In accordance with the Anti-dumping Regulations of the People's Republic of China (hereinafter referred to as the “Anti-dumping Regulations”), on June 23, 2017, the Ministry of Commerce (hereinafter referred to as the “Investigation Authority”) issued Announcement No.31 of 2017, deciding to carry out anti-dumping investigation against imports of styrene monomer ("SM") originating in the Republic of Korea, Taiwan region and the United States.
The investigation authority has investigated into the existence of dumping and dumping margin, the existence of damage to industry in mainland China caused by the products under investigation and the extent of such damage, as well as the causal relationship between the dumping and the damage. The investigation authority has made a preliminary ruling (see the Annex) according to the investigation findings and Article 24 of the Anti-dumping Regulations. Relevant matters are hereby announced as follows:
I. Preliminary ruling
The investigation authority preliminarily ruled that there was dumping of SM originating in the Republic of Korea, Taiwan region and the United States and the SM industry in mainland China was substantially damaged, and there was causal relationship between the dumping and the substantive damage.
II. Levying of margin
The investigation authority decides to carry out interim anti-dumping measures by levying margin according to Article 28 and Article 29 of the Anti-dumping Regulations. As of February 13, 2018, import operators shall pay relevant margin to the Customs of the People’s Republic of China at the rate determined by this ruling for each company when importing the products under investigation.
Details of the products under investigation are as follows:
Scope of investigation: imports of SM originating in the Republic of Korea, Taiwan region and the United States.
Name of the products under investigation:苯乙烯, or 乙烯基苯、苏合香烯、乙烯苯. English names: Styrene, or Styrene Monomer (SM), Phenylethylene.
Description: SM is an oily liquid, usually colorless or yellowish in appearance, with aromatic smell. It can be mixed with alcohol, ether, acetone and carbon disulfide, but it is insoluble in water. Its chemical properties are lively. It is inflammable and explosive when exposed to high temperature or fire. It is easy to polymerize under heat or light or catalyzed by peroxide.
Main purposes: as an important basic organic chemical raw material, SM is mainly used for the production of EPS, PS, ABS resin, UPR, SBS, SBR, SBL and others.SM can also be used in the synthesis of intermediate, anthraquinone, pesticide emulsifier, medicine, mineral processing agent styrene phosphonic acid and so on. At the same time, SM is also an excellent organic solvent.
The product is listed under tariff number of 29025000 in the Customs Import and Export Tariff of the People’s Republic of China.
Rates of margin imposed on companies are as follows:
Companies of the Republic of Korea:
1. HANWHA TOTAL PETROCHEMICAL CO., LTD. 7.8%
2. Yeochun NCC Co., Ltd 7.8%
3. LOTTE CHEMICAL CORPORATION 8.4%
4. LG Chem, Ltd. 8.0%
5. SK global chemical Co., Ltd. 8.0%
6. All others 8.4%
Companies of Taiwan region:
1. FORMOSA CHEMICALS FIBER CORPORATION 5.0%
2. All others 5.0%
Companies of the United States:
1. Lyondell Chemical Company 9.2%
2. Westlake Styrene LLC 10.7%
3.INEOS Styrolution America LLC 9.6%
4. Americas Styrenics LLC 9.6%
5. All others 10.7%
III. Methods on levying of margin
As of February 13, 2018, import operators shall pay relevant margin to the Customs of the People’s Republic of China according to the dumping margin determined by this ruling for each company when importing SM originating in the Republic of Korea, Taiwan region and the United States. The margin is levied by means of ad valorem on the basis of dutiable value authorized by China Customs, and the formula is: margin = (dutiable value authorized by the Customs * levying rate)* (1+ import value-added tax rate).
An interested party may submit written comments to the investigation authority within 10 days from the promulgation date hereof.
Ministry of Commerce of the People's Republic of China
February 12, 2018