Photo shows the entrance to the Chinese Ministry of Commerce (MOC) in Beijing, capital of China. (Xinhua/Li He)

China launched an anti-subsidy probe on US-made glycol ether on Monday, two weeks after it launched an anti-dumping investigation on the imports, a move that shows China's attitude to maintain fair competition in the market while trading with the US, experts said.

The Ministry of Commerce announced on Monday that it was launching an anti-subsidy probe on imports from the US of certain monoalkyl ethers of ethylene glycol and propylene glycol, or glycol ether. 

The investigation is expected to be completed by September 14, 2021 under normal circumstances, but it could be prolonged until March 14, 2022, the ministry statement said.

The launch of the probe followed a call for an investigation by Jiangsu Yida Chemical Co and its units on July 17, on behalf of China's domestic industry

The applicant claims that the US government provides a total of 105 subsidies to American enterprises related to ethylene glycol and propylene glycol.

On August 31, the Ministry of Commerce launched an anti-dumping investigation on the imports. 

Glycol ethers are used extensively as solvents in photoresist, copper clad laminate, electronic chemicals, textile printing and dyes.

The probe shows that China wants to maintain fair competition in the market while promoting legal and compliant imports from the US, Bai Ming, deputy director of the international market research institute at the Chinese Academy of International Trade and Economic Cooperation, told the Global Times on Monday.

"The US also often emphasizes fair competition in trade, but Washington should not use double standards. Maintaining the healthy development of the market is good for both parties," Bai said.

Experts also noted that conducting anti-dumping and anti-subsidy investigations is a standard trade investigative practice under WTO rules.

According to Chinese statistics, China's imports of ethylene glycol and propylene glycol monoalkyl ethers from the US have grown 68.6 percent between 2016 and 2019.

The imports from the US increased from 18,000 tons in 2016 to 24,000 tons in 2017. Since then, the imports have exceeded 30,000 tons in 2018 and 2019. 

Global Times