Fiber makers play down EU anti dumping duty<\/p>\n
JAKARTA (JP): Anti dumping duties imposed by the European
\nCommission will not really hurt Indonesian fiber makers as the
\ndomestic market is absorbing much of the nation's fiber output,
\ntwo major textile producers said on Thursday.<\/p>\n
Corporate Secretary of publicly listed PT Indo-Rama
\nSynthetics, Vs Baldwa, said that the company sold only a small
\namount of polyester staple fiber products to the European market.<\/p>\n
\"The effects of the anti-dumping duty is not that significant
\nfor us,\" Baldwa said, but declined to mention the company's
\nexport value to Europe.<\/p>\n
Meanwhile, publicly listed PT Teijin Indonesia Fiber
\nCorporation (Tifico) expressed similar optimism, saying that the
\nEuropean market made up only a small share of its polyester
\nstable fiber sales.<\/p>\n
\"Our fiber sales to Europe are insignificant compared to sales
\nin the domestic market,\" said Elinda Firga, a management staffer
\ndirecting the company's stance against anti-dumping charges.<\/p>\n
She said that increasing fiber demand in the domestic market
\neven required Tifico to import fiber from its sister company in
\nThailand.<\/p>\n
The European Commission on Monday issued anti-dumping duties
\non Indonesian fiber producers, ranging between 5.2 and 20.8
\npercent, following investigations in response to complaints by EU
\nfiber producers.<\/p>\n
The commission imposed the same duties, ranging between 13.6
\nand 35.3 percent, on Australian, Thailand and Taiwan fiber
\nmakers.<\/p>\n
Baldwa said that most of Indo-Rama's polyester staple fiber
\nproducts were absorbed by the domestic market, citing as an
\nexample that out of 60,000 tons of production, just 40 tons were
\nsent to Europe.<\/p>\n
The European Commission imposed anti-dumping duty of 5.2
\npercent on Indo-Rama fibers, which according to Baldwa was the
\nsmallest rate compared to those imposed on other Indonesian and
\nforeign fiber producers in Australia, Thailand and Taiwan.<\/p>\n
Baldwa said Indo-Rama received a lower anti-dumping duty
\nbecause the company set the highest price on its products. \"There
\nis actually an opportunity for us to continue our export to
\nEurope.\"<\/p>\n
Meanwhile, Elinda said the European Commission imposed 13.7
\npercent anti-dumping duty on the Tifico's fiber, which according
\nto her would effectively shut its European market.<\/p>\n
\"Moreover, we sell our fibers to trading houses who in turn
\nexport them to Europe; so our products aren't cheap,\" Elinda
\nsaid.<\/p>\n
She said the company had yet to obtain a written statement
\nfrom the European Commission, elaborating their decision.<\/p>\n
According to her, Tifico had been very cooperative during the
\none year investigation period, saying that Indonesian companies
\nthat failed to follow the proceedings were charged 20.8 percent.<\/p>\n
Both Baldwa and Elinda said the imposition of anti-dumping
\nsurcharges by the European Commission was certainly undesirable.<\/p>\n
Baldwa said the anti-dumping decision by the commission was
\nmore based on their efforts to save EU's fiber industry from
\nbankruptcy rather than upholding fair trading principles.<\/p>\n
\"They were heading towards bankruptcy because they're not
\ncompetitive,\" he said and suggested the decision went against the
\nspirit of free trade as championed by the World Trade
\nOrganization. (03)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/fiber-makers-play-down-eu-anti-dumping-duty-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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