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Chinese TV Manufacturers Face up to Anti-Dumping Charges

Seven Chinese color TV manufacturers signed a joint statement in Beijing Tuesday afternoon, drawing publicity to the nearly 400 charges that Chinese products were dumped on international markets. They appealed for support in their appeal against the dumping charges, saying China's enterprises are expanding in overseas markets in a legal and rational manner.

The seven TV companies are: Amoisonic, Changhong, TCL, Hisense, Skyworth, Panda, Furi.

Their statement also stressed their vehement protest that some countries use the excuse that China is not a market economy country and continues to use third party countries as substitutes when calculating their dumping profit margins.

The EU color TV market has always been a lucrative one with a capacity of 25 million sets annually and needs 10-15 million sets to meet the demand. This is undoubtedly a tempting market for the Chinese color TV industry, which is desperately trying to expand its international market.

However, ever since 1988, EU has started its investigation into allegation that China's color television producers sold their products in European market at a price below cost. In July 1991, and in March 1995, EU twice resorted to hefty tariff measures and shut the door to big-screen and small-screen Chinese-made televisions.

And, in November 1999, EU took another stern measure to charge 44.6 per cent tariff on Chinese television sold on European market.

Previous to the signatory of the agreement, an official with China's Association of Home had argued that EU's exorbitant tariff policy towards Chinese TV sets was unfair, and it had received replies from nine producers who said would fight the EU anti-dumping allegation to the end.

The nine producers, including Changhong, Xoceco, TCL, Haier, Hisense, Konka, Skyworth, Panda and Furi, control about 90 per cent of China's domestic TV market.

This March, Amoisonic first submitted a letter of appeals to the EU, and one month later, Haier, Skyworth, Furi, TCL, Hisense, Konkia, Panda, Changhong followed suit.

If they were successful in persuading the arbitration, these Chinese plants would enjoy lowered rates from EU, while others which did not reply to the EU complaint would continue to face the 44.6 per cent high rate, the official said.

Some analysts said though China will soon join the WTO, quite a number of Chinese manufacturers are not familiar with relevant laws and regulations on dumping charges, and for this reason, their inaction to face up to complaints raised by their competitors, has inflicted upon them losses of lofty profits and market share.

Chinese enterprises ought to work out a comprehensive and long-range development strategy, bear the importance of anti-dumping campaign in mind and be on the alert against any possible anti-dumping measures, in order to protect their legitimate rights and interests on the international markets, some experts suggested.

Changhong to Appeal EU's Anti-dumping Charges
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