June 23, 2018 - 13:19 BJT (05:19 GMT)   MOFCOM

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. According to the investigation findings and Article 24 of the Anti-dumping Regulations, the Investigation Authority released on February 12, 2018, an announcement on the preliminary ruling, affirming that there was dumping of SM originating in the Republic of Korea, Taiwan Region and the United States and the domestic SM industry was substantially damaged, and there was causal relationship between the dumping and the substantive damage.

Upon the preliminary ruling, the Investigation Authority continued its investigation into the dumping and dumping margin, the damage and the extent of such damage, as well as the causal relationship between the dumping and the damage. The investigation now comes to an end. The Investigation Authority has made the final ruling (See the Annex) according to Article 25 of the Anti-dumping Regulations. Relevant matters are hereby announced as follows:

I. Final ruling

The investigation authority finally 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. Levy of anti-dumping duties

The Investigation Authority, in accordance with Article 38 of the Anti-dumping Regulations, proposed suggestions on the levy of anti-dumping duties to the Customs Tariff Commission of the State Council, which then decided, as of June 23, 2018, to impose anti-dumping duties on imports of SM originating in the Republic of Korea, Taiwan Region and the United States.

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, also known as 乙烯基苯, 苏合香烯, 乙烯苯.Names in English: Styrene, also known as Styrene Monomer ("SM" in short), 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 anti-dumping duty imposed on companies are as follows:

Companies of the Republic of Korea:
1.HANWHA TOTAL PETROCHEMICAL CO., LTD. 6.2%
2.Yeochun NCC Co., Ltd 6.2%
3.LOTTE CHEMICAL CORPORATION 7.5%
4.LG Chem, Ltd. 6.6%
5.SK global chemical Co., Ltd. 6.6%
6.All others 7.5%

Companies of Taiwan region:
1.FORMOSA CHEMICALS FIBER CORPORATION 3.8%
2.All others 4.2%

Companies of the United States:
1.Lyondell Chemical Company 13.9%
2.Westlake Styrene LLC 13.7%
3.INEOS Styrolution America LLC 13.9%
4.Americas Styrenics LLC 13.9%
5.All others 55.7%

III. Methods of levying anti-dumping duties

As of June 23, 2018, import operators shall pay relevant anti-dumping duties to the Customs of the People’s Republic of China when importing SM originating in the Republic of Korea, Taiwan Region and the United States. The anti-dumping duties shall be levied by means of ad valorem on the basis of dutiable value authorized by China Customs, and the formula is: anti-dumping duties = dutiable value authorized by China Customs * rate of anti-dumping duties. The import value-added tax shall be levied by means of ad valorem with the dutiable value authorized by China Customs plus the tariff and anti-dumping duties as the taxable value.

IV. Retrospective collection of anti-dumping duties

Deposits provided by relevant importers to the Customs of the People's Republic of China from February 13, 2018 to June 12, 2018 according to the announcement on the preliminary ruling, shall be transferred on the basis of detailed description of commodities taxable and the rate of anti-dumping duties determined by the final ruling to anti-dumping duties, and the import value-added tax shall also be levied at relevant rate of value-added tax. Any excess of the deposits provided by importers during this period over the anti-dumping duties and the corresponding import value-added tax will be refunded by the Customs, and the short-levied duties will not be levied.

Anti-dumping duties are not retroactively imposed on imports of SM originating in the Republic of Korea, Taiwan Region, and the United States before February 12, 2018 (included) and during the period starting from June 13, 2018 and ending on June 22, 2018.

V. Period of levying anti-dumping duties

Imports of SM originating in the Republic of Korea, Taiwan Region and the United States will be subject to anti-dumping duties for five years as of June 23, 2018.

VI. New exporter review

Any new exporter in the Republic of Korea, Taiwan Region and the United States that does not export the Products under Investigation to the People's Republic of China during the investigation period, if qualified, may apply in writing to the Investigating Authority for a new exporter review according to Article 47 of the Anti-dumping Regulations.

VII. Review

During the period of levying anti-dumping duties, relevant interested parties may apply in writing to the Investigation Authority for review in light of Article 49 of the Anti-dumping Regulations.

VIII. Administrative reconsideration and administrative litigation

Any person who refuses to accept the final ruling of this case and the decision to levy anti-dumping duties may, according to Article 53 of the Anti-dumping Regulations, apply for an administrative reconsideration or initiate litigation to the people's court according to the law.

MOFCOM Announcement No.43 of 2018 on Final Ruling on the Anti-dumping Investigation against Imports of Styrene Monomer Originating in the Republic of Korea, Taiwan Region and the United States will take effect as of June 23, 2018.

Ministry of Commerce of the People's Republic of China
June 22, 2018