The Chemical Giant Was Levied A Heavy Tax of Nearly 60%! It's About Chemicals Like Ethylene Glycol!

On January 10, the Ministry of Commerce issued an announcement that from January 11, 2022, anti-dumping duties will be imposed on imports of monoalkyl ethers of ethylene glycol and propylene glycol originating in the United States.

The investigating authority ruled that the anti-dumping duty rate imposed on U.S. companies was 57.4 percent for Dow Chemical Company and 65.3 percent for other U.S. companies.

Final ruling

The investigation authority finally determined that there were subsidies for the imports of ethylene glycol and propylene glycol monoalkyl ethers originating in the United States, the domestic related ethylene glycol and propylene glycol monoalkyl ether industries were substantially damaged, and there was a causal relationship between the subsidies and the substantive damage. 

The ad valorem subsidy rates for U.S. companies are as follows:

1. The Dow Chemical Company       16.8%
(The Dow Chemical Company)

2. Other US companies       16.8%
(All Others)

Countervailing measures

In view of the specific circumstances of this case, the Ministry of Commerce has decided not to impose countervailing measures on imports of related monoalkyl ethers of ethylene glycol and propylene glycol originating in the United States.

Scope of investigation: Imported monoalkyl ethers of ethylene glycol and propylene glycol originating in the United States.

Name of product under investigation: Monoalkyl ethers of related ethylene glycol and propylene glycol.

English name: Certain monoalkyl ethers of ethylene glycol and propylene glycol or Certain glycol ethers.

Product description: The monoalkyl ethers of ethylene glycol and propylene glycol are colorless and transparent liquids with a faint ether odor. They are miscible with water, alcohols, ketones, ethers, esters, aromatic hydrocarbons, aliphatic hydrocarbons, etc., and can dissolve many types of high polymer. Monoalkyl ethers of related ethylene glycol refer to alcohol ethers synthesized from ethylene oxide and alcohol with ethaneoxy groups (molecular formula: C2H4O) in the molecular chain, also known as glycol ethers or E-series Alcohol ethers, but not monobutyl ethers of ethylene glycol or propylene glycol. The monoalkyl ether of related propylene glycol refers to the alcohol ether synthesized from propylene oxide and alcohol, with a propaneoxy group (molecular formula is C3H6O) in the molecular chain, also known as propylene glycol ether or P-series alcohol ether, but not among them. Contains propylene glycol methyl ether.

Monoalkyl ethers of related ethylene glycol and propylene glycol are mainly used as solvents, dispersants and diluents, as well as fuel antifreeze and extractants, and are also important organic synthesis raw materials, widely used in photoresist, copper clad laminates, electronic Chemicals, automobile brake fluid, aircraft fuel anti-icing agent, coating materials, printing ink, textile printing and dyeing, medicine and pesticide, daily chemicals and other fields.

This product is classified under "Import and Export Tariff of the People's Republic of China": 29094400 and 29094990. Other products that are not within the specific product range listed under the above tariff codes are not within the scope of this investigation.

Deadline for collection of anti-dumping duties

Anti-dumping duties will be imposed on imports of monoalkyl ethers of ethylene glycol and propylene glycol originating in the United States for five years from January 11, 2022.

Anti-dumping duty rates imposed on U.S. companies

1. The Dow Chemical Company    57.4%
(The Dow Chemical Company)

2. Other US companies    65.3%
(All Others)