Anti-dumping case wins Haiyan fasteners company to blow "warm wind"

On July 15, the World Trade Organization (WTO) ruled that China won the EU fastener anti-dumping case. This will make it impossible for the EU to propose anti-dumping again before the amendment of the Trade Law. This is undoubtedly blowing warm air for Haiyan Fasteners.

Fasteners are one of the key pillar industries in Haiyan County. Haiyan is known as "iron sea salt." At present, there are more than 800 fastener companies in the county. In 2008, the county's self-supporting fastener products (iron and steel products) exported 500 million U.S. dollars, and the product output value and export volume accounted for more than 10% of the country's total.

"The increase in the tax rate brought by anti-dumping in the EU has led to the export of a quarter of local enterprises' products in the past two years." Xu Deren, executive vice president of Zhejiang Fastener Industry Association, said that in early 2009, the EU announced that it would produce products from China. Fasteners increased revenue by up to 5 years and up to 87% of anti-dumping duties, resulting in the entire industry experiencing a cold winter after the climax of 2008.

It is understood that the EU is one of the WTO members that has launched the most anti-dumping investigations against Chinese products in the world. Its legal provisions on the separate tax rates in the Anti-Dumping Basic Regulations have long caused Chinese companies to suffer unfair treatment.

The WTO ruling will help improve the competitive environment of Chinese companies in the international market, including the EU. It will also increase the confidence of WTO members in WTO rules and the multilateral trading system.

"I learned of this incident on the night of July 16th. It is definitely good news!" said Gu Weiping, the person in charge of Jiaxing Brothers Standard Parts Co., Ltd., who told the author.

Xu Deren said that in the process of responding to various anti-dumping cases, Haiyan fastener companies have also continuously improved themselves, issued industry code of conduct, and reduced unnecessary internal friction.

It is understood that in order to cope with the increase in costs brought about by anti-dumping, the Fastener Industry Association is actively contacting with large-scale steel plants and hopes to cooperate with the steel mills in order to carry out bail purchases for local fastener companies, reduce procurement costs and allow fasteners. Businesses can benefit from it.

"The overall situation in the first half of this year was good. Orders from various companies also continued to increase." Xu Deren told the author that since the beginning of this year, local fastener companies in Haiyan have had a good situation. Apart from being tight with funds and employment, they have basically kept rising. The success of the anti-dumping case against the EU has given a boost to banks’ financial support for the fastener industry. ”