Brussels, 04/12/2008 (Agence Europe) - The EU Council's antidumping committee, which brings trade experts from the Member States together, voted by a small majority on Wednesday 3 December to impose duty on steel fasteners (screws, nuts and hooks) from China (EUROPE 9790. Custom duties will be between 63 and 87% but still require definitive approval by the Council of ministers before a five year implementation. Diplomatic sources indicate that these measures have only been approved by a small majority, which reflects divergences between Member States on punishing a key partner, like China, for non-respect of fair trade rules and the need to promote certain interests, namely, those of consumers or business leaders. The duties proposed by the European Commission were approved by 14 Member States, rejected by 12, with only one Member State abstaining.
This decision risks stoking up further tension between the EU and China, following the unilaterally decided postponement by Beijing of the EU/China summit planned in Lyon on 1 December, in protest against the planned meeting on 6 December between the Dalai Lama and the French Head of State and president of the European Council, Nicolas Sarkozy. On Thursday, the Chinese foreign minister called on the EU to pursue dialogue and negotiation and also said that it hoped that this dossier would not affect the general relationship between China and the EU. China is the main producer in the world of steel fasteners and the EU is the main destination of its exports, accounting for almost EUR575 million in 2007. (E.U./trans/rh)