Chip makers at odds with EC on dumping policy

European chip makers will not negotiate with Asian DRam importers because they want tougher laws on dumping, despite the wishes of the European Commission (EC).

Chip dumping has led to disagreements between the EC and the European Electronic Component Manufacturers? Association (EECMA) about the European Union policy. US and European semiconductor manufacturers are reported to have indicated that governments are not doing enough to stop dumping.

But the EC has asked the EECMA to hold talks with Japanese and Korean companies so it does not have to introduce tough dumping laws, which would mainly affect minimum prices of DRam.

The EECMA, however, will not negotiate unless the EC enforces tougher anti-dumping laws on DRam imports, according to EECMA general secretary Eckhard Runge.

?We would agree to this under certain conditions ? we would not have an industry to industry agreement unless the commission can intervene on dumping,? said Runge.

He admitted that the EC disagrees and has told the EECMA that existing anti-dumping measures will not go on for ever. But if all parties were happy, he said, negotiations could start next month.

The most likely agreement would include the start of a data collection and notification system, similar to the one used by the US and Japan under another agreement.

Runge said anti-dumping talks between the EECMA, the US and Japan on flash memory chips broke down because the Japanese wanted DRam included in the monitoring process.