Israeli PET firm gains exemption from EU anti-dumping rules

By Guy Montague-Jones

- Last updated on GMT

Related tags Middle east United arab emirates European union Eu

SZP Plastics Packaging Products, an Israeli PET film exporter focused on the food market, has gained an exemption from EU anti-dumping laws.

This week the Council amended regulations (EC) No 1292/2007 and (EC) No 367/2006 pertaining to imports of PET film from India, Brazil and Israel. It granted SZP an exemption from these regulations, which impose significant charges on PET film being resold onto the EU market.

A spokesperson for SZP said the anti-dumping rules had been a problem for the company resulting in checks at customs that would take time and cause delays. The spokesperson added that its exemption from the rules is very significant for the company in opening up the EU market.

Genuine producer

SZP lobbied for a review arguing that it is a genuine producer of PET products and not a reseller.

Following a review, EU investigators agreed with the Israeli company, ruling that it has not engaged in “circumvention practices”​ and should be exempted from the anti-dumping and counterveiling measures in force.

The EU investigation found no evidence that SZP was purchasing film from India to later resell it to countries in the Union.

The investigation also found that the raw material bought from India was used in the manufacture of PET products with other raw materials purchased domestically. It was not considered that the material was bought with the intention of circumventing trade rules.

Anti-dumping laws extended

The exemption was granted to SZP after the EU extended its anti-dumping measures in June to impose import tariffs on PET shipments from Iran and the United Arab Emirates (UAE).

The measures were outlined in Regulation (EU) 472/2010 after an investigation found that companies from the Middle Eastern countries had been selling PET into the EU at below market prices.

While the Commission acknowledged the ruling could see converters suffer it said any negative effects for them would be “outweighed by the expected benefits for the producers and their suppliers”.

Related topics Processing & packaging

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