The Ministry of Economic Affairs of the Republic of China (Taiwan) has announced that the Chinese government has imposed anti-dumping duties on formaldehyde products from Europe, the United States, Japan, and Taiwan. In response, the Ministry of Economic Affairs has assisted Taiwanese businesses in diversifying their export markets.
According to a press release from the Ministry of Economic Affairs, the Chinese Ministry of Commerce announced on May 18 that it had determined there was dumping of formaldehyde imported from the European Union, the United States, Japan, and Taiwan, and would start imposing anti-dumping duties from May 19.
The Ministry of Economic Affairs stated, “The tax rates for our responding companies, Taiwan’s Pan Formosa Petrochemical and Formosa Plastics Corporation, are 3.8% and 4.0% respectively, while the rates for other companies are 32.6%; American companies are at 74.9%; European companies are at 34.5%; and Japanese companies range from 24.5% to 34.5%.”
The Ministry of Economic Affairs mentioned that when China began an anti-dumping investigation on the import of formaldehyde from Taiwan at the end of May 2024, the Ministry “encouraged Taiwanese businesses to actively defend themselves and provided assistance in hiring lawyers to protect their rights.”
Additionally, to help businesses diversify their markets, the Ministry of Economic Affairs has implemented cross-industry alliance models based on the needs of petrochemical businesses. This includes inviting overseas buyers to Taiwan for procurement negotiations, strengthening digital marketing efforts, and assisting Taiwanese businesses in seizing international business opportunities.
In 2024, Taiwan’s formaldehyde exports to mainland China still amounted to $86 million, accounting for 71.1% of Taiwan’s global exports of such products. However, due to the combined efforts of the government and businesses in the past year, the export value from January to April 2025 to mainland China dropped by 25.5% compared to the same period last year, totaling around $20.13 million, and the export share decreased to 61.7%.
The Ministry of Economic Affairs stated that it will continue to assist petrochemical businesses in diversifying their markets. This includes organizing events like the TAIWAN SELECT Global Procurement Summit held on April 23, which invited global petrochemical industry buyers to Taiwan for discussions on procurement of PP, PVC, ABS petrochemical raw materials, and recycled plastics (PCR) products.
Furthermore, in early August, the Ministry of Economic Affairs will hold a “Taiwan-India Petrochemical Cooperation Exchange Conference,” inviting Taiwanese petrochemical and textile businesses to participate in negotiation meetings in the industrial clusters of Mumbai and Ahmedabad. In October, the Ministry will organize business participation in the Düsseldorf International Rubber and Plastics Exhibition in Germany, integrating the upstream and downstream supply chains of rubber and plastic machinery, materials, and products. A product launch event will be held, and media coverage will be invited to enhance industry brand awareness and expand overseas markets.