Bicycles and Finished Painted Bicycle Frames...
2 September 2005
Bicycles and Finished Painted Bicycle Frames
Safeguard Inquiry Nos. GS-2004-001 and GS-2004-002
On 10 February 2005, following a complaint filed by the Canadian Bicycle Manufacturers Association, the CITT commenced a global safeguard inquiry into the importation of certain bicycles and certain bicycle frames. On 24 March 2005, following a second complaint filed by the Canadian Bicycle Manufacturers Association regarding certain bicycle frames, the CITT issued its notice of decision to commence a global safeguard inquiry into the importation of certain finished painted bicycle frames.
REMEDY RECOMMENDATION
Having regard to all the relevant factors, the CITT considers the most appropriate remedy in this case to be a surtax set at 30 per cent in the first year of application, 25 per cent in the second year and 20 per cent in the third year.
The Tribunal recommends that the surtax be applied to imports of bicycles, assembled or unassembled, with a wheel diameter greater than 38.1 centimetres (15 inches) with an FOB value of CAN$225 or less (equivalent to CAN$400 retail), subject to the exclusion of imports from free-trade agreement partners and certain developing countries (see Chapter V), and the exclusion of certain types of bicycles (see Chapter IV). The recommended remedy is set at a level that, in the Tribunal’s view, does not exceed what is necessary to remove the serious injury.
This report is available on the CITT web site, at:
http://www.citt-tcce.gc.ca/safeguar/global/finalrep/gs2e001_e.asp