Price hike for Far East bikes

Bikemagic Bikemagic

 

You know those Far Eastern bikes and bike parts that
you’re keen on? They could be shooting up in price next year thanks to the European
Commission starting “anti-dumping” proceedings concerning imports of bicycle
frames, forks and wheels originating in Taiwan and China. Previous – and successful
- complaints have been won against importation of full bicycles from the Far East.

The latest notice of proceedings follows the anti-dumping complaint filed by the
protectionist Paris-based European Bicycle Manufacturer’s Association in September.
EBMA claim that its members make over 55 percent of the bikes sold in the EU and
that their anti-dumping complaint is to give members “a level playing field.”

Were it to be successful the complaint could lead to massive price hikes. The dumping
allegations are based on a comparison of the normal cost of the products with their
export price into the EU. As a ‘control’ the commission is using the Mexican economy
to set the normal cost of Chinese products (which, after all, is a state-controlled
economy).

In the UK, the Bicycle Association and the Association of Cycle Traders are to lobby
the EU to drop the complaint. Most of the top-end brands who import frames from the
Far East could be affected by any adverse ruling but their UK-based subsidiaries
and agents are generally not members of the BA.

Organisations and companies who wish to fight the anti-dumping complaint have until
the middle of December to supply the commission with statements and information.
A decision from the EU would then be expected in the Spring.

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