The European Union will impose provisional anti-dumping duties on imports from Chinese producers of sodium benzoate after an investigation sparked by a complaint from German chemicals group Lanxess (LXSG.DE) relating to the food preservative.
The duties take effect on Wednesday and will be 57.6% for Wuhan Youji Industries (2881.HK), 63.8% for Shandong TongTaiWeiRun Food Science Tech, 75.4% for Tianjin Dongda Chemical Group and 116.4% on sodium benzoate from any other Chinese exporters, a filing in the EU official journal showed on Tuesday.
This is the latest in a series of measures the EU is imposing on Chinese exporters as concerns mount over its widening goods trade deficit with China, with EU trade chief Maros Sefcovic seeking 'tangible results' by October from talks with Chinese counterpart Wang Wentao.
Sodium benzoate in granular or powder form, with its antimicrobial properties and high water solubility, is used as a food preservative and also in some pharmaceutical products.
The European Commission, which is carrying out an investigation, found that Chinese sodium benzoate producers were exporting at artificially low prices. EU imports of the product more than doubled from 2022 to 2024 and Chinese producers' market share rose from about a third to roughly 55%, with steadily lower import prices.
The Commission's investigation, which could last until the end of January, will determine whether to impose definitive duties, which typically apply for five years.
