FAS opposed the return of the EEC anti-dumping duties 34.22% for railway wheels Ukrainian Interpipe. The service notes that, according to her findings, on the market with 50% market share dominates the Vyksa steel works United metallurgical company, with whom she is now suing, and “Interpipe” not lowers the price relative to Russian producers. According to analysts, the price of the wheels still has not dropped to an acceptable for operators level.FAS has opposed the recovery of anti-dumping duties 34.22% for the supply of railway wheels Ukrainian Interpipe into the customs territory of the EAEU returned from 2 June (see “Kommersant-Online”, 2 June). It follows from the letter of the head of FAS Igor Artemyev, the head of Ministry of Economics Maxim Reshetnikov, at the same time the head of the Subcommission on customs tariff and nontariff regulation, protective measures in foreign trade of the state Commission on economic development and integration, June 3 (there is a “b”).In April 2018 EEC on the treatment of Russian producers of wheels, the Vyksa metallurgical plant (VMZ, part of OMK Anatoly Sedykh) and Nizhny Tagil metallurgical plant (NTMK) Evraz Roman Abramovich and partners — imposed anti-dumping duty against steel solid-rolled wheels (CCC), the Ukrainian production (see Kommersant of January 22, 2018). But then on the background of acute shortage of wheels that forced the Russian railway to import them from China, 23 July 2019, the EEC has suspended its action until 1 June. Now the EEC, as well as the Ministry of transport and Russian Railways, found that the situation has changed, the deficit turned to surplus and the continued suspension of duties is impractical (see “Kommersant” on 22 may). It was opposed by the railway operators, the argument of which was that the price of CCC is still not significantly decreased: the wheels are still three times more than in 2015.In his letter, Mr. Artemyev writes that, according to the FAS, “signs cutting prices on wheels production of “Interpipe” relative prices of Russian producers do not exist”, as well as reason to believe that deliveries to the territory of the Russian Federation in the period of suspension of duty caused damage to Russian production wheels. Moreover, he recalls, the FAS is considering a case on violation of Antimonopoly legislation VMZ in the period from 2019 (see “Kommersant” on August 1, 2019). In accordance with the competition analysis determined that VMZ has occupied a dominant position in the Russian market in 2017-2019 years with a share of over 50%. In 2020, the projected decline in demand for steel CCC, writes Mr. Artemyev. “The renewal fees may result in keeping prices of domestic producers on high level, which will negatively affect the state of competition in the market and the interests of consumers��her, including the cost of providing freight cars for the transport of goods”,— said in the letter. In the FAS “Kommersant” confirmed the authenticity of the letter and the relevance of their position. In OMK and Evraz declined to comment.The head of Infoline-Analytics Mikhail Burmistrov said that the price of the wheels are not dropped to an acceptable market level and now be not less than 75 thousand RUB over the wheel and long-term contracts 80-85 thousand RUB on the spot. Wheelset “new axis, a new wheel of” the price is 210 and 220-230 thousand RUB thousand RUB, respectively. At the same time, he believes, amid the decline in demand for wheels in terms of reduction of production of cars and demand for rolling stock, the share of Interpipe in the Russian market will be reduced considerably, given the impact fees. However, the analyst continues, the company will not withdraw from the market completely, because due to the low cost even with the delivery fee “Interpipe” in Russia will remain profitable.Natalia Skorlygina
