COLIBI fears dumping duty on Shimano's internal hubs will impact on sales

The European trade organisation has come off the fence and slammed the European Commission's October decision to inflict punitive hub duties on Shimano after a successful complaint by SRAM
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On 26 October 2001, the European Commission announced in their Official Journal (L282) the definitive imposition of an 11.3 percent anti-dumping duty on internal gear hubs originating in Japan.

The measure entered into force immediately and will be applied on top of the regular customs duty of 4.7 percent.

COLIBI took a neutral stance on the dumping complaint lodged by SRAM.

However, in the recently published Regulation, the European decision makers state that “in view of the limited proportion of bicycles equipped with internal gear hubs, it is concluded that the possible negative effects of the measure on users [defined in the text as bicycle manufacturers & assemblers, as well as certain retailers], cannot be considered such as to outweigh the expected benefits for the Community industry (parts’ producers).”

This angered COLIBI president René Takens:

"With this conclusion, the European decision makers may very well have underestimated the possible repercussions of the measure. It is obvious that the imposition of additional duties will affect price-fixing and therefore the final selling price of a bicycle.

"Whereas everyone is convinced that an increased cycle usage will contribute positively to traffic safety, environmental and mobility problems, the result will undoubtedly show to be very counter-productive.

"It is incomprehensible that the European Commission allows measures that will injure a European industry that is already facing hard times.”

The Bicycle Association of Great Britain was formerly a member of COLIBI but resigned in July after the Comité de Liaison des Fabricant Européens de Biciclettes (COLIBI) would not change its focus, and represent importers as well as pure manufacturers.

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