EU Probes Chinese Chemical Exporters

Responding to a complaint from the European Chemical Industry Council, the European Commission (EC) has opened an investigation into allegations that Chinese makers of the industrial cleaning agent sodium gluconate are selling their product at below-market prices in the European Union. “There is sufficient evidence to justify the initiation of a proceeding,” which can take up to 15 months, the commission says. If EC finds the allegations are justified, it could impose duties on the imports. Commenting on the charges, China’s official news agency, Xinhua, notes that “the EU has frequently resorted to punitive tariffs on Chinese products such as steel rods, fasteners, and shoes on baseless charges.” Interestingly, eight years ago, EC ended a global cartel of sodium gluconate makers when it fined six producers—including AkzoNobel, Archer Daniels Midland, and Fujisawa Pharmaceutical—a total of $53 million for fixing prices.