Duty placed on China wheel imports

Aluminium car wheels imported from China are set to carry a 20.6% duty after a decision passed by the European Commission (EC).

According to the Telegraph newspaper, the commission has introduced the tax in response to complaints that customers in Europe were able to buy the wheels for less than they cost to produce, pricing out European manufacturers.

The Association of European Wheel Manufacturers complained that the sales and production of wheels made in Europe was being hit by the cheap Chinese imports, which were dominating the market.

The tax has initially been brought in for six months, but may be extended for anything up to five years.

The EC said that while the tax will not have an impact on the prices European car buyers are paying, it will reduce the number of cheap imports, which have risen from 3.7 million units in 2006 to 6.1 million in June last year.

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