China's Ministry of Commerce has launched an anti-dumping (AD) investigation into imports of polyvinyl chloride (PVC) from the US, in an attempt to protect local manufacturers.
The investigation, which began on 25 September, will last for 12 months with a 6-month extension under special circumstances. The programme includes a dumping investigation into all of 2019.
The AD investigation followed a complaint filed on 18 August by Xinjiang Zhongtai Chemical, Xinjiang Tianye, Shaanxi Beiyuan Chemical, Tianjin Dagu Chemical and Yibin Tianyuan. The companies were concerned that the large imports of PVC from the US may hurt the domestic industry.
The US is one of the main producers and exporters of PVC globally, while China is the key consumer market. According to China's customs data, China imported 297,000t of US-origin PVC in 2019. The proportion of US cargoes in China's total PVC imports increased to 45pc in 2019, five percentage points higher than 2016.
Some Chinese importers said that the impact of anti-dumping policy may be limited because the majority of US PVC is taken by re-exporting converters who are exempted from paying import tariffs. There are also buyers who can switch to purchasing ethylene dichloride or vinyl chloride monomer, intermediates for producing PVC.
China terminated an AD investigation on PVC from the US, South Korea, Japan and Taiwan on 29 September 2019.
PVC is an organic synthetic material with strong physical and chemical properties, mainly used in building materials, packaging, electrical appliances, furniture decoration, and daily necessities.
