Amid ongoing trade tensions between China and the West, the Chinese government has imposed heavy anti-dumping tariffs on imports of a type of engineering plastic known as POM copolymers from the United States, the European Union, Japan, and Taiwan. This move comes as tariff wars between global economic powers persist, significantly impacting global supply chains and various industries.
Anti-Dumping Tariffs Up to 74.9%: Details of Beijing’s New Decision
On Sunday, China’s Ministry of Commerce announced that anti-dumping tariffs of up to 74.9% will be levied on imports of POM copolymers. This decision follows anti-dumping investigations that began in May 2024, shortly after the United States imposed heavy tariffs on Chinese imports, including electric vehicles, electronic chips, and other goods.
POM copolymers are a type of engineering plastic known for their strength and high machinability, making them widely used in industries such as automotive parts manufacturing, electronic equipment, and medical tools. These materials can partially replace metals like copper and zinc, highlighting their importance to industrial supply chains.
Initial findings by China’s Ministry of Commerce indicated ongoing dumping activities. As a result, provisional anti-dumping measures, including customs deposits, were implemented starting January 24. With the final results now released, the tariffs are as follows:
- United States: 74.9%
- European Union: 34.5%
- Japan: 35.5% (except for Asahi Kasei, which receives a preferential rate of 24.5%)
- Taiwan: 32.6% (Formosa Plastics: 4%, Polyplastics Taiwan: 3.8%)
Market Impact and the Future of China-West Trade Relations
Following the announcement, global markets are closely monitoring the developments. While there have been signs of easing tensions between China and the U.S.—including a 90-day truce agreement announced on Monday—unilateral actions such as the recent tariffs could challenge the process of de-escalation.
China’s state-run Global Times reported that the truce should be extended to create a foundation for broader negotiations. Nonetheless, tit-for-tat trade measures continue, raising concerns about the future of the global trade system.
In this context, the Asia-Pacific Economic Cooperation (APEC), after its meeting in South Korea, issued a statement warning of “fundamental challenges” facing the global trading order. It appears that, amid the ongoing situation, supply chain diversification, reliance on domestic production, and strengthening bilateral trade relations will gain increasing attention.
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