EU removes tariff on textile dye chemical from China

12/02/2014
The European Union has removed a 49.1% tariff against China on a chemical used for textile colouring, ending protection for Germany’s AlzChem.

The bloc imposed the levy on dicyandiamide in 2007 to punish Chinese exporters including Ningxia Yinglite Chemicals for allegedly having sold the raw material in Europe below cost.

AlzChem, Europe’s only producer of dicyandiamide, asked for a renewal saying its repeal could lead to dumping and further injury to the company. However, “there is no likelihood of recurrence of injury,” said the EU in a statement.

The chemical is also used for pharmaceuticals, powder coatings, water treatment and glues.