4 November 2009 – NAUE GmbH & Co. KG, a German manufacturer of geosynthetic materials, such as geosynthetic clay liners will be appealing a recent decision of Australian Customs imposing anti-dumping measures on its products. NAUE is an internationally active company with a long-standing record of high-performance products and high integrity in its involvement in the global market. This includes many years of successful interaction with and service to numerous sectors of civil engineering and construction in Australia.
The Minister for Home Affairs has accepted Customs and Border Protection’s recommendations in relation to the alleged dumping of the goods exported to Australia from Germany contained in Trade Measures Report No. 145.
The finding were that there was a dumping margin of 26.7% and that material injury had been suffered by the Australian industry on the basis of loss of sales volume, market share, price undercutting, price depression, price suppression and lost profits and reduced profitability.
However as shown when considering the level at which measures need to be imposed to prevent such injury that the actual “injury margin” was only 5.6%.
NAUE, who has co-operated fully with the investigation and supports free trade principles, strongly disagrees with the finding that it has materially injured the Australian industry. NAUE is particularly disappointed with the approach taken by Customs in arriving at its findings, which are contrary to the submission made by the European Commission in this case. The Commission pointed out that:
- sales volume actually increased over the total period under consideration
- the Australian industry in fact gained market share
- there was no conclusive evidence that price undercutting especially as half the comparisons made no price undercutting was found
- there was an improper consideration of price suppression and this increased overall during the period under investigation and was greater at the start of that period.
NAUE is concerned that Customs has not given proper attention to the significant role of Chinese imports on the Australian market in considering issues of injury. Chinese imports occupied a much larger share of the market than German imports and competed in all markets across Australia at prices above and below that of the Australian Industry. Customs did not pay proper regard to the impact of these imports in making a determination on material injury.
NAUE is considering its different options for appeal. It is confident that a proper application of the law and facts will result in the anti-dumping measures being overturned.
“NAUE has had a long involvement in the Australian market and is, as the inventor of these GCL products, well-regarded for high-quality materials and technical innovation,” said managing director Alexander NAUE. “We will continue to offer these products onto the Australian market at competitive and fair prices.”