European Bicycle Manufacturers Association files EU anti-dumping complaint to stop the dumping of Chinese e-bikes
Moreno Fioravanti, Secretary General at the European Bicycle Manufacturers Association (EBMA) announced: "Dumped Chinese e-bikes are flooding the EU market. European e-bikes are undercut and overwhelmed in their home market by heavily subsidised, illegally dumped Chinese e-bikes sold below their cost of production."
"Imports of e-bikes from China have been increasing quickly and have now exploded, with imports in the first seven months of 2017 already exceeding the entire 2016 import volume. Imports into the EU of e-bikes from China increased from virtually zero in 2010 to a level likely over 800,000 in 2017. Therefore, we have filed a complaint with the European Commission, calling for the registration of imports and urgent anti-dumping measures on e-bikes from China. The EBMA is also preparing an anti-subsidy complaint. We urge the European Commission to investigate the unfair trade practices of Chinese e-bike exporters as soon as possible," said Fioravanti.
More than 430,000 Chinese e-bikes were dumped into the EU in 2016, representing 70% of all e-bikes imported from outside Europe. Chinese imports in 2016 showed a massive 40% volume growth compared to the previous year.
"European manufacturers invented the Electrically Power Assisted Cycles (EPAC) pedal technology and the most recent innovation, the centre engine system, which revolutionised the industry. With over 90,000 direct and indirect skilled workers, the EU bicycle industry has invested over €1 billion in e-bike development in 2016 alone. Hence, major EU investments, innovation and competiveness, as well as substantial employment and the protection of the environment, would be at risk without the imposition of measures," said Fioravanti.
According to data from the Confederation of the European Bicycle Industry, e-bike production capacities in China were at 51 million units in 2016 and consumption at 28 million, meaning there exists a Chinese overcapacity of 23 million e-bikes, which is more than ten times total European demand. Alarmingly, the People's Republic of China's 13th 5-Year Plan sets a clear 2020 goal that the "export of electric bicycles will be dramatically increased" and the "portion of middle and high-end bicycles and lithium battery electric bicycles will be increased year by year".
In contrast, total 2016 EU production was just over 1 million e-bikes, which though an increase of 13% on the previous year, was much less than the growth of EU consumption because of the flood of dumped Chinese e-bikes. Overall, the European market is booming, but the explosion in growth of dumped Chinese e-bikes is rapidly taking away market share from the EU producers, and will annihilate European production within only a few years if legitimate trade defence measures are not imposed by the EU.
"The European Commission must stop China dumping e-bikes and immediately register imports so anti-dumping duties can be applied retroactively. We are confident the European Commission will find that China is dumping e-bikes on a massive scale and that is causing material injury to European manufacturers. Anti-dumping measures are clearly in the EU's interest because e-bikes are a strategic, innovative industry for Europe's green and smart e-mobility future, and European consumers and suppliers all want local EU production to prosper", concluded Fioravanti.