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China has launched an anti-dumping investigation into imports of p-nitrotoluene from the European Union, just days before the bloc’s trade chief is due in Beijing for talks.
China’s Commerce Ministry said on Saturday that the investigation was requested by domestic producers, who alleged that low-priced EU imports were flooding the Chinese market and harming local production and operations.
P-nitrotoluene is widely used to manufacture dyes, pharmaceuticals and pesticides.
The move comes amid growing trade tensions between Beijing and Brussels, with the EU seeking to protect its industries from a surge in Chinese exports. China has rejected accusations that the competitiveness of its manufacturers is driven by state subsidies and has threatened retaliatory measures against EU trade restrictions.
EU Trade Commissioner Maros Sefcovic and Chinese Commerce Minister Wang Wentao are scheduled to meet on Thursday for talks aimed at preventing further escalation in trade measures.
The EU launched an investigation in September into imports of polyvinyl chloride from several countries, including China.
China’s anti-dumping probe is expected to be completed within 12 months, although the period can be extended by up to six months, the ministry said.
“China has repeatedly reiterated that the EU needs to face its own economic and trade problems directly and resolve mutual concerns through dialogue and consultation,” a ministry spokesperson said.