U.S. Initiates Anti-Dumping Investigation on Float Glass from China and Malaysia, $14 Million Affected

According to the announcement from the Ministry of Commerce, on January 2, 2025, the U.S. Department of Commerce announced the initiation of anti-dumping and countervailing duty investigations on float glass imported from China and Malaysia. The scope of products involved includes U.S. Customs codes 7005.10.8000, 7005.21.1010, 7005.21.1030, 7005.21.2000, 7005.29.1810, 7005.29.1850, 7005.29.2500, 7007.29.0000, 7008.00.0000, 7009.91.5010, 7009.91.5095, and 7009.92.5010.

The U.S. International Trade Commission (ITC) is expected to make a preliminary ruling on the industry damage caused by the anti-dumping and countervailing duties by January 27, 2025. If the ITC determines that the products in question have caused or threaten to cause material injury to the U.S. domestic industry, the Department of Commerce will continue its investigation and is expected to issue a preliminary countervailing duty ruling by March 6, 2025, and a preliminary anti-dumping ruling by April 30, 2025. According to U.S. statistics, the value of the investigated products imported from China in 2023 was approximately $14 million, while the amount imported from Malaysia was about $7.06 million.

According to inquiries, the above customs codes mainly involve float glass (including colored glass), coated glass, laminated glass, hollow glass, and glass mirrors. Data from the Customs Information Network shows that in recent years, the export volume of these products has generally shown an upward trend, with total exports reaching a peak of 2.909 million tons in 2023, of which 289,000 tons were exported to the U.S., while the figure for January to November 2024 has reached 293,000 tons. The volume of products exported to the U.S. accounts for the largest proportion of total exports, maintaining around 10%, with the lowest being 9.84% in 2022 and the highest at 12.25% in 2021, and 11.49% from January to November 2024.

By product type, glass mirrors account for the largest share of products exported to the U.S., with the proportion ranging from 22.4% to 24.4% between 2021 and 2024, followed by hollow glass and laminated glass, which together account for about 10% to 15%. Float glass accounts for about 1% to 3%, while coated glass accounts for less than 1%. Among the products exported to the U.S., glass mirrors have the largest volume, accounting for about 85%, while the volumes of other varieties are relatively small. Glass mirrors are classified into unframed and framed types, with framed mirrors having higher volume and average price. From 2022 to 2024, the volume of framed glass mirrors exported to the U.S. has increased year by year, exceeding the total volume of 2023 in November to December 2024, although the average price has decreased by nearly 21% compared to 2023.

Overall, while the export volume of China's float glass and related products has been increasing year by year, the average export price has been declining annually. Low-price competition is often viewed as dumping behavior, which is a primary cause of trade friction. Since June 2024, multiple countries, including Colombia, Australia, Mexico, and the UAE, have successively initiated anti-dumping investigations on China's float glass, making 2024 the year with the most concentrated trade frictions in recent years.

This situation is largely influenced by the deteriorating supply-demand environment in the domestic market in 2024. The shrinking demand for real estate combined with high supply has intensified market competition, leading to a continuous decline in market prices and shrinking profits across various segments of the industry chain. Pressuring prices and increasing exports have become the last resort for domestic companies seeking a way out.

In addition to the U.S., Mexico also initiated an anti-dumping investigation in September 2024 for transparent float glass with a thickness of ≥ 2 mm and ≤ 19 mm imported from China and Malaysia. This adds greater market pressure on Chinese companies and Malaysian factories.

According to Oilchem Information Research, since 2016, some leading domestic enterprises have successively built float glass production lines in Malaysia, with a total of 9 production lines and a daily capacity of 7,700 tons, of which 7 lines have been put into normal production, yielding a daily capacity of 5,700 tons. From 2019 to 2021, the volume of glass produced by domestic companies in Malaysia that returned to the domestic market was relatively high, but this volume decreased thereafter. However, it has significantly increased again from November to December 2024, which is somewhat related to the increased external export pressure.

China is a major producer in the glass industry, with numerous float glass production and processing enterprises. As the U.S. and other countries conduct "double anti" investigations on float glass from China and Malaysia, domestic companies will face not only internal problems but also external market pressure, and the challenges ahead will become even more severe.