The UK Government has reduced the anti-dumping rate that two Chinese e-bike manufacturers are obliged to pay from 62.1% to 16.2%. The duty was introduced to prevent China from flooding the market with cheap e-bikes and forcing local manufacturers out of business, however the Trade Remedies Authority (TRA) argued the reductions were necessary to help meet growing demand.

First introduced by the EU in 1993, anti-dumping measures involve the imposition of a tariff on bikes and e-bikes made in China.

The rules also apply to several other countries (Cambodia, Indonesia, Malaysia, Pakistan, the Philippines, Sri Lanka and Tunisia) which Chinese manufacturers have previously tried to use to circumvent the measures.

Bike EU reports that in April two firms – Jinhua Otmar Technology Co Limited, PRC, and Jinhua Seno Technology Co Limited, PRC – applied for a ‘new exporter review’ with a view to moving to a lower import tariff rate.

In August the TRA – which investigates unfair trading practices – recommended that the rate be reduced from 62.1% to 16.2% which is the “non-sampled overseas exporter amount”.

In a statement, it said: “The UK e-bike market was worth £280 million (€324 million) in sales in 2020 and this is expected to triple by 2024. The change in tariff rate is expected to help meet demand in this growing market by making it possible for these new exporters to enter the UK fairly and by providing a wider range of options to UK consumers.”

The Secretary of State accepted the TRA recommendation and the lower rate will apply until January 2024.