December 17, 2015

 

Chinese DDGS producers file antidumping case vs US
 

 

China will decide early next year whether or not it will initiate an investigation over an alleged dumpingof distillers dried grains with or without solubles (DDGS) by US exporters.

 

The Chinese Ministry of Commerce (Mofcom) notified the US Embassy in Beijing on Tuesday, Dec. 15, that it had formally received petitions from local DDGS producers for an antidumping and countervailing duty investigation against DDGS from the US, according to the US Department of Agriculture.

 

Earlier, it was reported that there had been a surge in Chinese imports of DDGS and other alternative animal feeds because of high domestic corn prices.

 

This situation led to a 10% cut in the floor price for corn in September 2015, the first time the government cut the floor price for corn since 2008.

 

At the same time, the government became stricter on quality requirements for state purchases, requiring farmers who couldn’t meet these standards to sell their corn on the market at a discount.

 

Mofcom is required to decide on whether to initiate an investigation within 60 days from acceptance of the petition under Chinese regulations. However, Mofcom often takes less

than the maximum 60 days to announce a probe, according to the USDA.

 

In late 2010 China filed an antidumping case against US DDGS and exports to China slowed but did not stop. China eventually dropped this case in 2012.

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