MOSCOW (MRC) -- The board of the Eurasian Economic Commission has conducted an anti-dumping investigation into virgin low-density polyethylene (HDPE) from the Republic of Uzbekistan, the ministry said in a statement.
At the same time, taking into account the price obligations adopted by Uzbek producers and the approved volumes of imports, the measure regarding the supply of products to the countries of the Eurasian Economic Union, except for Russia, will not actually be applied.
Thus, the parameters for the presence of Uzbek polyethylene in the EAEU market have been agreed upon, taking into account the changed circumstances and the formation of the largest producer of this type of product in the Russian Federation, as well as the need for uninterrupted supply of processing enterprises from other states of the Union, where there is no production, with polyethylene at affordable prices.
"The Eurasian Economic Commission succeeded in balancing the interests of producers and consumers, as well as stabilizing the situation, taking into account the interests of Uzbek companies and the status of Uzbekistan as an observer country in the EAEU," Andrey Slepnev, Minister for Trade of the EEC, commented on the decision.
Earlier it was reported that the Eurasian Economic Commission proposes to introduce an anti-dumping duty in the amount of 20.3% of the customs value for a period of 5 years in relation to primary low-density polyethylene (HDPE) from Uzbekistan.
So, on 27 July 27, 2020, the Eurasian Economic Commission launched an anti-dumping investigation against primary low-density polyethylene originating from the Republic of Uzbekistan. The object of the investigation is primary polyethylene in solid primary forms with a specific gravity of 0.94 g/cm3 or more, originating from the Republic of Uzbekistan, classified by code 3901 20 900 9 of the FEACN of the EAEU.
The agency decided to start an anti-dumping investigation based on the results of consideration of the application filed on behalf of Nizhnekamskneftekhim (NKNKH, part of TAIF) and Kazanorgsintez (KOS, part of TAIF) and supported by the West Siberian Petrochemical Plant (ZapSibNeftekhim, part of SIBUR Holding).
The production of HDPE in Uzbekistan is carried out by the Uz-Kor Gas Chemial joint venture (Ustyurt Gas Chemical Complex, UGCC), which produces HDPE under the license of LOTTE Chemical (Korea) and the Shurtan Gas Chemical Complex (SHGCC, SGCC).
Uz-Kor Gas Chemical was put into operation in 2016 and has production capacities for the production of ethylene 400 thousand tons per year, HDPE 387 thousand tons per year, propylene and polypropylene (PP) 83 thousand tons per year. Shurtan GCC has a production capacity for the production of HDPE and LDL in the amount of 125 thousand tons per year.