My country's daily ceramic export enterprises are in urgent need of "change tactics" | Win-Win

September 08, 2022

Recently, the European Commission proposed to impose long-term import tariffs on porcelain plates and other dinnerware and kitchenware from China. The final tax rate proposed by the EU is between 13.1% and 36.1%. On November 15, 2012, the EU has officially made a preliminary anti-dumping ruling on the daily-use ceramic dinnerware originating in China.

According to the preliminary ruling, products cleared in the EU from November 16 will be subject to a six-month provisional anti-dumping duty. Although the long-term import tariffs proposed this time are lower than the initial tariffs set in November last year, the implementation period of such tariffs usually lasts for five years and will affect nearly 2,000 companies, involving about 728 million euros of goods. The export of ceramic dinnerware has a far-reaching impact.

At present, there are 14 enterprises exporting daily-use ceramics in Tangshan area, and the annual export value to the EU is about 20 million US dollars. Although the export value is increasing year by year, it is already chilling. Tangshan Win-Win Ceramics Co., Ltd. ("Win-Win Ceramics" for short) is a major exporter of ceramics in Tangshan. On November 15, 2012, it received an e-mail of "Temporary Tariffs". If the company's daily-use ceramics continue to be exported to the EU, a temporary new tax of 26.6% will be imposed. In other words, EU importers will pay an additional $26.6 in tax to the local area for every $100 more in imports. "This will directly affect the amount of orders placed by buyers, and export companies will be affected." Director Li of Win-Win estimates.

"In 2011, the export value of win-win daily-use ceramics was 23.08 million US dollars, of which the EU market accounted for 18.46 million US dollars, and the EU accounted for about 79% of the company's export market share. In 2012, the win-win daily-use ceramics export value was 21.2 million US dollars, of which the EU The market accounted for 16.5 million US dollars. The EU market orders fell by 10% in 2012." Director Li said, "The win-win EU orders in 2012 were affected by the EU's anti-dumping policy, and the export volume dropped significantly, among which the decline in the second half of 2012 was relatively This is mainly because EU customers choose to stock up ahead of time to avoid imposing high anti-dumping duties, so that exports in the EU market are basically balanced. However, the proposed long-term tariffs will have a far-reaching impact. We Businesses are also actively paying attention.”

According to statistics, from November 2012 to March 2013, Tangshan Win-Win Ceramics exported about 5.28 million US dollars of daily-use ceramics to the EU, a year-on-year decrease of about 25%. It can be seen that the temporary anti-dumping duties imposed by the EU have a great impact on the export of daily-use ceramics market. According to industry estimates, if the EU adopts the proposed final tax rate, nearly 80% of foreign trade enterprises exporting daily-use ceramics will be eliminated from the EU market.

The exporting daily-use ceramics processing and production enterprises in Tangshan are in a transition period. High labor costs, land costs and the severe economic situation abroad are forcing production enterprises to transform and upgrade, and carry out technological upgrades to increase the added value of products.

To this end, it is reminded that exporting daily-use ceramics manufacturers should take corresponding countermeasures: First, strengthen internal quality, accelerate industrial upgrading, and promote independent brands. Being "anti-dumped" means that the long-term low-cost competition expansion strategy of the ceramic industry is unsustainable, accelerating the development of low-carbon and high-value-added products, and increasing the added value of products through technological upgrading. Let independent brands bring more considerable profits to enterprises through brand premium. The second is to unravel the rules and actively respond. Relevant enterprises should keep abreast of relevant laws and regulations through various channels, be familiar with foreign technical trade measures, and actively respond to various trade risks. The third is to develop a diversified international market. It is often possible to develop a diversified international market through mutual shareholding and technical cooperation with foreign companies, relying on the sales channels of foreign companies to save the country, avoid becoming the object of anti-dumping investigations to the greatest extent, and effectively avoid overseas trade. risk. Fourth, expanding the domestic market is often a good choice when exporting to domestic sales is often hindered. Many local governments are implementing brand strategies, which will bring more opportunities for my country's export of high-quality fine ceramics, and will greatly enhance the ability of enterprises to resist risks.

Review of anti-dumping incidents on Chinese ceramic dinnerware in 2012

In February 2012, the Indonesian Anti-dumping Commission issued the "Pre-Final Disclosure" of the anti-dumping investigation on Chinese ceramic dinnerware products, and proposed to levy an 87% anti-dumping duty on related products.

On August 30, 2012, Mexico launched an anti-dumping investigation against China's daily-use ceramics, involving an amount of US$45 million.

On August 31, 2012, the Economic Community of Russia, Belarus and Kazakhstan initiated an investigation on the general safeguard measures for daily-use ceramics, and introduced technical trade measures on the grounds of protecting domestic industries.

In October 2012, the European Commission decided to impose a temporary anti-dumping duty on ceramic dinnerware originating in China, with a tax rate of 17.6% to 58.8%, and the implementation period is 6 months.

On December 26, 2012, the Brazilian Ministry of Trade, Development and Industry (DECOM) decided to initiate an anti-dumping investigation on China's exports of daily-use ceramic dinnerware to Brazil. On January 10, 2013, Brazil officially announced the list of sample companies.

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