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Sina finance and economics: beauty of anti-dumping investigations into Chinese MSG, plum blossom group vigorously

United States Department of Commerce announced on 24th, from China and Indonesia import MSG launch anti-dumping and countervailing investigations, investigations or to United States Government of those countries export to the United States market tariffs of MSG. Meihua Group (600873.SH), Secretary of the Board Yang Huixing megamind news agency said Friday, the company is responding to.

According to Xinhua News Agency, United States Department of Commerce said that launched the investigation in response to Japan complaints of Ajinomoto company in North America. The company claims that Chinese and Indonesian exports to the United States the MSG dumping margin is 64.77% to 204.69% and 50.32% to 58.67%, subsidies were also more than 2%.

If the United States Department of Commerce final determination of China and Indonesia MSG companies dumped product or receiving improper subsidies from the Government to the United States, and the United States International Trade Commission (U.S. International Trade Commission) ruled that United States MSG industry suffer, then the United States could MSG on China and Indonesia to impose punitive tariffs.

Yang Huixing noted that monosodium glutamate production of about more than 2 million tons a year in China, which annually more than 200,000 tons were exported to the world a few years ago, slightly more than last year. Meihua group exports about 100,000 tons of monosodium glutamate to the world each year, of which only about 20,000 tons of exports to the United States. He also said that exports United States major clients are Nestlé, Unilever and other large customers, for customers of product cost, MSG is very low, so the price sensitivity is very low, and the customer can also purchase by mainland China. In his view, the tariff has little effect on exports of monosodium glutamate.

According to United States Department of commerce data, United States last year from China and Indonesia's total imports of MSG $ 36.9 million and $ 5.7 million, respectively.

United States International Trade Commission preliminary ruling is expected to be made before and after November 18 of this year. If the Commission decides that, from China and Indonesian imports of monosodium glutamate on United States industries causing material injury, United States Department of Commerce will continue to investigate, plan in December this year and March next year respectively countervailing duty and anti-dumping duties to make a preliminary ruling.