UK proposes anti-dumping duty of up to 83.5% on Chinese excavators

The UK’s Trade Remedies Authority (TRA) recommended on Tuesday imposing a new anti-dumping duty measure of up to 83.5 per cent on imports of Chinese excavators weighing between 11 and 80 tons. The measure aims to protect domestic manufacturers from unfair competition and could generate annual benefits of up to £3.4 million for UK producers.

The proposed tariff ranges from 33.03 per cent for Chinese producers who participated in the investigation to 83.5 per cent for those who did not. This decision follows findings that Chinese exporters undercut UK excavator prices by 23.39 per cent, leveraging artificially low production costs.

“Excavator production is an important component of the UK’s Advanced Manufacturing sector.” said TRA Chief Executive Oliver Griffiths. “Our provisional finding is that UK producers are being undercut significantly by dumped imports from China.”

Declining Market Share for UK Producers

The investigation, initiated in response to an application from Staffordshire-based multinational JCB, revealed that the UK excavator industry’s market share declined by 11 per cent during the injury period, despite employing 900 workers and achieving a turnover of £500 million. UK producers accounted for 10-25 per cent of the 180,000 tons of excavators sold in the UK during the investigation period (July 2022–June 2023).

The TRA’s Statement of Essential Facts outlines its initial findings and proposes the duty to address the impact of unfair pricing practices on UK manufacturers. The duty would apply exclusively to excavators weighing between 11 and 80 tons, as the UK does not produce models above 80 tons.

Next Steps

Interested parties have until December 16, 2024, to submit comments on the TRA’s findings via its public file. Following this feedback, the TRA will finalise its recommendation.

The proposed measure reflects the TRA’s commitment to safeguarding UK industries against unfair trading practices while maintaining a competitive market.

Attribution: TRA

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