In accordance with the Anti-dumping Regulations of the People's Republic of China (hereinafter referred to as the “Anti-dumping Regulations”), on October 24, 2016, the Ministry of Commerce (hereinafter referred to as the “Investigation Authority”) issued Announcement No.57 of 2016, deciding to carry out anti-dumping investigation against imports of POM copolymer (hereinafter referred to as the “Products under Investigation”) originated in the Republic of Korea, Thailand and Malaysia.

The Investigation Authority has investigated into the existence of dumping and dumping margin, the existence of damage to China’s domestic industry of POM copolymer caused by the Products under Investigation and the extent of such damage, as well as the causal relationship between the dumping and the damage. According to the investigation findings and Article 24 of the Anti-dumping Regulations, the Investigation Authority released on June 26, 2017, an announcement on the preliminary ruling, affirming that there was dumping of POM copolymer originated in the Republic of Korea, Thailand and Malaysia and the domestic POM copolymer industry was substantially damaged, and there was causal relationship between the dumping and the substantive damage.

Upon the preliminary ruling, the Investigation Authority continued its investigation into the dumping and dumping margin, the damage and the extent of such damage, as well as the causal relationship between the dumping and the damage. The investigation now comes to an end. The Investigation Authority has made the final ruling (See the Annex) according to Article 25 of the Anti-dumping Regulations. Relevant matters are hereby announced as follows:

I. Final Ruling

The Investigation Authority finally ruled that there was dumping of POM copolymer originated in the Republic of Korea, Thailand and Malaysia and the domestic POM copolymer industry was substantially damaged, and there was causal relationship between the dumping and the substantive damage.

II. Levy of Anti-dumping Duties

The Investigation Authority, in accordance with Article 38 of the Anti-dumping Regulations, proposed suggestions on the levy of anti-dumping duties to the Customs Tariff Commission of the State Council, which then decided, as of October 24, 2017, to impose anti-dumping duties on imports of POM copolymer originated in the Republic of Korea, Thailand and Malaysia.

Details of the Products under Investigation are as follows:

Scope of investigation: imports of POM copolymer originated in the Republic of Korea, Thailand and Malaysia.
Names of the Products under Investigation: 共聚聚甲醛, or 聚氧亚甲基共聚物, or 聚氧化甲烯共聚物.
English names: Polyformaldehyde Copolymer, or Polyoxymethylene Copolymer, or Copolymer-type Acetal Resin or Acetal Copolymer etc. Commonly known as POM copolymer.
Chemical formula:
Physical and chemical characteristics: POM copolymer is synthesized by formaldehyde, havingbackbone and key block ( content of more than 50% by weight) thermoplastic resin. It is usually granular solid in milky white or light yellow at room temperature, and meets the following performance indicators at the same time:

Main purposes: with such good mechanical properties as high mechanical strength, high fatigue resistance, high creep resistance and so on, POM copolymer can replace part of copper, zinc, lead, tin and other metal materials and can be used directly or after modification used in the field of auto parts, electronic appliances, industrial machinery, daily necessities, sports equipment, medical equipment, pipe fittings, building materials etc..

The product is listed under tariff numbers of 39071010 and 39071090 in the Customs Import and Export Tariff of the People’s Republic of China. POM homopolymer, modified POM and other products under the above tariff numbers fall beyond the scope of the Products under Investigation.

Rates of anti-dumping duty imposed on companies are as follows:

Companies of the Republic of Korea:
1. KOREA ENGINEERING PLASTICS CO., LTD. 30.0%
2. KOLON PLASTICS, INC. 6.2%
3. All others 30.4%

Companies of Thailand:
1. Thai Polyacetal Co., Ltd. 18.5%
2. All others 34.9%

Companies of Malaysia:
1. Polyplastics Asia Pacific Sdn. Bhd. 8.0%
2. All others 9.5%

III. Methods of Levying Anti-dumping Duties

As of October 24, 2017, import operators shall pay relevant anti-dumping duties to the Customs of the People’s Republic of China when importing POM copolymer originated in the Republic of Korea, Thailand and Malaysia. The anti-dumping duties shall be levied by means of ad valorem on the basis of dutiable value authorized by China Customs, and the formula is: anti-dumping duties = dutiable value authorized by China Customs * rate of anti-dumping duties. The import value-added tax shall be levied by means of ad valorem with the dutiable value authorized by China Customs plus the tariff and anti-dumping duties as the taxable value.

IV. Retrospective Collection of Anti-dumping Duties

Deposits provided by relevant importers to the Customs of the People’s Republic of China from June 30, 2017 to October 23, 2017 according to the announcement on the preliminary ruling, shall be transferred on the basis of detailed description of commodities taxable and the rate of anti-dumping duties determined by the final ruling to anti-dumping duties, and the import value-added tax shall also be levied at relevant rate of value-added tax. Any excess of the deposits provided by importers during this period over the anti-dumping duties and the corresponding import value-added tax will be refunded by the Customs, and the short-levied duties will not be levied.

Retrospective collection of anti-dumping duties will not be carried out for POM copolymer originated in the Republic of Korea, Thailand and Malaysia that were imported before the implementation of the temporary anti-dumping measures.

V. Period of Levying Anti-dumping Duties

The implementation period of levying anti-dumping duties on imports of POM copolymer originated in the Republic of Korea, Thailand and Malaysia lasts for 5 years starting from October 24, 2017.

VI. New Exporter Review

Any new exporter in the Republic of Korea, Thailand and Malaysia that does not export the Products under Investigation to the People’s Republic of China during the investigation period, if qualified, may apply in writing to the Investigation Authority for a new exporter review according to Article 47 of the Anti-dumping Regulations.

VII. Interim Review

During the period of levying anti-dumping duties, relevant interested parties may apply in writing to the Investigation Authority for an interim review in light of Article 49 of the Anti-dumping Regulations.

VIII. Administrative Reconsideration and Administrative Litigation

Any person who refuses to accept the final ruling and the decision on collection of anti-dumping duties may, according to Article 53 of the Anti-dumping Regulations of the People's Republic of China, apply for an administrative reconsideration or initiate litigation to the people's court according to the law.

IX. MOFCOM Announcement No.61 of 2017 on the Final Ruling on the Anti-dumping Investigation against Imports of POM Copolymer Originated in the Republic of Korea, Thailand and Malaysia will take effect as of October 24, 2017.

Ministry of Commerce of the People's Republic of China
October 23, 2017