XN000022-1994-09-13 — Page 9

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TUESDAY, SEPTEMBER 13, 1994

DEFINITIVE ANTI-DUMPING DUTIES ON 3.5-INCH MAGNETIC DISCS * * * * *

THE TRADE DEPARTMENT ANNOUNCED TODAY (TUESDAY) THAT THE EUROPEAN UNION (EU) COUNCIL HAD DECIDED TO IMPOSE DEFINITIVE ANTI- DUMPING DUTIES ON 3.5-INCH MAGNETIC DISCS ORIGINATING IN HONG KONG.

THE INDIVIDUAL RATES RANGE FROM 6.7 PER CENT TO 13.3 PER CENT FOR THREE PARTICIPATING COMPANIES, WHILE A RESIDUAL RATE FOR ALL OTHER COMPANIES INCLUDING NEWCOMERS IS SET AT 27.4 PER CENT.

COMMENTING ON THE DECISION, ASSISTANT DIRECTOR-GENERAL OF TRADE MISS EMMA LAU SAID: "THERE ARE REDUCTION OF DUTY RATES, BUT ANY OUTCOME OTHER THAN THE TERMINATION OF THE CASE IS NOT THE BEST SOLUTION WE HAVE HOPED FOR.

"WE ARE IN FACT DISAPPOINTED IN THE PRESENT CASE WHERE ECONOMIC INDICATORS DID NOT PROVIDE CONVINCING EVIDENCE OF MATERIAL INJURY FOR THE COMMUNITY INDUSTRY CONCERNED, SHE ADDED.

H

THAT THE GOVERNMENT

ON THE WAY FORWARD, MISS LAU INDICATED WOULD KEEP ALL OPTIONS OPEN INCLUDING THAT OF PURSUING THE MATTER MULTILATERALLY, IF DEEMED APPROPRIATE.

"WE WOULD STUDY THE RELEVANT COUNCIL REGULATION CAREFULLY AND CONSULT THE COMPANIES CONCERNED BEFORE FIRMING UP OUR NEXT STEPS. THE GOVERNMENT WILL DO EVERYTHING POSSIBLE TO SAFEGUARD HONG KONG'S INTEREST," SHE SAID.

PROVISIONAL ANTI-DUMPING DUTIES, INCLUDING A HIGH RESIDUAL RATE OF 35.7 PER CENT, WERE IMPOSED ON MARCH 12, 1994.

COMPARED WITHI THE PROVISIONAL DUTIES, THE DEFINITIVE DUTIES COMPRISE A LOWER RESIDUAL RATE OF 27.4 PER CENT. IN ADDITION, THE INDIVIDUAL RATE OF ONE COMPANY HAS BEEN REDUCED FROM 20.1 PER CENT TO 13.3 PER CENT.

EXPORT OF UNRECORDED MAGNETIC DISCS, INCLUDING 3.5-INCH MAGNETIC DISCS, TO THE EU AMOUNTED TO $124 MILLION IN 1992, $263 MILLION IN 1993, AND $42 MILLION IN THE FIRST HALF OF 1994 WHICH REPRESENTS A DECLINE OF SOME 70 PER CENT WIIEN COMPARED WITH THE CORRESPONDING FIGURE IN 1993.

ALSO BEEN

APART FROM HONG KONG, ANTI-DUMPING DUTIES HAVE IMPOSED BY THE EU ON 3.5-INCH MAGNETIC DISCS ORIGINATING IN CHINA, JAPAN, KOREA AND TAIWAN.

NEW ANTI-DUMPING PROCEEDINGS WERE ALSO INITIATED BY THE EU ON SEPTEMBER 2, 1994 AGAINST IMPORTS FROM MALAYSIA, MEXICO AND THE UNITED STATES.

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