Reed Smith Client Alerts

China's Ministry of Commerce has announced that it is initiating an anti-dumping investigation with respect to imports of phenol originating in the United States, the EU, the Republic of Korea, Japan and Thailand. 

Authors: Michael J. Lowell Jeffrey Orenstein Jill Ottenberg Paula A. Salamoun

On February 2, 2018, various domestic Chinese producers of phenol (the Applicants) submitted a petition for anti-dumping investigation (the Petition) to the Ministry of Commerce, People’s Republic of China (MOFCOM) alleging that phenol products originating in the United States, the EU, the Republic of Korea, Japan and Thailand (the Exporting Countries) and entering the Chinese market “cut down the prices of similar products in the domestic market, thus leading to lower market share, dramatic decline of the selling price and the pretax profit as a whole, [a] fall in ROI [return on investment] and substantial damages to [the] domestic industry.”1 MOFCOM found that the Petition was supported by sufficient evidence and, on March 26, 2018, formally opened an anti-dumping investigation.

The investigation period is from October 1, 2016 to September 30, 2017, and the investigation period for industrial damages is from January 1, 2014 to September 30, 2017.