EU levies on Chinese fasteners may fuel tension

The European Union plans to impose tariffs as high as 87 percent on Chinese screws and bolts in a case that may prompt China to complain to the World Trade Organization, said a group of producers being targeted.

The five-year duties would apply to EU imports of iron or steel fasteners worth 575 million euros last year, said the Jiaxing Association of Fastener Import and Export Companies including Gem-Year Industrial Co.

Fasteners, used for everything from automotive parts to furniture, are made in the EU by companies, such as Italy's Fontana Luigi SpA, that say trade protection is needed to counter below-cost - or "dumped" - sales in Europe by Chinese competitors.