China Launches Investigation into Chemical Compound Imported from the EU
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China Launches Investigation into Chemical Compound Imported from the EU

China has announced the opening of an investigation into a chemical compound imported from the European Union. This decision was made shortly before the planned visit of the European Trade Commissioner to the Chinese capital, Marosa Sefkovic.

The Chinese Ministry of Commerce stated in its announcement that this investigation resulted from a request submitted by local companies in September. The compound, known as p-nitrotoluene (also 4-nitrotoluene), is used in the production of p-toluidine, DSD acid, p-aminobenzoic acid, and other derivatives applied in industries such as dyes, pigments, pesticides, and medicine.

The anti-dumping type of investigation aims to determine whether the product is being exported at prices below normal value and whether this is causing damage to the importing country's industry. The analysis will focus on imports originating from the EU, covering the period from July 1, 2025, to June 30, 2026. The assessment of damage to Chinese industry covers the period from January 1, 2022, to June 30, 2026.

The Ministry of Commerce indicated that the investigation began today and should generally conclude by October 3, 2027, although it may be extended by six months under 'special circumstances.' A ministry representative stated that preliminary evidence presented by the applicants indicates that imports from the EU remained high between 2022 and 2025, with prices decreasing by a total of 60%, which, according to the statement, 'has caused damage' to the Chinese industry.

The Ministry added that it will analyze the case in accordance with Chinese law and World Trade Organization (WTO) norms, while also ensuring the rights of interested parties, promising an 'objective and impartial' decision. Beijing also emphasized that it maintains a 'cautious and restrained' stance on trade protection issues, but accused the EU of launching over 28 trade investigations against Chinese goods since 2025, about half of which concern chemical products.

The Ministry specifically mentioned three recent investigations from Brussels concerning PVC and other Chinese chemical products, urging the EU to 'resolve its own economic problems' and settle disputes through dialogue. The start of these investigations coincides with the upcoming meeting between Sefkovic and China's Minister of Commerce Wang Wentao in Beijing on October 8 and 9 as part of the consultation mechanism that Brussels uses to restore bilateral trade relations.

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China extends investigations into US trade barriers after talks
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China extends investigations into US trade barriers after talks

The ministry published two statements on the extension of investigations on September 27, several days after both countries held a new round of trade negotiations, and the heads of state, Xi Jinping and Donald Trump, met in Washington.

The investigations, initiated on March 27, focus on American practices and measures that, according to the ministry, 'undermine global production and supply chains' and 'hinder the trade of environmentally friendly products.'

Beijing initiated these checks after Washington opened two investigations against an Asian giant and other economies for excessive industrial production and forced labor, under Section 301 of the Trade Act of 1974, which allows for the imposition of tariffs on countries accused of unfair trade practices.

The extensions occurred after both powers extended the trade truce until January 10, 2027, which was set to expire on November 10—the agreement was announced at the summit in Washington.

Furthermore, both sides agreed to reduce tariffs on various goods by approximately $30 billion (€26.5 billion) each. These goods range from Chinese toys and home appliances to American meat, grain, coal, and medical equipment.

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