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UPDATE 1-EU opens dumping probe into Chinese wireless modems

Published 06/30/2010, 11:44 AM
Updated 06/30/2010, 11:48 AM

(Adds detail)

BRUSSELS, June 30 (Reuters) - European Union trade regulators opened an investigation on Wednesday into a complaint that Chinese-made wireless modems were being dumped in EU markets.

The European Commission, in charge of trade policy for the 27-nation bloc, said it received the complaint from Belgium's Option, the sole maker of the wireless Internet devices in Europe.

The products under investigation are known as wireless wide area networking (WWAN) modems. They have a radio antenna and provide Internet Protocol data connectivity for computers.

"The prima facie evidence provided by the complainant shows that the volume and the prices of the imported product under investigation have, among other consequences, had a negative impact," the Commission said in its official journal.

The suspected dumping appears to have led to substantial adverse effects on the overall performance and financial situation of Option, the Commission said.

EU regulators have up to 15 months to carry out their investigation. If the Commission finds that the products are being dumped at unfair prices, it can impose additional tariffs. (Writing by Bate Felix, editing by Dale Hudson)

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