It is reported that in mid-August, the GCC Bureau of Technical Secretariat for Anti Injurious Practices in International Trade issued a notice stating that, at the request of three companies (Oman Reem Batteries and Powerappliances Company, Qatar Al Shabib Battery Factory (Q Power), Saudi Arabia Middle East Battery Company), an anti-dumping investigation has been launched on electric accumulators used for starting piston engines originating from or imported from China or Malaysia.
Additionally, the products involved in this case are lead-acid batteries used for starting piston engines (including separators), regardless of whether they are rectangular (including square). The products involved in this case fall under GCC HS code 85071000. According to the filing notice and GCC common law, interested parties must respond to the questionnaire completely and comprehensively within 40 days from the date the investigation authority sends the questionnaire to them or their export country representative, in order to obtain the status of a cooperating company. Companies that do not cooperate will likely receive the highest punitive tax rates, thereby losing the local market.
According to the SMM survey, the companies affected by this anti-dumping investigation are mainly concentrated in Guangdong, Zhejiang, Hubei, Jiangxi, and some Chinese-funded enterprises in Malaysia. Initially, the companies under investigation organized relevant materials and responded to the GCC's questionnaire for the investigation period from January 1, 2023 to December 31, 2023 and the damage investigation period from January 1, 2019 to December 31, 2023. By September, the impact of this event escalated. According to the survey, Middle Eastern companies have now completely stopped purchasing lead-acid batteries from related companies and have canceled all existing orders.
It is understood that the Gulf Cooperation Council is the most important political and economic organization in the Gulf region, abbreviated as GCC. Its official members are Saudi Arabia, the UAE, Qatar, Kuwait, Oman, and Bahrain.
According to customs data, in 2023, the exports of China's lead-acid batteries used for starting piston engines were 62.243 million units, with 2.1269 million units exported to Oman, Qatar, and Saudi Arabia, accounting for 3.42% of the total volume. By battery weight, the exports were 425,200 mt, with the exports to the aforementioned three countries accounting for 7.67%. Additionally, the exports of China's lead-acid batteries used for starting piston engines to GCC member countries accounted for 7.17% (by units) and 14.84% (by weight).
