Laws of the People's Republic of China

Announcement No. 44, 2006 of Ministry of Commerce on Arbitration of Epichlorohydrin £¨ECH£İAnti-dumping Investigation

[2006]No.44

In accordance with Anti-dumping Regulations of the People's Republic of China, Ministry of Commerce released announcement on Dec 28, 2004, deciding to carry out anti-dumping investigation on ECH originating from Russia, the Republic of Korea, Japan and the United States.

Ministry of Commerce carried out in investigation on dumping and dumping profit margin as well as injury and injury extent on investigated commodities. In line with investigation result and Article No. 24 of the Anti-dumping Regulations of the People's Republic of China, Ministry of Commerce released preliminary arbitration on Sept 21, 2005, confirming dumping of the investigated commodity as well as the causality between dumping of the investigated commodity and the injury of domestic industries.

After issuance of the preliminary arbitration, Ministry of Commerce continued to carry out investigation on dumping and dumping profit margin as well as injury and injury extent, and issued the final arbitration (please refer to appendix) in line with investigation result and Article No. 25 of the Anti-dumping Regulations of the People's Republic of China. Related matters are now announced as follows:

I.

Final Arbitration

In line with investigation, Ministry of Commerce finally verdicts dumping of the investigated commodity, injures the domestic ECH industries, and the existence of causality between dumping of the investigated commodity and the injury of domestic industries.

II.

Imposing Anti-dumping Duties

In accordance with Anti-dumping Regulations of the People's Republic of China, Tariff Committee of the State Council decides to impose anti-dumping duties on ECH originating from Russia, the Republic of Korea, Japan and the United States as from Jun 28, 2006.

The tariff code of the investigated commodity is 29103000.

Rate of Anti-dumping Duties on Different Companies:

Companies in Russia

1.

The Joint Stock Company Kaustik 17.9%

2.

Limited Liability Company "Usoliekhimprom" 5.4%

3.

All Others 71.5%

Companies in the Republic of Korea

1.

HAN WHA CHEMICAL CORPORATION 4.0%

2.

Samsung Fine Chemicals Co., LTD 3.8%

3.

All Others 71.5%

Companies in Japan

1.

Kashima Chemical Co., Ltd. 4.7%

2.

All Others 71.5%

3.

DAISO CO., LTD. 0%

Companies in the United States

1.

The Dow Chemical Company 4.3%

2.

All Others 71.5%

Appendix: Ministry of Commerce's Final Arbitration on Anti-dumping Investigation on Epichlorohydrin (ECH) originating from Russia, the Republic of Korea, Japan and the United States

Ministry of Commerce

June 28, 2006