UK could hit Chinese excavators with duty of up to 83.5% after anti-dumping probe

The TRA said its proposed measures follow an investigation into the issue of cheap Chinese machines being ‘dumped’ on the UK market, in response to an application from manufacturer JCB.

Duty on imported machines would range from 33.03% from sampled producers that took part in the investigation to 83.5% for all other overseas exporters that did not participate, according to the TRA’s proposals.

The TRA found that Chinese exporters undercut UK prices by an average rate of 23.4% by using reduced production costs. UK competitors were unable to compete with what the TRA called an “artificially low cost base”.

Around 180,000 tonnes of excavators were sold in the UK during the period of investigation, with the UK industry supplying between 10-25% of this volume. The UK industry’s market share decreased by 11% over the “injury period” (1 July 2022 to 30 June 2023).

A measure to increase duty on Chinese imports could benefit UK excavator producers by up to £3.4 million per year, the TRA estimated.

According to Off-Highway Research, the UK represents approximately 10% of the European excavator market.

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

The TRA has published its initial findings in a Statement of Essential Facts, proposing that an anti-dumping measure be imposed on imports of excavators from China weighing 11 tonnes or more, but less than 80 tonnes.

Interested parties now have until 16 December 2024 to comment on the SEF and can do so through the TRA’s public file.