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MOFCOM Announcement No.18 of 2017 on Midterm Expiry Review and Investigation of Imports of Ethylene Glycol Monobutyl Ether and Diethylene Glycol Monobutyl Ether Originating in the United States and the EU INEOS Chemicals Lavera SAS

2017-4-20 14:28:03

On January 25, 2013, the Ministry of Commerce of the People's Republic of China (the “MOFCOM”) issued Announcement No.5 of 2013, deciding to levy anti-dumping duties against imports of ethylene glycol monobutyl ether and diethylene glycol monobutyl ether originated in the United States and the EU from January 28, 2013.

On February 8, 2017, Jiangsu Dynamic Chemistry Co., Ltd. (originally known as Dynamic (Nanjing) Chemistry Co., Ltd.) made an application to the MOFCOM on behalf of ethylene glycol monobutyl ether and diethylene glycol monobutyl ether industry in China, claiming that, imports of ethylene glycol monobutyl ether and diethylene glycol monobutyl ether originating in the United States and the EU INEOS Chemicals Lavera SAS were more seriously dumped to China, exceeding the prevailing anti-dumping duty rate, and requiring the midterm review of the dumping and dumping margin of the imports of abovementioned products from the United States and the EU INEOS Chemicals Lavera SAS.

On February 15, 2017, the MOFCOM informed the embassies of the United States and diplomatic corps of the EU in China of the application for the midterm review of the dumping and dumping margin, and forwarded to them the public text of the application for the midterm review and the unclassified summary of confidential materials. The European Commission has submitted its comments to the MOFCOM.

In accordance with Article 49 of the Anti-dumping Regulations of the People's Republic of China and the Provisional Rules on Midterm Review of Dumping and Dumping Margin, the MOFCOM examined the qualifications of the applicant, the export prices and normal value of the underlying products and other relevant conditions.

Upon examination, the MOFCOM believed that the application meets filing conditions for midterm review set out in the Anti-dumping Regulations of the People's Republic of China and the Provisional Rules on Midterm Review of Dumping and Dumping Margin. The MOFCOM decided to, as of the date of release hereof, begin to conduct the midterm review of dumping and dumping margin of the imports of ethylene glycol monobutyl ether and diethylene glycol monobutyl ether originating in the United States and the EU INEOS Chemicals Lavera SAS.

Relevant review matters are hereby announced as below:

I. Product Scope Covered by the Review

Scope of products subject to review is import of ethylene glycol monobutyl ether and diethylene glycol monobutyl ether originated in the United States and the EU INEOS Chemicals Lavera SAS. Specific descriptions are consistent with product descriptions set out in the MOFCOM Announcement No.5 of 2013. Description of the Products under Investigation is as follows:

Name of the Products under Investigation: Ethylene Glycol Monobutyl Ether and Diethylene Glycol Monobutyl Ether
English name:
Ethylene Glycol Monobutyl Ether;
Diethylene Glycol Monobutyl Ether
Molecular formula:
Ethylene glycol monobutyl ether:

Diethylene glycol monobutyl ether:

Chemical structural formula:
Ethylene glycol monobutyl ether:

Diethylene glycol monobutyl ether:

 

Physical and chemical characteristics:
Ethylene glycol monobutyl ether: colorless clear liquid, slightly fragrant, and risk of burning when exposed to open fire, high heat and strong oxidizer. Soluble in water, ethanol, acetone, benzene and other organic solvents and low toxicity. It can dissolve oil, natural resin, nitro cellulose, etc.

Diethylene glycol monobutyl ether: colorless clear liquid, slightly fragrant, and risk of burning when exposed to open fire, high heat and strong oxidizer. Soluble in water, ethanol, acetone, benzene and other organic solvents and low toxicity. It can dissolve oil, natural resin, nitro cellulose, etc.

Main purposes: Ethylene glycol monobutyl ether and diethylene glycol monobutyl ether are widely used in water-based paint solvents, and also solvents of nitrocellulose, alkyd resin and phenolic resin modified by maleic anhydride. They are generally used as painting, especially nitrocellulose paint, and have the functions of anti-fog and crease-resist and improve the glossiness and fluidity of the film; also, they can be used as metal cleaner, paint remover, de oiling agent, automotive engine detergent, dry cleaning solvent, epoxy resin solvent, drug extraction agent, pesticide dispersing agent, oil dispersion solvent for printing ink, cutting oil and fiber oil agent; moreover, they can be used as solvents of nitrocellulose, varnish, printing ink, ink pad printing ink for seal, oil and resin, stabilizer for emulsion paint, evaporation inhibitor for aircraft coating and surface processing modifier for high temperature baking enamel.

The product is listed under tariff number of 29094300 in the Customs Import and Export Tariff of the People’s Republic of China.

II. Review Investigation Period and Review Scope

(I) Review Investigation Period: The dumping investigation period of this review is from January 1, 2016 to December 31, 2016.
(II) Review scope: The scope of the review is the export prices, normal value and dumping margin of the imports of the ethylene glycol monobutyl ether and diethylene glycol monobutyl ether products originated in the U.S. and the EU INEOS Chemicals Lavera SAS.

III. Review Procedures

(I) Comments of interested parties.
Any interested party may give opinions on this review in writing and provide corresponding evidence within 20 days after the date of release hereof.

(II) Registration for Participating in Response
Any interested party may register with the Trade Remedy and Investigation Bureau of the Ministry of Commerce for participating in this round of investigation into anti-dumping mid-term review within 20 days after the date of release hereof. Interested parties participating in the investigation are required to provide essential information, quantity and amount of the products under investigation exported to or importing from China, quantity and amount of similar products produced and sold and relationship and other illustrative materials based on the Reference Format of the Registration to Participate in the Investigation, which can be downloaded from the Trade Remedy and Investigation Bureau sub-website of the MOFCOM website (http://trb.mofcom.gov.cn).

(III) Distribution of questionnaire.
In order to obtain the information necessary for the investigation as deemed by it, the MOFCOM will, as needed, distribute questionnaires to relevant interested parties The questionnaires for this case may be downloaded from the “Case Update” column of the Trade Remedy and Investigation Bureau sub-website of the MOFCOM website. Answer sheets of the questionnaires shall be submitted according to questionnaire requirements within 37 days after the questionnaires are distributed.

(IV) Hearings.
An interested party may make a written request for holding a hearing in accordance with the Anti-dumping Regulations of the People's Republic of China and the Interim Rules on the Hearing of Anti-dumping Investigations of the MOFCOM. When necessary, the MOFCOM may actively hold a hearing.

(V) On-site inspections.
When necessary, the MOFCOM will assign workers to conduct on-site inspections at relevant enterprises; any materials submitted by an interested party shall include the statement on agreement about inspections; and, before inspections, the MOFCOM will inform the governments and enterprises of the relevant countries (regions) in advance.

IV. Consequences of Non-cooperation

In accordance with Article 21 of the Anti-dumping Regulations of the People's Republic of China, when the MOFCOM makes an investigation, an interested party shall faithfully reflect situations and provide relevant materials. If an interested party fails to do so, fails to provide necessary information within a reasonable time, or seriously impedes an investigation in any other way, the MOFCOM may give a ruling according to facts already obtained and the best information available.

V. Contact Information:
Trade Remedy and Investigation Bureau of the Ministry of Commerce
Address: No. 2 Dong Chang'an Avenue, Beijing
Postal code: 100731
Tel.: 86-10-65198727; 65198197
Fax: 86-10-65198172

Ministry of Commerce of the People's Republic of China

April 12, 2017

 

 

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