September Global Trade Friction and Tariff Dynamics Express (2024)

Since September, multiple countries and regions around the world, including the European Union, the United States, Mexico, and India, have imposed anti-dumping and countervailing duties on multiple products from China. Involving products such as electric vehicles, oxalic acid, welded stainless steel pipes, PET resin, crystalline silicon photovoltaic cells, aluminum flat printing plates, etc.

The dynamic information recorded in August was 18 items, which increased to 22 items in September. Among them, there are 6 in the United States, 4 in Mexico, and 3 in India. In addition, there have been new adjustments to tariff policies in multiple countries and regions around the world. The following is a summary of the relevant situation:

Our Country

Ministry of Commerce: Anti discrimination investigation into Canada's restrictive measures against China

The preliminary evidence and information obtained by the Ministry of Commerce indicate that Canada's imposition of tariffs and other restrictive measures on the import of electric vehicles and steel and aluminum products from China (hereinafter referred to as the relevant investigated measures) complies with the provisions of Article 7 of the Foreign Trade Law of the People's Republic of China, which states that "discriminatory prohibitions, restrictions or other similar measures against the People's Republic of China in trade".

According to Article 36 and Article 37 of the Foreign Trade Law of the People's Republic of China, the Ministry of Commerce has decided to initiate an anti discrimination investigation into the relevant investigated measures in Canada from September 26, 2024.

Ministry of Commerce: initiates anti-dumping investigation on imported halogenated butyl rubber originating from Canada, Japan, and India

The Ministry of Commerce has issued Announcement No. 38 of 2024, deciding to initiate anti-dumping investigations on imported halogenated butyl rubber originating from Canada, Japan, and India starting from September 14th. The dumping investigation period determined in this investigation is from January 1, 2023 to December 31, 2023, and the industry injury investigation period is from January 1, 2021 to December 31, 2023.

Ministry of Commerce: initiates anti-dumping investigation on imported rapeseed originating in Canada

The Ministry of Commerce has issued Announcement No. 37 of 2024, deciding to initiate an anti-dumping investigation on imported rapeseed originating in Canada starting from September 9th. The dumping investigation period determined in this investigation is from January 1, 2023 to December 31, 2023, and the industry injury investigation period is from January 1, 2021 to December 31, 2023.

Ministry of Commerce: Continue to impose anti-dumping duties on imported phenol originating from the United States, European Union, South Korea, Japan, and Thailand

On September 5th, the Ministry of Commerce issued Announcement No. 36 of 2024, deciding to conduct a final review investigation on the anti-dumping measures applicable to imported phenol originating from the United States, the European Union, South Korea, Japan, and Thailand from September 6th, 2024.

During the investigation, anti-dumping duties will continue to be imposed on imported phenol originating from the United States, the European Union, South Korea, Japan, and Thailand in accordance with the scope and tax rates of taxable products announced in the Ministry of Commerce's Announcement No. 37 of 2019 and Announcement No. 15 of 2023. Starting from September 6, 2024, the anti-dumping measures applicable to imported phenol originating in the UK will expire and terminate.

State Council Tariff Commission: Starting from September 25th, the zero tariff policy on 34 agricultural products imported from Taiwan will be suspended

Taiwan unilaterally adopts discriminatory measures such as bans and restrictions on the export of mainland products, seriously hindering cross-strait economic and trade cooperation. The Tariff Commission of the State Council recently announced that starting from September 25, 2024, the policy of exempting 34 agricultural products, including fresh fruits, vegetables, and aquatic products originating from Taiwan, from import tariffs will be suspended. The import tariffs for related agricultural products will be implemented in accordance with current relevant regulations.  

State Council Tariff Commission: Granting zero tariff treatment to 100% tariff items of products from the least developed countries

The official website of the Tariff Commission of the State Council announced that in order to expand unilateral opening up to the least developed countries and achieve common development, from December 1, 2024, a preferential tax rate of zero will be applied to 100% of tariff items originating from the least developed countries that have diplomatic relations with China. Among them, tariff quota products only reduce the tariff rate within the quota to zero, while the tariff rate outside the quota remains unchanged.

Europe

EU: imposes anti-dumping duties of 53.1% to 68.4% on alkyl phosphate esters from China

On September 13, 2024, the European Commission issued a final anti-dumping ruling on alkyl phosphate esters originating in China, deciding to impose anti-dumping duties ranging from 53.1% to 68.4% on the products involved. The tax rates are detailed in the attached table. <

The EU CN (Combined Nomenclature) codes for the products involved are ex29199000 (TARIC codes 2919900050 and 2919900065) and 38249992 (TARIC code 3824999238). The announcement shall take effect from the day after its publication.

EU: decides to continue imposing anti-dumping duties on oxalic acid related to China

On September 6, 2024, the European Commission issued a notice stating that it had made a final ruling on the second anti-dumping sunset review of oxalic acid originating in China and India. Decided to continue imposing anti-dumping duties on the products involved, with Shandong Fengyuan Chemicals Stock Co., Ltd. and Shandong Fengyuan Uranus Advanced Material Co., Ltd. both having a tax rate of 37.7%, Yuanping Changyuan Chemicals Co., Ltd. having a tax rate of 14.6%, and other Chinese companies involved having a tax rate of 52.2%; The tax rate for Indian companies involved in the case ranges from 22.8% to 43.6%.

 The EU CN code for the product in question is ex2917 11 00 (TARIC code 2917 11 00 91).

EU: Determine import tariffs for certain types of brown rice

On September 6, 2024, the official EU bulletin announced that the European Commission had issued Implementing Regulation (EU) 2024/2403, determining the import tariffs applicable to certain types of brown rice from September 6, 2024. The main content is:

(1) The import tax for brown rice belonging to CN code 100620 (excluding shelled Basmati rice of the variety described in Article 2 (1) of Commission Implementing Regulation (EU) 2023/2835 (4)) is 42.50 euros per ton.

(2) The Implementing Regulation (EU) 2024/840 is now repealed.

(3) This regulation shall come into effect from the date of its publication in the Official Journal of the European Union and shall have full binding force, directly applicable to all member states.

Russia: Temporarily exempting pulp and paper products from "exchange rate export tariffs"

The Russian government recently passed Resolution No. 1115, which temporarily exempts certain pulp and paper products from "exchange rate export tariffs" until December 31 this year, including suspending export tariffs on news paper and liner paper. This decision will help maintain the profitability level of the enterprise.

This resolution is an amendment to Resolution No. 1538 of the Russian Federation Government dated September 21, 2023. According to Resolution 1538, Russia will implement flexible export tariffs on certain goods from October 1, 2023 to the end of 2024, with tariffs set between 4% and 7% based on the exchange rate of the national currency. If the ruble to US dollar exchange rate is 80 rubles or lower, the tariff is 0.

Asia

Vietnam: Decided to continue imposing anti-dumping duties of 2.85% to 35.58% on Chinese aluminum profiles  

On September 23, 2024, the Vietnamese Ministry of Industry and Trade issued Announcement No. 2531/QD-BCT, making a positive final ruling on the first sunset review of anti-dumping on aluminum profiles originating in China, and deciding to continue imposing anti-dumping duties of 2.85% to 35.58% on the products involved.

The measures will come into effect on October 3, 2024, with a validity period of five years until October 2, 2029. The Vietnamese tax numbers of the products involved are 7604.10.10, 7604.10.90, 7604.21.90, 7604.29.10, and 7604.29.90.

Türkiye: levy safeguard tax on imported polyester staple fiber for three years

On September 20, 2024, the Ministry of Trade of Türkiye issued Announcement No. 2024/9, making the first sunset review affirmative final judgment of safeguard measures for imported polyester staple fiber (Turkish: Poliesterlerden), and proposing to continue to levy safeguard measures tax on the products involved for three years, as follows:

From September 23, 2024 to September 22, 2025, it is 0.048 USD/kg; from September 23, 2025 to September 22, 2026, it is 0.044 USD/kg; and from September 23, 2026 to September 22, 2027, it is 0.040 USD/kg. The implementation of measures shall be subject to the relevant taxation orders of the President of Türkiye. The Türkiye tax number of the product involved is 5503.20.000.00.

India: Imposes a countervailing duty of 11.96% to 29.8% on welded stainless steel pipes imported from China and Vietnam

On September 10, 2024, the Revenue Department of the Indian Ministry of Finance issued Notice No. 04/2024 Custods (CVD), accepting the first affirmative final ruling recommendation made by the Indian Ministry of Commerce and Industry on June 15, 2024, regarding the sunset review of welded stainless steel pipes and pipes originating from or imported from China and Vietnam, and deciding to continue imposing countervailing duties on the products involved in the above-mentioned countries for a period of 5 years, as follows:

The anti subsidy tax rate for any Chinese producer/exporter is CIF29.88%, while for Vietnamese producers/exporters Sonha SSP Vietnam Sole Member Company Limited and Steel 568 Co., Ltd, the anti subsidy tax rate is 0. Gia Anh Hung Yen Co., Ltd. and other Vietnamese producers/exporters, the anti subsidy tax rate is 11.96%. This measure shall come into effect from the date of publication of this notice in the official gazette.

India: Imposing temporary anti-dumping duties of $619-873 per ton on aluminum foil from China

On August 28, 2024, the Indian Ministry of Commerce and Industry issued a preliminary anti-dumping ruling on aluminum foil with a thickness not exceeding 80 microns originating from or imported from China, recommending the imposition of temporary anti-dumping duties on the products involved in the case in China, with a tax amount of $619-873 per ton.

This case involves products under Indian customs codes 76071190, 76072090, 76072010, 76071110, 76071999, 76071991, 76071995, 76071910, 76071994, 76071993, and 76071992.

India: Anti absorption final ruling on anti-dumping case of polyethylene terephthalate resin in China

On August 28, 2024, the Indian Ministry of Commerce and Industry issued a final ruling on the anti-dumping case of Polyethylene terephthalate resin having an intrinsic viscosity of 0.72 deciliters per gram or higher (PET resin) originating from or imported from China. It is recommended to adjust the anti-dumping duty on Chinese manufacturer Wankai New Materials Co., Ltd. from $15.54 per metric ton to $40.41 per metric ton, while the anti-dumping duty on other Chinese manufacturers/exporters remains unchanged, ranging from $60.92 to $200.6. 6 US dollars per metric ton. The Indian customs codes for the products involved are 39076190 and 39076990.

Indonesia: Impose safeguard measures tax on imported mineral cotton, rock cotton, and similar mineral cotton (including their mixtures)

On September 16, 2024, the WTO Committee on Safeguards released the safeguard measures notification submitted to it by the Indonesian delegation. Indonesia has made a positive final ruling on safeguard measures for imported bulk, sheet or roll mineral cotton, rock cotton and similar mineral cotton (including their mixtures) (Slag Wool, Rock Wool, and Similar Mineral Wools (Including Intermixels There of), In Bulk, Sheets or Rolls). It is recommended to impose a three-stage safeguard measure tax on the products involved, as follows:

The first stage is 22537745 Indonesian Rupiah/ton, the second stage is 21703013 Indonesian Rupiah/ton, and the third stage is 20868282 Indonesian Rupiah/ton. The implementation of measures shall be subject to the relevant taxation orders of the Indonesian Ministry of Finance. The investigation period of this case is from 2020 to 2023. The Indonesian tax number for the product involved is 6806.10.00.

Pakistan: imposes anti-dumping duty of 34.15% on Chinese lacquer brush filament

On September 3, 2024, the National Tariff Commission of Pakistan issued the latest announcement of Case No. ADC63, making a positive final ruling on anti-dumping against Paint Brush Filaments originating from or imported from China. The ruling found that the products involved were dumped and that the dumping constituted a substantial obstacle to the establishment of Pakistan's domestic industry. Therefore, it was decided to impose a 34.15% anti-dumping duty on the products involved, which will take effect from June 13, 2024 and be valid for five years.

The measures do not include lacquer brush filaments used only as raw materials for Pakistan's exported products, as well as lacquer brush filaments required for foreign donation aid projects and other tariff exemption projects. This case involves products under Pakistani tax codes 5404.1900, 5404.9000, and 5406.0000.

Thailand: Extend the deadline for collecting 7% value-added tax until September 2025

According to Thai media reports, Thailand's Deputy Minister of Finance, Chulaban, revealed that the cabinet has passed a resolution approving the extension of the 7% value-added tax collection period by one year, from October 1, 2024 to September 30, 2025.

Previously, the Thai Ministry of Finance announced a 7% value-added tax on imported goods with a value below 1500 Thai baht from July 5, 2024 to the end of the year, in response to the adverse impact of the tax exemption policy on domestic manufacturers.

Nepal: Pre holiday tariff reduction for imported sugar

On September 11th, the Nepalese newspaper "The Republic" reported that the government has approved two state-owned companies, Salt Trading Company (STC) and Food Management and Trading Company (FMTC), to import 30000 tons of sugar and enjoy a 50% tariff reduction to avoid sugar supply shortages during the October festival.

Americas

US: Final anti-dumping and anti subsidy ruling on aluminum flat printing boards related to China

On September 23, 2024, the US Department of Commerce announced a final anti-dumping ruling on aluminum lithographic printing plates imported from China and Japan, ruling that the dumping rate of Fujifilm Printing Plate (China) Co., Ltd. was 115.85% (adjusted to 115.84% after offsetting subsidies), the dumping rate of other Chinese producers/exporters was 317.44% (adjusted to 317.43% after offsetting subsidies), and the dumping rate of Japanese producers/exporters was 91.83% -160.11%.

At the same time, the US Department of Commerce announced a final anti subsidy ruling on aluminum flat printing plates imported from China, ruling that Fujifilm Printing Plate (China) Co., Ltd. has a tax rate of 35.66%, Shanghai National Ink Co. Ltd. has a non compliant tax rate of 229.54%, and other manufacturers/exporters have a tax rate of 35.66%. The US International Trade Commission (ITC) is expected to make a final ruling on anti-dumping and anti subsidy industry injury against the above-mentioned products on November 4, 2024. This case involves products under the US Customs code 3701.30.0000.

US International Trade Commission: Will not issue countervailing duty orders on glass wine bottles imported from China

On September 20, 2024, the International Trade Commission (ITC) of the United States voted to make a final ruling on anti subsidy negative industry damage to Glass Wine Bottles imported from China, ruling that the US Department of Commerce's final ruling that the products involved in the subsidy did not cause substantial damage or threat of substantial damage to the domestic industry of the United States. According to the negative final ruling of the US International Trade Commission, the US Department of Commerce will not issue a countervailing duty order on glass wine bottles imported from China.

Previously, on August 20, 2024, the US Department of Commerce issued a notice imposing a countervailing duty of 21.31% -212.58% on glass wine bottles imported from China.

The United States has decided to significantly increase tariffs on Chinese products, effective from September 27th

On September 13th, the Office of the United States Trade Representative (USTR) announced its final decision to impose 301 tariffs on China, which will significantly increase import tariffs on Chinese made electric vehicles, semiconductors, medical products, and more.

The Office of the United States Trade Representative announced that starting from September 27th, the tariff rates for electric vehicles manufactured in China have been raised to 100%, for solar cells to 50%, and for electric vehicle batteries, key minerals, steel, aluminum, masks, and shore container cranes to 25%. At the same time, the United States will increase import tariffs on Chinese semiconductors by 50%, and this new tax rate will take effect from January 2025. Two new categories have been added to the semiconductor category: polycrystalline silicon and silicon wafers used in solar panels.

Previously, USTR had announced twice on July 30 and August 30 the postponement of the final review decision on the 301 tariffs on China.

US International Trade Commission: Current anti-dumping and countervailing measures against China's crystalline silicon photovoltaic cells remain effective

On September 12, 2024, the United States International Trade Commission (ITC) voted to make a second anti-dumping and countervailing sunset review industry injury determination final ruling on imported crystalline silicon photovoltaic cells and modules (whether assembled or not) from China: ruling that if the current anti-dumping and countervailing measures are lifted, the substantial damage caused by the import of the involved products to the domestic industry of the United States may continue or occur again within a reasonable foreseeable period. According to the final ruling, the current anti-dumping and anti subsidy measures in this case remain effective.

The United States: imposes a subsidy tax of 3.10% to 27.68% on 2,4-dichlorophenoxyacetic acid related to China

On September 10, 2024, the US Department of Commerce issued a preliminary anti subsidy ruling on 2,4-dichlorophenoxyacetic acid imported from China and India. The ruling preliminarily determined that Jiangxi Tianyu Chemical Co., Ltd. had a tax rate of 27.68%, Shandong Rainbow Agrosciences Co., Ltd. (Hong Kong) had a tax rate of 3.10%, other Chinese producers/exporters had a tax rate of 27.34%, and Indian producers/exporters had a tax rate of 3.28% -5.29%. This case involves products under the US Customs code 2918.99.2010.

The United States: Imposes anti-dumping duties ranging from 0.00% to 1039.05% on Chinese paper trays

On August 30, 2024, the US Department of Commerce announced preliminary anti-dumping rulings on Certain Paper Plates imported from China, Thailand, and Vietnam. The preliminary rulings determined that the dumping rates for Chinese producers/exporters were 0.00% to 1039.05% (adjusted margin after offsetting subsidies was not applicable~1039.05%), Thai producers/exporters were 4.23% to 73.17%, and Vietnamese producers/exporters were 0.00% to 165.27% (adjusted margin after offsetting subsidies was 0.00% to 159.79%).

The US Department of Commerce is expected to make a final anti-dumping ruling on this case on January 13, 2025. This case involves products under US Customs code 4823.69.0040.

Mexico: Terminate anti-dumping duties on ammonium sulfate from China

On September 25, 2024, the Mexican Ministry of Economy issued a statement stating that, due to the inability to reconfirm China's substitute country and determine the normal value of ammonium sulfate (Spanish: sulfate de amonio) originating from China, it was decided to terminate the anti-dumping duties on Chinese ammonium sulfate (TIGIE tariff number 3102.21.01) and mixtures containing ammonium sulfate (TIGIE tariff number 3105.90.99).

At the same time, it has been decided to maintain the final ruling of the first sunset review of the anti-dumping case against ammonium sulfate originating in the United States, and continue to impose anti-dumping duties on American exporters AdvanSix Resins&Chemicals, LLC. and other American exporters until October 10, 2025. The announcement shall take effect from the day after its publication.

Mexico: Imposes an ad valorem anti-dumping duty of 18.97% on welding microfilaments used in China

On August 28, 2024, the Mexican Ministry of Economy issued a notice, making the final ruling of the first sunset review of anti-dumping on welding microfilaments (Spanish: microalembre para soldar) originating in China, and also making the final ruling of the review during the anti-dumping period. It was decided to continue to impose anti-dumping duties on the products involved, and adjust the anti-dumping duty from specific duty of 0.57 USD/kg to ad valorem duty of 18.97%. The measures will take effect from October 6, 2023, and are valid for five years.

The involved product is a manganese silicon alloy solid carbon steel wire with a diameter of 0.6-1.6 millimeters, which is melted by arc heating to weld steel regardless of whether it is coated with copper. The TIGIE tax numbers of the products involved are 7229.20.01, 7229.90.99, and 8311.90.01. The announcement shall take effect from the day after its publication.

Mexico: Imposes 31% anti-dumping duty on concrete steel nails from China

On August 28, 2024, the Mexican Ministry of Economy issued a final anti-dumping ruling on concrete steel nails (Spanish: clasos de acero para concreteto, English: concrete black nail and concrete nail) originating in China, officially imposing a 31% anti-dumping duty. The TIGIE tax number of the product involved is 7317.00.99. The announcement shall take effect from the day after its publication.

Mexico: Decision to Continue Imposing 21% Anti dumping Duty on High Carbon Manganese Iron from China

On August 28, 2024, the Mexican Ministry of Economy issued a notice, making the final ruling of the fourth sunset review of anti-dumping on high carbon manganese iron (Spanish: ferroanganeso alto carb ó n) originating in China, and also making the final ruling of the review during the anti-dumping period, deciding to continue imposing a 21% anti-dumping duty on the products involved. The measures will take effect on September 26, 2023, and are valid for five years. The TIGIE tax numbers of the products involved are 7202.11.01 and 9802.00.13. The announcement shall take effect from the day after its publication.  

Colombia: Temporary anti-dumping duty not imposed on colorless float glass panels from China

On September 6, 2024, Colombia issued Announcement No. 267 of September 5, 2024 in its official gazette, making a preliminary anti-dumping ruling on colorless float glass panels (Spanish: vidrio floatado incolor en placas o en hojas) originating in China. The preliminary ruling is to continue the anti-dumping investigation and temporarily not impose temporary anti-dumping duties. The Colombian tax codes for the products involved are 7005.29.10.00 and 7005.29.90.00. The announcement shall come into effect from the date of publication.  

Canada: imposes anti-dumping duties ranging from 34.0% to 46.2% on Chinese made paper strips

On September 4, 2024, the Canadian Border Services Agency (CBSA) made a final positive anti-dumping ruling on wire rods originating from or imported from China, Egypt, and Vietnam, ruling that the dumping margin for Chinese exporter Jiangsu Shagang International Trade Co., Ltd. was 34.0% and for other Chinese exporters was 46.2%; Egyptian exporter Suez Steel Co., Ltd. has a dumping margin of 8.6%, while other Egyptian exporters have a dumping margin of 21.3%; The dumping margin of Vietnamese exporter Hoa Phat Dung Quat Steel Joint Stock Company is 17.7%, and the dumping margin of Hoa Phat Hai Duong Steel Joint Stock Company is 13.5%.

Brazil: Increases import tariffs on 30 chemical products

According to Brazil's Poder 360, in response to the demands of the Brazilian Chemical Products Industry Association (ABIQIM), on September 18th, the Brazilian Foreign Trade Commission approved an increase in import taxes on 30 chemical products, from the original minimum tariff rate of 7.6% to 20%, with a validity period of one year.

According to previous media reports, the association released data showing that the idle rate of domestic petrochemical factories reached a historical high of 58% in May this year. In order to boost local industries, the association has requested the government to increase import tariffs on 65 chemical products. At present, although the Brazilian government has only taken measures for less than half of the chemical products, the association believes that the effect will be "immediate", and several domestic products are expected to recover to 80% level in the future.

Africa

South Africa: Imposing temporary value-added tax on low value imported goods on cross-border e-commerce platforms

Recently, the South African Revenue Service (Sars) announced a temporary tax adjustment for goods valued below 500 rand (approximately 197 RMB) on cross-border e-commerce platforms such as Shein and Temu, effective from September 1, 2024.

The new policy will impose an additional temporary value-added tax on top of the current unified tariff of 20%. At the same time, SARS plans to launch permanent tax adjustments for this sector in November.

Previously, in order to address the issue of companies such as Shein and Temu lowering prices for local clothing retailers, SARS had planned to implement a 45% import tax and a 15% value-added tax on July 1st. However, considering the impact of these platforms, it was decided to postpone the implementation of this policy.

Oceania

Australia: No anti-dumping or countervailing duties imposed on some welded pipes related to China

On August 28, 2024, the Australian Anti Dumping Commission issued Announcement 2024/054, stating that the Minister for Industry and Science of Australia had passed the final determination of the anti-dumping exemption investigation of the Australian Anti Dumping Commission on the welded pipe imported from Chinese Mainland, South Korea, Malaysia and Taiwan, and the final determination of the anti subsidy exemption investigation of the welded pipe imported from Chinese Mainland, and decided not to impose anti-dumping duties and countervailing duties on the products involved.

The exempted products involve products under Australian customs codes 7306.30.0.31 and 7306.30.0.34. This measure will come into effect on December 22, 2023.