BRUSSELS, Aug. 29 (Xinhua) -- Chinese energy-saving
light bulbs may face antidumping measures from the European Union (EU) for one
more year as the European Commission made a compromised proposal on Wednesday.
The EU's executive body agreed to the one-year
extension of the six-year-old duties when its commissioners held their first
meeting after the summer break. As a compromise, the antidumping measures will
end automatically after the extension.
"Following discussions within the commission and with
member states the commission will recommend that it is in the community's
interest to discontinue these measures in the next year," the commission said in
a press release.
The proposal, which had to be approved by EU member
states, was put forward in accordance with the overall interests of the EU,
commission spokesman Johannes Laitenberger told reporters at a daily news
briefing.
"There are grounds to leave the possibility of
continuing these antidumping measures for another year, mainly to allow for a
soft transition in a changing market reality" for the European industry, he
said.
Stephen Adams, the press officer for EU Trade
Commissioner Peter Mandelson, confirmed with Xinhua that the one-year extension
was meant to provide a transition period, after which the antidumping duties
will be dropped automatically without the need for further review.
The one-year extension is started once the approval
of member states is made, probably within one month, said Adams.
The EU has imposed an antidumping tariff of up to 66
percent on energy-saving light bulbs from China since 2001, which was due to
expire in July 2006.
However, the EU later conducted an expiration review
amid requests by industry to determine whether to prolong the tariffs for
another five years.
During the review period, which lasts 15 months after
the expiration and is set to end this October, the antidumping measures remain
in force.
Whether to extend the antidumping duties against
Chinese energy-saving bulbs has led to heated debate within the EU.
"This case has once again shown the complexities of
managing antidumping rules in a global economy and against the broad range of
EU interests," Mandelson said in a statement.
Last month, a majority of trade experts in the EU's
executive body decided to support an end to the antidumping measures, a
position also shared by the EU's top trade official.
But the extension proposal was said to be a
compromise mainly between Mandelson and Enterprise Commissioner Guenter
Verheugen, who pressed for a two-year transition period and has expressed
concern about job losses at German producer Osram, part of the German-based
Siemens group.
Osram has pushed to keep the duties in place, while
most European producers, led by Dutch electronics group Philips, want them to be
lifted.
Both companies have part of their production based in
China for cost saving, but Philips has a much larger presence and imports more
than other European companies, to such an extent that it can hardly be
classified as a European producer.
"Continuing duties would be a backward, protectionist
move to safeguard the short-term interests of one single company," Philips said
in a statement prior to the commission's decision.
The Foreign Trade Association (FTA), which represents
EU importers, said the move was bad news both for the industry and for
consumers.
"It is not good for the European industry as some
major producers do not want the duties to be extended. And also, it is not good
for consumers since the prices are already high because of the duties," FTA
spokesman Stuart Newman told Xinhua.
The antidumping measures were also criticized by
environmentalists as unjustified in the EU's fight against global warming.
Ahead of Wednesday's meeting, the Switzerland-based
World Wildlife Fund (WWF) urged the EU to end the duties, arguing that Europe
has to rely on imports to meet its demand for low-energy light bulbs, which is
essential to realize the bloc's goal of reducing greenhouse gas emissions by 20
percent by 2020 from the level of 1990.
"Ending the antidumping investigation and allowing
imports of Chinese integrated compact fluorescent lamps could contribute to
savings of 23 million tons of CO2 per year, equivalent to 0.5 percent of EU
greenhouse gas emissions," Tony Long, director of the WWF's European Policy
Office, said in a letter to EU Environment Commissioner Stavros Dimas.
It was estimated that EU domestic production can only
meet 25 percent of its demand for energy-saving light bulbs, which could reach
up to 400 million units by the end of this year.