China has announced the imposition of substantial anti-dumping tariffs on imports of polyoxymethylene (POM) copolymers—a widely used engineering plastic—from the United States, European Union, Japan, and Taiwan. The new duties are the result of a months-long investigation by China’s Ministry of Commerce, and will see some importers facing rates as high as 74.9%.
This move follows a period of heightened trade tensions between China and several of its major trading partners. In early 2024, the United States introduced sharply higher tariffs on a range of Chinese goods, including electric vehicles and semiconductors. In response, China launched its own probe into the importation of POM copolymers, a material valued for its strength and versatility and commonly used in automotive parts, electronics, and medical equipment.
The investigation concluded that exporters from the U.S., EU, Japan, and Taiwan had been selling POM copolymers in the Chinese market at prices below fair market value, causing material injury to domestic manufacturers.
As a result, the Ministry of Commerce has set the following anti-dumping duty rates: imports from the United States will be taxed at 74.9%, those from the European Union at 34.5%, and Japanese shipments at 35.5%, with the exception of Asahi Kasei Corporation, which will face a lower rate of 24.5%. Taiwanese imports will generally be subject to a 32.6% tariff, though Formosa Plastics and Polyplastics Taiwan have been assigned significantly reduced rates of 4% and 3.8%, respectively.
The introduction of these tariffs comes at a time when there had been tentative signs of easing in the U.S.-China trade dispute. Earlier this month, both countries agreed to a 90-day truce, pledging to reduce certain reciprocal tariffs. However, as noted by the state-run Global Times, “the opportunity for mutually advantageous collaboration should extend well beyond a simple 90-day timeframe.”
The Asia-Pacific Economic Cooperation (APEC) forum, which includes both China and the United States, recently highlighted “fundamental challenges” to the global trading system in a statement issued after its meeting in South Korea. The communique underscored the need for renewed commitment to multilateralism and rules-based trade, even as protectionist measures proliferate.
Industry analysts suggest that the new Chinese tariffs on POM copolymers could have ripple effects throughout international supply chains. As this engineering plastic is a key component in sectors ranging from automotive manufacturing to consumer electronics, higher import costs may prompt companies to seek alternative suppliers or consider relocating production.