Korea Extends Tariffs on Chinese Plywood

On July 2,2024,the South Korean Ministry of Strategy and Finance issued Order No.1074,announcing that it would continue to impose anti-dumping duties on coniferous plywood originating from China with a thickness of 6 mm or more.According to the announcement,the anti-dumping duty rate has been unified at 7.15%,and the measure will take effect from November 6,2023,with a validity period of five years.The products covered by this decision include semi-chemical straw cellulose corrugated base paper and other types of corrugated base paper.The specific Korean tariff codes of the products involved are 4412.39.9000 and 4412.99.9100.

Background and Course

South Korea first launched an anti - dumping investigation on coniferous plywood originating in China on March 13,2015.On March 11,2016,South Korea made a preliminary ruling and began to impose anti - dumping duties of 4.22% to 7.15% on the Chinese products involved.Subsequently,on August 20,2020,the Korea Trade Commission made a final ruling on the first sunset review of this case,recommending the continued imposition of anti - dumping duties on the Chinese products involved.According to Order No.814 issued on November 6,2020,South Korea continued to impose anti - dumping duties of 5.33% to 7.15% on Chinese coniferous plywood,and the measure was valid for three years.

On July 3,2023,the South Korean Ministry of Strategy and Finance initiated a second sunset review investigation into Chinese softwood plywood.After investigation and analysis,on April 18,2024,South Korea made a positive final ruling on the second sunset review and recommended continuing to impose anti-dumping duties on the products involved for a period of five years.

Details of the Anti - dumping Duty Rate

According to this final ruling,all the investigated Chinese suppliers are subject to the same anti - dumping duty rate,that is,7.15%.The specific list of suppliers and the duty rates are as follows:

Impact and outlook

The decision to extend the anti - dumping duty is aimed at protecting the domestic coniferous plywood industry in South Korea from the impact of low - priced imported products.Starting from November 6,2023,a 7.15% anti - dumping duty will be imposed on all Chinese coniferous plywood with a thickness of 6 mm or more imported into South Korea,and the measure will be valid for five years.

This move not only provides a protective umbrella for domestic producers in South Korea but also gives them sufficient time to adjust and enhance their competitiveness.However,this measure may also lead to an increase in costs for importers and end - users,thus affecting market prices and the supply chain structure.

Original announcement PDF document: