Given you are using Premiere Elements 11. On what computer operating system is it running?
What is the specific model of the Fuji camera that you are using and what have you set for recording? Do you see any mention of an .avi file extension and/or the resolution 720p (1280 x 720)? Did a utility come with the camera to supply necessary codecs?
It is best if you post a MediaInfo properties readout for the video file that is giving the error message.
You could also try looking a video and audio codec status via the gpot utility
What is the file extension for this video? And, have you ever gotten this video to import successfully in Premiere Elements (any version)?
But, if you have any difficulties with that, we can always try to figure out the video properties from the brand/model and settings for the camera.
Once we figure out what went wrong here, we will be better able to advise on matters moving forward with other video editing projects.
The answers will be in the details.
Looking forward to your follow up.