GOLD COAST, AUSTRALIA - An Australian injection molder, Isis Corp. Pty. Ltd., has gone into receivership with a A$2.1 million (US$1.53 million) debt and is blaming Australia's Anti-Dumping Authority for failing to impose duties on Asian competitors. The Gold Coast-based com-pany is the sole Australian manufacturer of disposable polystyrene cutlery and claims it has had to compete with products imported at dumped prices from Thailand, China and Hong Kong for the past four years.
Managing director Brian Murati said Australia's anti-dumping legislation is ineffective and he wants an overhaul of ADA. A federal inquiry last year recommended changes to the Customs Service, but the method of investigating dumping claims has not changed, despite criticism from the plastics industry during the inquiry.
Dumping allegations are investigated by the Australian Customs Service. If the service determines there is a case, it asks ADA to decide what action, if any, to take. In the past, ADA has imposed extra duties on North American companies charged with dumping.
Murati said Isis succeeded in getting duties imposed on a Taiwanese company, but there were ``too many loopholes'' in the system and affiliated branches of the company were not subject to duties.
After Isis lodged another application, he said, ACS imposed provisional duties on the Taiwanese manufacturer, but ADA rejected the findings and no permanent duties were imposed.
Murati said Isis continually dropped its prices, which went as low as A$8.50 (US$6.19) per 1,000 cutlery pieces.
Isis' receivers plan to sell or refinance the company.