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Bicycle Makers Accuse China of Dumping Cheap Products

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From Bloomberg Business News

Huffy Bicycle Corp., Roadmaster Corp. and Murray Ohio Manufacturing Co. have filed an anti-dumping action against bicycles imported from China, a trade group said.

The Bicycle Manufacturers Assn. of America said the three companies filed a suit with the U.S. Commerce Department and the International Trade Commission charging that Chinese bicycles are sold in the U.S. “at less than fair value.” The complaint alleges the bicycles are sold in the United States for as much as 98% below their fair value, the BMA said.

In 1994, Chinese-made bikes accounted for 23.7% of the U.S. market, the trade group said. In January, 1995, market share had climbed to 32%, the BMA said.

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Canada, the European Union and Mexico have all imposed anti dumping duties on Chinese bicycles within the past few years, the BMA said.

The Commerce Department will decide by April 25 whether to initiate an investigation into the charges. If the government takes up the case, the ITC will make a preliminary determination by May 22 whether the domestic bicycle industry has been harmed by the alleged dumping.

Miamisburg, Ohio-based Huffy, Englewood, Colo.-based Roadmaster, and Murray Ohio of Brentwood, Tenn., make up about 95% of U.S. bicycle production, the BMA said.

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