30 November 2011 10:44 [Source: ICIS news]
SINGAPORE (ICIS)--China’s ongoing antidumping investigation on butyl glycol (BG) imports from the US and EU will likely lead to higher prices of the material for Chinese end-users, market players said on Wednesday.
The Chinese government acted on a petition from domestic producer, Dynamic (Nanjing) Chemical Industry Company, in launching the investigation on BG imports on 18 November, according to China’s Ministry of Commerce.
“This is going to lead to higher prices for the importers and users in China. They have no alternative but to import…so we are not worried actually,” said a market player.
The investigation covers the period from 1 July 2010 to 30 June 2011, while the period of claimed ‘injury’ would be from 1 July 2009 to 30 June 2011, the ministry said in a statement posted on its website.
China is a net importer of BG, with the domestic supply not adequate to meet the demand. US and Europe-based producers like Dow, Lyondell and BASF among the BG exporters to China.
The antidumping investigations are expected to stretch for a year, and the duties are likely to be slapped from May 2013, said a trader.
Buyers in China can still import material from Malaysia, Japan and other Asian sources, without duties charged.
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