08 February 2010 07:56 [Source: ICIS news]
By John Richardson
SINGAPORE (ICIS news)--Asia is likely to see more anti-dumping cases during 2010 as a result of free-trade deals, the global economic crisis and big increases in commodity chemicals and polymer capacity, said leading Singapore-based trade lawyer Edmund Sim on Monday.
“We are likely to see more cases, both in chemicals and polymers and downstream industries. But we are not going to see a flood of cases immediately because paperwork can take a while to prepare,” said Sim, who is a partner with the ?xml:namespace>
The two big free-trade deals that came into place on 1 January this year are those within ASEAN (Association of South East Asian Nations) and between ASEAN and
The deal within ASEAN, the ASEAN Free Trade Area (AFTA), and the ASEAN-China deal, the ASEAN-China Free Trade Agreement (ACFTA), involve zero import tariffs for shipments of most goods.
This affects shipments between ASEAN’s founding members –
A senior official at the Indonesian Employers’ Association said that as many as 7.5m jobs of the country’s total 30m manufacturing jobs could be under threat as a result of both the free-trade deals, according to local media reports in December.
The chances of successfully renegotiating AFTA and ACFTA were very slim because of the cost and complexities involved, added Sim.
This left short-term trade protectionist measures, such as anti-dumping and safeguard duties, as the only realistic routes to protect domestic industries, he said.
“How it affects each country varies.
Indonesia's only ethylene supplier, Chandra Asri, for example, has one set of shareholders with PT Titan, the downstream polyethylene (PE) producer. TriPolyta, one of the country’s polypropylene (PP) producers, is under separate ownership.
Plans to expand Chandra Asri’s sub-world-scale cracker had been frequently stalled due to lack of confidence in the investment climate, despite
“As for the downstreamers, Indonesia is a huge domestic market and, as a result, is going to face stiff price competition from imports from, for example, China’s BOPP (biaxially oriented PP) film producers,” said Sim
“Downstream industries in the
To discuss issues facing the chemical industry go to ICIS connect
Read John Richardson and Malini Hariharan’s Asian Chemical Connections blog
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
Asian Chemical Connections