Counter-strike! China initiated an interim review on Dispersion Unshifted Single-Mode Optical Fiber originated from the U.S.

According to an announcement published by the Ministry of Commerce of China (“MOFCOM“) today, the MOFCOM has decided to initiate the interim review on Dispersion Unshifted Single-Mode Optical Fiber (“DUSMOF“) originated from the U.S. with respect to its applied anti-dumping measures.

Development

On April 21, 2011, the MOFCOM decided to apply the anti-dumping tax on the DUSMOF originated from the U.S. and the EU since April 22, 2011, for a period of 5 years.

On April 21, 2017, after the final review, the MOFCOM decided to continue to apply the anti-dumping tax on the DUSMOF originated from the U.S. and the EU since April 22, 2017, for a period of 5 years.

On May 11, 2017, 7 Chinese companies applied to the MOFCOM to conduct an interim review on the DUSMOF originated from the U.S. with respect to its applied anti-dumping measures due to the reason that during the implementation of the aforesaid anti-dumping measures, the DUSMOF originated from the U.S. are still dumping in China, and its scale of dumping has been increased exceeding the currently applied anti-dumping tax rate.

On August 1, 2017, the MOFCOM notified the U.S. Embassy of this anti-dumping interim review application and forwarded the relevant materials to it.

Scope of interim review

The scope of interim review is limited to the DUSMOF originated from the U.S.

Period to investigate

This interim review will investigate the period between January 1, 2016 and December 31, 2016.

Procedures of the interim review

  • Comments from stakeholders

Any stakeholder may submit opinions and evidence to the MOFCOM within 20 days of this announcement.

  • Registration for participating the investigation

Any stakeholder may register at the MOFCOM to participate in the investigation within 20 days of this announcement.

  • Questionnaire

The MOFCOM will send the questionnaire to stakeholders for information required for the investigation.

  • Oral hearing

The stakeholders may apply to the MOFCOM to hold an oral hearing. The MOFCOM may also decide to hold an oral hearing ex officio if it deems necessary.

  • Field investigation

If necessary, the MOFCOM may send its staff to do a field investigation on the relevant companies with prior notice to them.

Is this the beginning of a trade war?

The U.S. government initiated the Section 301 investigation against China on August 18. Only 4 days later, China fought back with the anti-dumping interim review. Although the anti-dumping measures on the DUSMOF originated from the U.S. and the EU started since 2011, this interim review clearly sends a message to the U.S. government because the EU is not subject to the investigation this time.

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