European Union will conduct anti-dumping investigations on aluminum wheels in China, which is conducted under the backdrop of the global economic downturn and trade protectionism.

According to Shi Jianhua, deputy secretary-general of the China Association of Automobile Manufacturers, since the outbreak of the financial crisis, trade frictions have increased and trade protectionism has been on the rise. Anti-dumping lawsuits against China are characterized by a large number of countries and large amounts of money. From October last year to June this year, 77 have already occurred.

In the case of this case, Xiong Chuanlin said that after the outbreak of the financial crisis, China's entire vehicle and parts and components companies have caused severe blows. This year, China’s economic recovery has improved. However, from the perspective of the world, many economies are still in difficulties. Their foreign counterparts have a hard time. This year, China’s exports of some auto parts have rebounded rapidly. The main reason is that many auto parts companies have closed down. Even if the surviving companies have reduced orders and increased costs, they will not accept small-batch orders. This will allow Chinese companies to set aside The market space has also caused a lot of trade friction.

The reporter also learned that in the field of auto parts and components in China, aluminum wheels have achieved a few national brands with independent intellectual property rights, which can be regarded as a sign that China has transformed from a manufacturing power to a manufacturing power, and from a trading power to a trading power. Sex products.

The company's sales management department manager Wang Boxiang believes that the anti-dumping is the leading company for such companies as Dyka, which is the largest manufacturer of aluminum alloy wheels in the world and is the largest exporter of aluminum alloy wheels in China. In order to combat China's aluminum wheel own brand.

Once the outcome of the losing case is extremely serious

Li Xiaoqing, Secretary General of the Wheel Committee of the China Association of Automobile Manufacturers, said that this anti-dumping case involves all 46 auto aluminum alloy wheel manufacturers that export to the EU. If the lawsuit fails, it may cause 450,000 employees in more than 50 related companies in China to face unemployment.

Li Xiaoqing also worried that the EU's anti-dumping measures will result in a domino effect. In the total export share of China's aluminum alloy wheels, Europe accounts for about 12%, the United States is the largest—accounting for 70% to 80% of total exports, and the third largest export market is Japan. If the European Union rules that the Chinese companies will lose, the related companies in the United States and Japan may follow suit.

Although no case has been filed, it has caused damage to the major wheel manufacturers in China. The major aluminum alloy wheel hub manufacturers in China are considered to be unreliable on anti-dumping investigations. A question mark should be drawn on whether the next production order can be obtained. Li Xiaoqing said that Chinese companies bought a lot of imported equipment from Germany in accordance with the requirements of some German automakers. They have invested heavily, and anti-dumping will allow Chinese companies to invest all of their losses.

Xiong Chuanlin also believes that the consequences of losing the case are unimaginable. He said that if the "anti-dumping" measures are implemented, the Chinese aluminum alloy wheel industry will be severely hit, "no one enterprise can afford the 33% anti-dumping tax," and as a result, all aluminum wheels produced in mainland China will be withdrawn from the European market. It is difficult to enter again.

There is also analysis that for European car manufacturers, they also do not want to see Chinese wheel companies lose. China's aluminum wheel products meet the needs of the EU market. The EU's anti-dumping of Hua Aluminum wheels will have a serious negative impact on China-EU auto parts and accessories trade, and it will also be detrimental to the global industrial division, layout, and supply chain management of EU multinational auto companies. If anti-dumping measures are implemented, not only will China's aluminum wheel industry be severely hit, but also the cost of procurement by European automakers will increase, and the cost of maintenance for EU consumers will increase, affecting the recovery of the European auto industry from the financial crisis.

Chinese companies will actively respond

At present, the China Association of Automobile Manufacturers has organized relevant countermeasures for corporate investigations. Once the EU investigates the case, it will organize organizations involved in the case to actively respond to it and safeguard the legitimate rights and interests of Chinese enterprises.

Wu Yankun, secretary of the board of directors of Zhejiang Wanfeng Aowei [8.26 -5.38%] Steam Turbine Co., Ltd. (002085), one of the largest exporters of aluminum alloy wheels in China, said in an interview that Wanfeng Aowei has contacted lawyers and consulted related procedures. . He said that the company's products mainly face the European retail market, providing maintenance parts for 4S stores, and supporting R & D investment is relatively small, the impact is relatively small. But he said that this is a matter of time, and the company has long had ideological preparations. Wu Yankun said that with the increase in China’s manufacturing capacity, it has triggered the fear of competitors and this trade friction has become more and more. In the small county town of Xinchang County, Zhejiang where Wanfeng Aowei is located, there are three companies that have filed anti-dumping lawsuits. "However, even small companies are actively responding to lawsuits." Wu Yankun said that anti-dumping is a double-edged sword, and the global industrial division of labor is an irreversible trend, and the company will actively respond to it.

The US International Trade Commission recently issued an announcement saying that it is recommended to impose a punitive tariff of 55%, 45%, and 35% on China-made tires in the United States over the next three years, involving a total investment of about 1.7 billion U.S. dollars. General Motors, Ford, Chrysler, the United States, the three major automotive giants and US consumers are generally opposed. Xiong Chuanlin said that at present, the China Association of Automobile Manufacturers has informed the joint venture companies of BMW, Audi and other companies in China about the situation, hoping that they can support China's position as the three major automobile giants.

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