Possible AD/CV Duties on Chinese Alkyl Phosphate Esters Imports

A petition submitted on April 23 alleges that alkyl phosphate esters originating from China are being sold in the US at prices below fair market value and are benefiting from countervailable subsidies. Read on to learn more.

The petition, submitted by ICL-IP America, Inc., claims that the average dumping margins range from 119.52% to 145.43%.

Alkyl phosphate esters are commonly used in manufacturing polyurethane foam, which is used in construction for insulation purposes. Its market size reached a value of $49.5 billion in 2023 and is growing at a CAGR of 6.5%. This is driven by countries now seeking more energy-efficient solutions to support their sustainability initiatives. 

The US Department of Commerce and the International Trade Commission will now consider whether to initiate investigations into alleged antidumping and countervailing duty (AD/CV) violations and injury assessments. 

The products subject to this petition include alkyl phosphate esters primarily characterized by side chains with a length of two or three carbon atoms. 

Additionally, the petition covers isomers of these products and blends containing one or more alkyl phosphate esters, where the esters constitute 20% or more of the blend's weight.

Alkyl phosphate esters fall under the Harmonized Tariff Schedule of the United States (HTSUS) classification 2919.90.5050 and may also be categorized under HTSUS 2919.90.5010 and 3824.99.5500.

This is not the first AD/CV case petitioned this month. Earlier in April, the US Epoxy Resin Producers Ad Hoc Coalition filed a petition seeking the imposition of antidumping and countervailing duties on certain epoxy resins imported into the US from China, India, South Korea, Taiwan, and Thailand.

If your trade operations are affected by these allegations, please contact one of our trade professionals.