European fine paper makers association CEPIFINE, whose members include Arjo Wiggins, owned by French paper group Sequana , International Paper , and Sappi , complained to European Commission early this year.
The group which represent more than 25 percent of the total EU production of coated fine paper -- used to make products such as high quality books, magazines and catalogues -- alleges that imports originating in China, are being dumped in the EU market.
"Having determined...that there is sufficient evidence to justify the initiation of a proceeding, the Commission hereby initiates an investigation," the EU said in its official journal on Thursday.
"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 on the quantities sold and market share held by the Union industry," it said.
The probe raises the prospect of another round of trade tensions between China and the 27-nation EU as a growing number of European manufacturers have sought to fend off what they consider to be unfair competition from China using EU's anti-dumping duties. (Reuters)
