Customs responsibility barrier to ceramic tile exports from the European Union

Leyla İLHAN

■ The EU Fee opened an anti-dumping investigation towards Turkish ceramic tile merchandise. The EU is anticipated to announce its last determination on the investigation on the 18.7 p.c customs tax on 11 February. The EU is the largest market of the Turkish ceramics business.

■ It’s said that the investigation was opened towards this nation after India not too long ago decreased its gross sales costs within the EU market and quickly elevated its share, after which the investigation was expanded to incorporate Turkish ceramic tile merchandise.

The Turkish ceramics business confronted an anti-dumping investigation within the European Union, which is its largest export market. The anti-dumping investigation, which got here to the fore as India made extra gross sales to the European market with its rising manufacturing in ceramics and falling freight costs, additionally unfold to Turkish merchandise, that are rising quickly within the EU market. Appearing upon the complaints of European ceramic producers, the EU Fee launched an anti-dumping investigation for ceramic tile merchandise imported from Turkey after India. The EU is anticipated to announce its last determination on February 11 concerning the investigation, which includes an 18.7 p.c customs tax. It’s said that the Turkish ceramics business is the primary to cope with the EU’s anti-dumping investigation.

Trade may shrink by half

Huseyin Tanış, Vice Chairman of the Board of Administrators of Uşak Seramik, touched upon the affect of India within the anti-dumping investigation and stated: “Up to now, freight costs have been excessive, transport costs have been low, and Indian producers, who produce cheaper than us, began to enter each Turkey and Europe. Because of this, there’s speak of a customs tax of 18.7 p.c for a lot of corporations in Turkey and 9 p.c for India. This determination will likely be applied on February 11. I hope it won’t be as it’s, the follow will change.” Electrical energy and pure fuel have a share of 60 p.c in prices, rising energy Explaining that they misplaced their competitiveness as a result of their costs, Tanış stated, “Capacities within the sector have already shrunk by 30 p.c. If there isn’t any lower in vitality costs in 2023 and taxes come, the sector will shrink by half.”

India is on the forefront with worth benefit

Noting that India has made large investments within the subject of ceramics, Vitra Karo Common Supervisor Hasan Pehlivan stated, “They rank second after China when it comes to capability on the earth. Attributable to extra capability, they’re on the lookout for new markets and clients. Once we take a look at the labor value, they’re in an advantageous place in comparison with Turkey. Along with labor, container costs additionally decreased, accordingly. logistics Because of catching the benefit, they’ve began to come back to the fore extra with their worth benefit within the final 2 months.”

The choice will likely be introduced on February 11

Noting that after India’s fast improve in its gross sales in Europe within the final 5 years, European ceramic producers demanded an investigation, Pehlivan said that “Later, because of the rising export figures, the scope of the investigation was expanded and Turkey was additionally included.” Explaining that the method nonetheless continues throughout the framework of the principles set by the World Commerce Group, Pehlivan stated, “Particularly throughout the pandemic interval, between July 1, 2020 and July 30, 2021, Turkish producers continued their manufacturing by taking all vital precautions, assembly the rising demand of Europe and stated: skilled a development. He stated that throughout the scope of the investigation launched on account of this, solely the preliminary determination has been revealed for now and the ultimate determination on the method will likely be made on February 11, 2023.

The federal government is following

Stating that there has by no means been such an investigation within the ceramics business, Pehlivan stated, “The preliminary determination in query is open to objections and opinions of the events and isn’t a last determination. Our firm meticulously carries out the work of confirming the calculations of the European Fee with professionals within the subject, each native and worldwide. Additionally, not like India, we’re within the EU Customs Union. As a rustic, we’re additionally a member of the European Ceramic Tile Producers Affiliation. We raised the problem there. The related course of continues. We are going to proceed to work on the problem for the subsequent 1-2 months,” he stated.

Stating that the related authorities of the state are additionally following the problem intently, Hasan Pehlivan stated, “The Turkish Ceramics Federation and the Central Anatolian Exporters’ Affiliation are meticulously within the course of. Our Ministry of Commerce additionally offers all vital help on this regard.”

60 p.c of the turnover is from floor-wall ceramics

Saying that the anti-dumping investigation began for floor-wall tile ceramics, Elginkan Group Government Council Chairman Gaye Akçen stated, “60% of the business’s turnover comes from floor-wall tile ceramics. The appliance that began for ceramic tiles from India unfold to us as nicely. Nevertheless, in the event that they begin to implement these incorrect anti-dumping choices, it will likely be a really, very difficult factor for floor-wall ceramics. There are customs tax functions that go as much as 48 p.c. With such a factor that may improve our costs by half, our competitiveness will likely be misplaced and our export possibilities will likely be tough. On this case, it isn’t potential for us to compete with India, which sells 30 p.c cheaper than us.”

Ceramics coming from India to Turkey elevated 7 occasions

Having turn out to be the largest participant on the earth with its investments in recent times, India’s ceramic gross sales to Turkey additionally gained momentum. As well as, Iranian ceramics are additionally showing out there. Evaluating this example, Vitra Karo Common Supervisor Hasan Pehlivan stated, “In response to the info for the primary 9 months of 2022, the whole import of ceramic tile supplies in Turkey elevated 4.5 occasions, whereas the rise in imports from India was 7 occasions. Whereas imports from Iran have been nearly non-existent earlier than, now it has exceeded 700 thousand sq. meters, that’s, roughly 5 million {dollars}.

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