- 11.

Informal consultations with EC prove useful

The informal bilateral consultations held between Hong Kong and the European Commission (EC) on February 6 in Brussels concerning EC's initiation of anti- circumvention investigation on imports of 3.5-inch microdisks originating in Hong Kong and eight other countries proved to be a useful exchange.

Notwithstanding this, Hong Kong would continue its dialogue with EC with a view to reaching a mutually satisfactory solution to the matter.

The Assistant Director-General of Trade, Miss Emma Lau, who led the Hong Kong delegation, said today (Thursday): "We had a very useful round of consultations with the EC. We were able to clarify with the EC on the scope of its anti- circumvention action applied to Hong Kong."

Miss Lau said EC had repeatedly emphasised that the objective of its anti- circumvention action was to ensure the correct collection of anti-dumping duties imposed on the People's Republic of China (PRC) and Taiwan.

She noted that in the case of Hong Kong, EC's investigation would be looking into whether these duties were circumvented through false declaration of the origin of the microdisks from the territory.

"As far as Hong Kong is concerned, the anti-circumvention investigation was basically on origin fraud matters," Miss Lau emphasised.

She pointed out that EC did not enter into discussion with Hong Kong on the multi-lateral basis for their anti-circumvention action and they considered their action justified under the scope of the Council Regulation imposing the anti-dumping duties on the PRC and Taiwan in 1993.

"We will continue our dialogue with the EC in an attempt to bring the matter to a satisfactory conclusion," Miss Lau added.

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