A preliminary investigation has found price dumping of ethyl acetate imports from Indonesia may be causing damage to local manufacturers, South Korea's trade commission said Friday, adding it will continue its investigation for a final decision in the near future.

"The trade commission has decided to continue its investigation, confirming alleged dumping of Indonesian ethyl acetate in its preliminary investigation," it said in a press release.

The ongoing investigation will last up to five months.

Should the formal investigation also find the Indonesian products being dumped in South Korea, the trade commission will recommend punitive import duties be imposed on Indonesian ethyl acetate, the commission said.

Ethyl acetate is a colorless organic compound that is widely used in glue, ink and paint. The local market for ethyl acetate came to about 145 billion won ($131.2 million) in 2013 with local and Indonesian products accounting for 37.9 percent and 12.6 percent of total supplies, respectively.

The trade commission launched its ongoing investigation on Indonesian ethyl acetate in November 2014. (Yonhap)