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Turkey Maintains Anti-Dumping Measures on Chinese-Origin Artificial Leather; Initiates Other Anti-Dumping Investigations Including Expiry Review for Made-up Textile Articles

Hong Kong traders with export interests from mainland China to Turkey may like to know that the anti-dumping measures on certain finished or semi-finished artificial leather, originating in mainland China, are confirmed as remaining in force. This is laid down in Decree No. 2015/9 on the Prevention of Unfair Competition from Imports, published in the Turkish Official Journal, No. 29324, dated 12 April 2015. The original measures, which are maintained, had been introduced as 1.9 USD/kg by Decree No. 2009/12 on the Prevention of Unfair Competition from Imports, published in the Turkish Official Journal, No. 27204, dated 18 April 2009.

The rates that are maintained within the framework of new Decree No. 2015/9 for certain finished or semi-finished artificial leather are illustrated in the following table. These therefore continue to be applicable to imports from mainland China as from 12 April 2015:

Table: Anti-dumping Measure
Table: Anti-dumping Measure


Within the framework of the abovementioned expiry review investigation, which was initiated on 18 April 2014 in order to evaluate the likelihood of recurrence of dumping and injury should the measures be repealed, twelve companies resident in mainland China and twenty importing companies were invited to cooperate. Despite this, only two importing companies submitted their responses to the Ministry of Economy whereas none of the companies resident in mainland China are said to have cooperated.

Upon the completion of the investigation, Turkey’s domestic industry was found to face problems in terms of profitability and inventory levels, despite its positive performance in terms of production, domestic sales, employment and market share. The imports of the product concerned were also found to have decreased during the investigation period.

Nevertheless, it was determined that the Turkish domestic industry did not fully recover and was still vulnerable. In addition, the price undercutting and price depression levels were found to be capable of eliminating any partial recovery in the domestic industry. Moreover, as mainland China was found to have reached high production and production capacity rates, and as mainland Chinese producers and exporters are felt to be closely acquainted with the Turkish market, and capable of easily and quickly penetrating distribution levels, the Turkish authority’s concerns were further heightened. The latter saw these as factors demonstrating that the Chinese mainland’s capacity would be channelled to Turkey at low prices, which would, in turn, undercut and depress the Turkish domestic industry’s prices.

Hong Kong traders exporting from mainland China to Turkey may also like to know that Turkey has initiated a dumping investigation into sodium formate originating in mainland China and currently falling under Tariff Statistical Position 2915.12.00.0012. The investigation was initiated by Decree No. 2015/10 on the Prevention of Unfair Competition from Imports, published in the Turkish Official Journal, No. 29324, dated 12 April 2015. The complaint, regarding the alleged dumping, had been filed by MKS Marmara Entegre Kimya Sanayi A.Ş.

Hong Kong companies may like to know, in addition, that Turkey initiated an expiry review investigation, regarding the anti-dumping measures applicable to certain made-up textile articles and fabrics made of artificial or synthetics fibres originating in mainland China and currently falling under Tariff Statistical Positions 54.07, 5810.92.10.00.00, 5810.92.90.00.00, 6005.31.10.00.00, 6005.32.10.00.00, 6005.33.10.00.00, 6005.34.10.00.00, 6006.31.10.00.00, 6006.32.10.00.00, 6006.33.10.00.00, 6006.34.10.00.00, 6303.12.00.00.00 and 6303.92.

The investigation was initiated by Decree No. 2015/7 on the Prevention of Unfair Competition from Imports, published in the Turkish Official Journal, No. 29322, dated 10 April 2015. The request for an expiry review was submitted by the Turkish Home Textile Industrialists' and Businessmen's Association (TETSIAD).

The products concerned are currently subject to an anti-dumping duty to the tune of 70.44% of the CIF value with a maximum applicable rate of 5 USD/kg. The duty was originally introduced by Decree No. 2010/8 on the Prevention of Unfair Competition from Imports, published in the Turkish Official Journal, No. 27549, dated 11 April 2010. 

Within the framework of the anti-dumping investigation into sodium formate and the expiry review investigation concerning certain made-up textile articles and fabrics made of artificial or synthetics fibres, importers, producers and exporters of the products under investigation were to be notified of the initiation of the investigation. Notified parties are required to submit their responses to the anti-dumping questionnaire, in Turkish, within 37 days from the date on which the notification was sent, including the time spent for delivery. For other interested parties, who do not receive a notification, the 37-day deadline starts as from the publication date of the announcements in the Turkish Official Journal, including the time spent for delivery.

Interested parties failing to submit their responses within the deadline will be considered as not cooperating, and the relevant determinations, within the framework of the investigations, will be made based on the facts available, which may lead to unfavourable or less favourable consequences compared to cooperating parties.
Interested parties are also invited to submit evidence proving that market economy conditions apply in mainland China. In the case where such claim cannot be substantiated by evidence, normal value calculations will be based on a constructed value, the calculation of which could be based on Turkey as the analogue country.

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