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Date: 2013-07-31

China Ministry: Alloy Wheel Hub Producers Didn't Dump In EU

Chinese companies didn't dump aluminum alloy wheel hub products on the European Union, and China's exports won't damage the interests of the relevant industry in the E.U., the Ministry of Commerce said Friday in a response to a planned investigation.

The European Commission told China that it intended to launch an antidumping investigation into Chinese exports of aluminum alloy wheel hub products in the near future after the Association of European Wheel Manufacturers submitted a request at the end of June, the ministry said in a statement posted on its Web site.

"China is seriously concerned about this, and hopes the E.U. can deal with the issue cautiously...It is unnecessary to launch an antidumping investigation against China," the statement said.

The request by the association didn't accord with rules of the World Trade Organization, and the prices of Chinese exports are higher than those on the domestic market, the ministry said. Chinese exports of aluminum alloy wheel hub products account for less than 8% on the E.U. market, the statement said.

Chinese aluminum alloy wheel hub products have been widely used by multinational auto makers such as BMW AG (BMW.XE), Daimler AG's (DAI) Mercedez- Benz, Audi AG (NSU.XE) and Volkswagen AG (VOW.XE), and such antidumping will have seriously negative impact on the Sino-E.U. auto spare parts trade, the statement said.

Alloy wheels tend to be lighter in weight than normal steel wheels and help improve the steering and speed of a car. They also tend to be more expensive to produce.

Trade tensions have been on the rise as countries struggle to return to growth amid the global recession.

In the U.S., the Chinese tire industry is in a face off with the U.S steel lobby over cheap tires often used by consumers to replace more expensive brands. The U.S. Trade Representative is expected to issue a decision later Friday on a case filed by the United Steelworkers in April that alleges Chinese tire imports have caused harm and job losses to domestic tire makers.


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