China to Impose Anti-Dumping Duties on Butyl Rubber Imports

China has announced the imposition of anti-dumping duties on halogenated butyl rubber imports from Japan and Canada, a move set to take effect on March 14. This decision comes following a recommendation from the Ministry of Commerce (MOFCOM), highlighting the ongoing efforts to protect domestic industries from unfair trade practices.

The specific anti-dumping duty rates have been delineated: imports from Japan Butyl Co will be subjected to a 15.0 percent duty, whereas other Japanese firms will face a higher rate of 30.1 percent. For ARLANXEO Canada Inc and additional Canadian companies, the duty will stand at 13.8 percent, as per MOFCOM's announcements.

This anti-dumping investigation, which commenced on September 14, 2024, scrutinized imports not only from Japan and Canada but also from India. Ultimately, the preliminary ruling issued on August 12, 2025, confirmed that these imports had been dumped, establishing a clear link between such practices and the detrimental impact on the domestic butyl rubber industry.

MOFCOM’s final determination on this matter also includes provisions concerning security deposits paid by importers. These deposits, collected by Chinese Customs during the preliminary ruling period, will now be converted into anti-dumping duties based on the final ruling's scope and applicable rates, with the addition of import value-added tax.

Li Yong, an executive council member of the China Society for WTO Studies, emphasized the thoroughness and impartiality of the investigation process, which adhered closely to relevant laws and international regulations. He noted that this decisive action responds to a petition from the domestic industry and was backed by substantial investigations into the injuries sustained.

Moreover, MOFCOM has indicated that any security deposits exceeding the final anti-dumping duties, along with any excess value-added tax already collected, will be refunded. Conversely, any shortfall in collected amounts will not be pursued further by customs, offering relief to affected importers.

Importantly, the anti-dumping duties will not be retroactively applied to any halogenated butyl rubber imports that arrived in China prior to the enforcement date of the new measures. This ensures clarity and fairness for past transactions under scrutiny.

Halogenated butyl rubber finds diverse applications, including its pivotal role in tubeless tire production, heat-resistant inner tubes, as well as in pharmaceuticals, adhesives, and sealing materials. Its significance in various sectors underscores the impact of these regulatory changes.

For new exporters from Japan and Canada who have not engaged in supplying the investigated product during the investigation period, MOFCOM allows them to apply for a fresh review. Additionally, interested parties may request interim reviews throughout the duration of the imposed duties.

Should any party contest the final rulings or the imposition of these anti-dumping duties, avenues for administrative reconsideration or legal action are available, showcasing China's commitment to provide multiple channels for issue resolution.

Li highlighted the importance of such an approach in the current global landscape of escalating unilateralism, stating that it showcases China's dedication to safeguarding the legitimate interests of all parties involved.