LEIDEN, The Netherlands (June 8, 2016) — The International Retread Association, Bipaver, is calling on the European Commission (EC) to take action to “safeguard” the European retreading industry from the negative effects of rising imports of “low-quality, low-cost” truck tires from China.
Bipaver issued a public appeal this week to European Commissioner for Trade Cecilia Malmstrøm to “reassess what the EU (European Union) can or cannot do in the coming weeks in order to establish a level playing field” to help the retreading industry in the face of imported tires' being sold at prices below the cost of retreading.
In its appeal, Bipaver in particular pointed to the 400-plus small to medium-size retreading enterprises, which employ more than 10,000 collectively.
Bipaver noted that in the past five years, “cheap imports” have grown fivefold to approximately 5 million tires while at the same time truck tire retreading has dropped 50 percent to roughly 4 million tires. The European replacement market represents about 10 million new truck tires.
Market conditions have worsened over the last year, Bipaver said, mainly due to an increase of anti-dumping regulations in neighboring continents.
The association is making its plea directly to Ms. Malmstrøm after waiting for more than a year for the EC to act on an earlier request to the commission's Directorate-General Trade to consider the retread industry's plight.
“…(I)t has become that the European Commission is not able to defend our industry due to the lack of legislation for this specific situation within the retread industry,” Bipaver said, noting that instead, the EU is “discussing opening even further the EU market to imports from diverse exporting countries….”
Thus, Bipaver added, “…the retreading industry cannot understand the added value of a European trade policy if they are not able to defend their own [small] industries.”