Wednesday, 18 October 2017

Industry association Starch Europe is disappointed by the decision of the Chinese Minister of Commerce to extend the countervailing duties on exports of EU potato starch to China.

The European association says that the decision “fails to be supported by hard facts and figures and sound justification”.

On September 15, 2017, the Chinese Minister of Commerce issued its final decision to extend for another 5 years the anti-subsidy duties ranging from 7.5% to 12.4% on exports of EU potato starch to China.

The initial case was launched in 2010, with the decision to apply countervailing duties until mid-September 2016. The justification for the anti-subsidy duties at the time was the EU potato starch support scheme. On July 1, 2012, the EU quota system in relation to the production of potato starch came to an end. Despite this significant policy change, the Chinese Minister of Commerce (MOFCOM) still decided to prolong the duty.

“Starch Europe deeply regrets that the Chinese Minister of Commerce did not provide any justification supporting the decision to extend the application of the countervailing duties and questions the arguments provided in the final disclosure of basic facts supporting the decision of the MOFCOM,” according to a press release.

The anti-subsidy duty comes on top of an anti-dumping duty ranging from 12.6% to 56.7% on EU potato starch exports to China, dating back to August 2006. The anti-dumping duty is up for review in February 2018. 

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BLOG: Potato Starch – A Topic More Interesting than Ever 

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Asia-Pacific Is the Fastest-growing Region in the Industrial Starch Market

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