Epichlorohydrin: interpretation of the tariff adjustment of China-US trade

- May 17, 2019-

The U.S. government on May 10 raised tariffs from 10 percent to 25 percent on $200 billion in imports from China, including epichlorhydrin. On May 13, the tariff commission of the China council issued the notice of the state council on raising the tariff rate of some imported products from the United States, which will also raise the tariff rate of improted epichlorohydrin from the United States.

Comparison of China’s import and export of epichlorohydrin with that of the United States in each quarter of 2018-2019

Table for each quarter since 2018 China and the United States import and export amount of epoxy chloropropane contrast, can be seen from the table, three quarters of 2018 years ago, China’s import of American epoxy chloropropane quantity is over 1000 tons, and accounts for between 26% and 46% of total imports, in the fourth quarter of 2018 imports plunged to 0 ton, according to Shenyang sunnyjoint chemicals co., ltd forecasts, it relates closely to levying the tax rate of 10% for the American imported epoxy in September. In the first quarter of 2019, China imported a total of 99.31 tons of epichlorohydrin from the United States, accounting for only 2.21% of the total. The increase in the tariff rate to 25% is expected to have little impact.

From 2018 to 2019, the amount of epichlorohydrin exported to the United States is very small, only 127 tons exported in the first quarter of 2018 ( accounting for 5.72% of the total exports in the same period) and 54 tons exported in the third quarter of 2018 ( accounting for 0.48% of the total exports in the same period). After that, there is no new export volume. The increase of the tariff rate to 25% is expected to have little impact.