Economics HL International IA (May 2019)

Brussels imposes tariffs on imports of Chinese electric bicycles

Regulators say dumping caused ‘material injury’ to European manufacturers

The EU has imposed tariffs on imports of Chinese electric bicycles, in an effort to shield the bloc’s manufacturers against dumping at a time of rising trade tensions around the globe.

Brussels decided to impose provisional anti-dumping duties of between 21.8 per cent and 83.6 per cent on inbound shipments of e-bikes from China, without which it said a further deterioration of the industry’s economic and financial situation was “very likely”.

Regulators found evidence of dumping — selling a product below home market prices — as a result of which the region’s e-bike producers suffered “material injury”.

The move is the latest EU measure against Chinese exports deemed to be unfairly undercutting the region’s own businesses, ranging from steel and solar panels to ceramics. It comes as the US and China are embroiled in a full-scale trade war, targeting tens of billions of dollars worth of each other’s goods with punitive levies…