Announcement No.31 [2017] of the Ministry of Commerce on carrying out anti-dumping investigation against imports of styrene originating in South Korea, Taiwan Region and US

Date: 2017-06-30 18:00:02, Source: MOFCOM, Today/Total Visits : 0/339

The Ministry of Commerce of the People's Republic of China (hereinafter referred to as the “Ministry of Commerce”) received the application for anti-dumping investigation formally submitted by Xinyang Technology Group Corporation Limited, Tianjin Dagu Chemical Co., Ltd., Jiangsu Leasty Chemical Co., Ltd., Changzhou Donghao Chemical Co., Ltd., Ningbo Keyuan Plastic Co., Ltd. and Shandong Shengyuan Petrochemical Technology Co., Ltd. (hereinafter referred to as the “Applicant”) on behalf of the domestic styrene industry on May 25, 2017. The Applicant requested the anti-dumping investigation against imports of styrene originating South Korea, Taiwan Region and the US. According to relevant provisions of the Regulations of the People's Republic of China on Anti-dumping, the Ministry of Commerce has examined the qualifications of the Applicant, relevant situations of the product with the investigation applied for, relevant situations of Chinese similar products, the influences of the product with the investigation applied for on the domestic industry, relevant situations of the country (region) with the investigation applied for and so on.

 

According to the evidences provided by the Applicant and the preliminary examination of the Ministry of Commerce, the styrene output of the Applicant in 2013, 2014, 2015 and 2016 all accounted for more than 50% of the total output of the Chinese mainland’s similar products in the same periods, which conforms to the provisions on the application for the anti-dumping investigation for the Chinese mainland’s industry in Article 11 and Article 13 of the Regulations of the People's Republic of China on Anti-dumping.

 

It is claimed in the application that the styrene originating in South Korea, Taiwan Region and the US is exported to the Chinese mainland at a price lower than the normal value. As per the evidences and information reasonably obtained, the Applicant takes the prices of the products similar to the products of South Korea, Taiwan Region and the US with the investigation applied for in the markets of the countries (region) as the basis for determining the normal value of the styrene originating in South Korea, Taiwan Region and the US, and the prices of exports of products similar to the products of South Korea, Taiwan Region and the US with the investigation applied for to the Chinese mainland determined by the Customs of the People’s Republic of China as per the relevant statistical data as the basis for determining the export prices of the styrene originating in South Korea, Taiwan Region and the US, and after adjustments to all factors influencing price comparability, claims the great dumping of the products with the investigation applied for. Meanwhile, it is claimed that the imports to China of the product with the investigation applied for increase largely, and the prices decrease generally, lowering the prices of similar products in the industry of the Chinese mainland. As a result, the capacity of similar products in the industry of the Chinese mainland cannot be utilized effectively, the growth in the sales quantity and market share is restrained, the sales prices continue to decrease, and the indicators such as capacity utilization rate, sales revenue, pretax profit, return rate on investment, labor productivity, ending inventory and cash flow show a trend of deterioration. The industry of the Chinese mainland has suffered substantial damages, and there is a casual relationship between the dumping of the products with the investigation applied for and the substantial damages of the industry of the Chinese mainland. Upon examination, the Ministry of Commerce believes that the application includes contents and relevant evidences required for the filing of the anti-dumping investigation in Article 14 and Article 15 of the Regulations of the People's Republic of China on Anti-dumping.

 

As per the above-mentioned examination results, the Ministry of Commerce decides, according to Article 16 of the Regulations of the People's Republic of China on Anti-dumping, to file the anti-dumping investigation against imports of the styrene originating in South Korea, Taiwan Region and the US as of June 23, 2017. Now the relevant matters are hereby announced as below:

 

1. Filing of Investigation and Investigation Period

 

As of the issue date of the Announcement, the Ministry of Commerce files the anti-dumping investigation against imports of the styrene originating in South Korea, Taiwan Region and the US. The anti-dumping investigation period determined upon the examination is from January 1, 2016 to December 31, 2016, and the investigation period for industrial damages is from January 1, 2013 to December 31, 2016.

 

2. The Product under Investigation and the Scope of Investigation

 

Scope of investigation: imports of the styrene originating in South Korea, Taiwan Region and the US.
Chinese name of the product under investigation: 苯乙烯, also known as 乙烯基苯, 苏合香烯 or 乙烯苯.
English name: styrene, also known as styrene monomer (SM for short) or phenylethylene.
The molecular structure: C6H5CH=CH2
The chemical structural formula:

 

 


Description of the product: Styrene is usually a colorless or light yellow oily liquid with aromatic odor. It is miscible with alcohol, ether and acetone, but insoluble in water. It has an active chemical property. It is prone to polymerizing when it is exposed to a high temperature environment, kindling material, inflammable material, explosive material, heat source or light, or it is catalyzed by some peroxide.

Main purposes: Styrene is an important basic organic chemical raw material. It is mainly used to produce expandable polystyrene (EPS), polystyrene (PS), acrylonitrile butadiene styrene (ABS) resin, unsaturated polyester resin (UPR), styreneic block copolymers (SBS), styrene butadiene rubber (SBR), styrene butadiene latex (SBL), etc. Styrene can also be used to synthesize dye intermediate anthraquinone, agricultural pesticide emulsifier, medicine, ore dressing agent styrene phosphonic acid, etc. In addition, styrene is an excellent organic solvent.

 

The said product is included into tariff code: 29124990 in the Customs Import and Export Tariff of the People’s Republic of China.

 

3. Registration for Participating in the Investigation

 

Any interested party may register with the Trade Remedy and Investigation Bureau of the Ministry of Commerce for participating in this anti-dumping investigation within 20 days after the issue date of the Announcement. The interested parties participating in the investigation are required to provide their basic identity information based on the Reference Format of the Registration to Participate in the Investigation and the explanatory materials including the quantity and amount of the product investigated in the case of exports to the Chinese mainland or the import case, the quantities and amounts of the products produced and sold similar to the investigated product and the other relevant situations. The Reference Format of the Registration to Participate in the Investigation can be downloaded from the relevant website (URL attached, the same below).

 

The interested parties in the Announcement refer to the individuals and organizations defined in Article 19 of the Regulations of the People's Republic of China on Anti-dumping.

 

4. Access to Public Information

 

The interested parties can download from the related websites, search, read, transcribe and copy the non-confidential version of the application submitted by the Applicant or go to the MOFCOM Trade Remedy Public Information Office (Tel: 0086-10-65197878) to search, read, transcribe and copy the non-confidential version of the application submitted by the Applicant. In the process of investigation, the interested parties can refer to public information about the case through the relevant websites, or search, read, transcribe and copy the information in the MOFCOM Trade Remedy Public Information Office.

 

5. Comments

 

If any interested party has any comments on the product scope under investigation, the qualification of the Applicant, the investigated countries (regions) and other related questions, it may submit its comments in written form to the Trade Remedy and Investigation Bureau of the Ministry of Commerce within 20 days after the issue date of the Announcement.

 

6. Investigation Methods

 

In accordance with Article 12 of the Regulations of the People's Republic of China on Anti-dumping, the MOFCOM may get to know the related situation from the interested parties by conducting investigations via questionnaire, sampling, hearing and other manners and carry out the investigation.

 

In order to obtain the information required for the investigation of this case, the MOFCOM usually issues questionnaires within 10 working days from the deadline for registering for participating in the investigation as prescribed herein to the foreign (regional) exporters or manufacturers related to the case, and the manufacturers or importers in the Chinese mainland related to the case. The interested parties that have registered for participating in the investigation can download the questionnaire from the relevant websites.

The asked questions in the Questionnaire for Foreign (Regional) Exporters or Manufacturers on the Styrene Anti-dumping Case include the corporate structure, operation, investigated products, sales of export to the Chinese mainland, sales in the Chinese mainland, management and other relevant information. The questions also include the production cost, relevant expense, estimated dumping margin, check list and other contents. The asked questions in the Questionnaire for the Manufacturers in the Chinese Mainland on the Styrene Anti-dumping Case include the basic corporate conditions, the situation of the Chinese mainland’s products similar to the product under investigation, the operation and the information related to it, the financial condition and the information related to it, and the other relevant information. The asked questions in the Questionnaire for the Importers in the Chinese Mainland on the Styrene Anti-dumping Case include the basic corporate conditions, the investigated product trade and the other relevant information.

 

The interested parties that have not registered for participating in the investigation can directly download the above-mentioned questionnaires from the relevant websites or go to the Trade Remedy and Investigation Bureau of the Ministry of Commerce and ask for the above-mentioned questionnaires. The parties shall complete the questionnaires according to the requirements.

 

All the companies shall submit their complete and accurate answer sheets within the specified time period. The answer sheets shall include all the information requested in the questionnaires.

 

7. Submission and Processing of Confidential Information

 

If it is necessary to keep confidential the information submitted by an interested party to the Ministry of Commerce, the said interested party may make a request to the Ministry of Commerce for confidential treatment of relevant information and give reasons. If the Ministry of Commerce agrees about the said request, the interested party applying for confidentiality shall provide the non-confidential summary of the said confidential information. The non-confidential summary shall include full and meaningful information, so that other interested parties can reasonably understand the confidential information. If the non-confidential summary cannot be provided, a specific reason shall be given. If the information submitted by an interested party does not state that it is necessary to keep it confidential, the Ministry of Commerce will deem the said information as public information.

 

8. Consequences of Non-cooperation

 

According to Article 21 of the Regulations of the People’s Republic of China on Anti-dumping, when the Ministry of Commerce makes investigations, the interested parties shall faithfully reflect the situations and provide the relevant materials. If an interested party fails to faithfully reflect the situations or provide necessary information, or fails to provide necessary information within a reasonable time, or seriously impedes an investigation in any other way, the Ministry of Commerce may give a ruling according to available facts and attainable best information.

 

9. Investigation Period

 

The investigation will start from June 23, 2017, and generally end before June 23, 2018. In a special circumstance, the deadline may be extended to December 23, 2018.

 

10 Contact of the Ministry of Commerce

 

Address: No. 2 Dong Chang'an Avenue, Beijing, China
Postcode: 100731
Trade Remedy and Investigation Bureau of the Ministry of Commerce
Tel.: 0086-10-65198417, 65198473
Fax: 0086-10-65197590
Relevant websites: sub-website of the Trade Remedy and Investigation Bureau of the Ministry of Commerce (http://trb.mofcom.gov.cn)
China Trade Remedy Information (http://www.cacs.mofcom.gov.cn)

 

Ministry of Commerce

 

June 8, 2017

Approved by: Department of Commerce of Shandong Province Tel: +86-531-89013333

Supported by:Jinan Maocheng Information Technology Co., Ltd.

Shandong ICP Registered No. 12013505