MOF Takes Final Ruling of Anti-dumping on Imported Polycaprolactam/Polyamide-6 O

In accordance with the Anti-dumping Regulations of the People's Republic of China, the Ministry of Commerce of the People's Republic of China (hereinafter referred to as "the Ministry of Commerce") made the anti-dumping final ruling on imported Polycaprolactam or Polyamide-6 (PA 6 or Nylon 6 for short and the HS code is 39081019) originated from the U.S., the EU, Russia and Taiwan region of China, which claimed to impose the anti-dumping duty on PA 6 or Nylon 6 originating from the U.S., the EU, Russia and Taiwan region of China as from April 22, 2010 with a levy period for five years. The duty rate levied on each company should be compliant with that listed in Appendix 1.

The Announcement clarifies the levying method of the anti-dumping duty, i.e. that import businesses shall pay the anti-dumping duty to the Customs of the People's Republic of China for imported PA6 or Nylon 6 from the U.S., the EU, Russia and Taiwan region. The anti-dumping duty shall be imposed with ad valorem according to the commodity's duty-paid price approved by China Customs. The computation formula is the amount of anti-dumping duty = the duty-paid price approved by Customs × the anti-dumping duty rate. In addition, the import value-added tax, as a taxable value, shall be levied with ad valorem by totaling the duty-paid price plus the tariff and the anti-dumping duty.

The deposits paid by related import businesses to the Customs of the People's Republic of China according to the preliminary ruling during the period from October 20, 2009 to April 21, 2010 (including April 21, 2010) need to be imposed in accordance with both the commodity coverage and the anti-dumping duty rate determined by the final ruling and to be converted into the anti-dumping duty. The import value-added tax on those deposits shall also be imposed in accordance with corresponding value-added tax rate. The Customs should refund the part of deposits in excess of the anti-dumping duty and the excess part of import value-added tax paid by import businesses during this period, with the shortfall in payment to be waived.

China Customs will not trace back to levy anti-dumping duty on those PA6 or Nylon 6 from the U.S., the EU, Russia and Taiwan region imported before the announcement of implementing provisional anti-dumping measures.

Appendix 1.doc