China probing Japan, KL, S'pore methionine exports

Singapore

CHINA'S Ministry of Commerce said on Wednesday that it has launched an anti-dumping investigation of methionine imports from Singapore, Malaysia and Japan.

The probe, which started on Wednesday, will run until April 10 next year, and may be extended until Oct 10 if there are special circumstances.

The investigation was requested by China's producers of the chemical, an amino acid used in the production of animal feed, medicine and food. The petitioners are from companies which account for more than half of China's methionine output.

China's anti-dumping probes generally seek to determine whether dumping has occurred. "Dumping", in this context, refers to exporters pricing their goods below normal value, thus damaging China's domestic industry.

China's probes also look into whether the domestic industry has been hurt, and whether there is a link between the dumping and the damage. In this probe, the period under investigation for damage suffered by its domestic industry covers Jan 1, 2016 until Dec 31, 2018.

Methionine producers in Singapore include German specialty chemicals giant Evonik Industries, which opened its first methionine plant on Jurong Island in 2014; a second plant is set to be operational this year, doubling Evonik's Singapore production capacity to 300,000 metric tons per year. With an investment cost of more than 500 million euros (S$762 million), the new plant is expected to create more than150 jobs.

Last year, China imposed anti-dumping tariffs on Singapore for halogenated butyl rubber, which is used in tyre manufacturing.

A review of existing anti-dumping measures on exports of industrial chemical bisphenol A from Singapore, Japan, South Korea and Taiwan is ongoing. It is set to end by Aug 29.

A spokesman for Singapore's Ministry of Trade and Industry told The Business Times that it is monitoring the investigation by China into its methionine imports from Japan, Malaysia and Singapore.

"Anti-dumping investigations occur from time to time when there are complaints from companies that the price at which a product is sold is less than that of the price sold for consumption in the exporting country," the spokesman added.