BUSINESS

S. Korea urges China to end anti-dumping duties on solar materials

By Shin Ji-hye
  • Published : Sept 18, 2019 - 15:51
  • Updated : Sept 18, 2019 - 15:51

South Korea has urged China to terminate its anti-dumping measures on Korean polycrystalline silicon for solar panels, claiming they do not pose any domestic threat, officials said Wednesday.

A delegation led by Chung Hae-kwan, director general of Trade Ministry’s trade legal affairs, attended a hearing in Beijing together with officials of related Korean companies, including OCI and Hanwha Chemical.

The Chinese government has imposed anti-dumping duties on Korean and US polycrystalline silicon since January 2014. China is now reviewing the decision and may extend it for another five years -- as per World Trade Organization regulations.

(123rf)


Polycrystalline silicon, or polysilicon, a form of silicon, is a key ingredient used by the solar photovoltaic and electronics industry.

Currently, Hanwha Chemical and OCI face tariffs of 8.9 percent and 4.4 percent, respectively, in China. The tariffs were revised in 2018 through retrials by the Chinese government, which lowered taxes for Hanwha from 12.3 percent and increased duties for OCI from 2.4 percent.

Last year, Korean companies exported 44,900 tons of polysilicon -- worth $596 million -- to China, according to the ministry data.

During the hearing, the Korean delegation explained that Korean products no longer hurt Chinese firms, showing their improved figures in the production and operating ratio. The Trade Ministry also urged its Chinese counterpart to make rational decisions as demand for high-quality Korean polysilicon products is growing in the solar power industry.

Separately, Chung met with his Chinese counterpart Yu Benlin, highlighting that the anti-dumping review should be carried out fairly and lawfully and asked for cooperation to minimize the negative impacts on bilateral trade.

China is the third-largest country that imposes import regulations on Korean products following the US and India. Currently, it imposes anti-dumping levies on 15 Korean products, including chemicals and steels.

Early this month, the Chinese government said it would impose anti-dumping tariffs on imported phenol products from the US, the European Union, Korea, Japan and Thailand. The duties will be up to 287 percent over the next five years.

China is also additionally investigating polyphenylene sulfide and ethylene-propylene rubber for anti-dumping measures.
 
By Shin Ji-hye (shinjh@heraldcorp.com)


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