Commission Implementing Regulation (EU) 2023/752 of 12 April 2023 imposing a definitive anti-dumping duty on imports of sodium gluconate originating in the People’s Republic of China following an expiry review pursuant to Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council

(11) Commission Implementing Regulation (EU) 2022/2001 of 21 October 2022 imposing a definitive anti-dumping duty on imports of aspartame originating in the People’s Republic of China, following an expiry review pursuant to Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council (OJ L 274, 24.10.2022, p. 24).

(12) Regulation (EU) 2022/116, recitals 82-88 and 121-122, Regulation (EU) 2022/1924, recitals 71-77 and Regulation (EU) 2022/2001, recitals 105-108.

(13) Regulation (EU) 2022/116, recitals 91-92, Regulation (EU) 2022/1924, recitals 55-56 and Regulation (EU) 2022/2001, recital 94.

(14) Regulation (EU) 2022/116, recitals 93-94, 96, Regulation (EU) 2022/1924, recital 57-61 and Regulation (EU) 2022/2001, recitals 95-96: While the right to appoint and to remove key management personnel in SOEs by the relevant State authorities, as provided for in the Chinese legislation, can be considered to reflect the corresponding ownership rights, CCP cells in enterprises, state owned and private alike, represent another important channel through which the State can interfere with business decisions. According to the PRC’s company law, a CCP organisation is to be established in every company (with at least three CCP members as specified in the CCP Constitution) and the company shall provide the necessary conditions for the activities of the party organisation. In the past, this requirement appears not to have always been followed or strictly enforced. However, since at least 2016 the CCP has reinforced its claims to control business decisions in SOEs as a matter of political principle. The CCP is also reported to exercise pressure on private companies to put ‘patriotism’ first and to follow party discipline. In 2017, it was reported that party cells existed in 70 % of some 1,86 million privately owned companies, with growing pressure for the CCP organisations to have a final say over the business decisions within their respective companies. These rules are of general application throughout the Chinese economy, across all sectors, including to the producers of acesulfame potassium and the suppliers of their inputs.

(15) Regulation (EU) 2022/116, recitals 97-100, Regulation (EU) 2022/1924, recitals 62-67 and Regulation (EU) 2022/2001, recitals 97-101.

(16) Regulation (EU) 2022/116, recitals 101-104, Regulation (EU) 2022/1924, recital 68 and Regulation (EU) 2022/2001, recital 102.

(17) Regulation (EU) 2022/116, recitals 105-106, Regulation (EU) 2022/1924, recital 69 and Regulation (EU) 2022/2001, recital 103.

(18) Regulation (EU) 2022/116, recitals 107-117, Regulation (EU) 2022/1924, recital 70 and Regulation (EU) 2022/2001, recital 104.

(19) Commission staff working document SWD(2017) 483 final/2, 20. 12. 2017, available at: https://ec.europa.eu/transparency/documents-register/detail?ref=SWD(2017)483&lang=en

(20) See the request, pages 19-20.

(21) See the request, page 20.

(22) See the request, page 20.

(23) Commission Implementing Regulation (EU) 2021/633 of 14 April 2021 imposing a definitive anti-dumping duty on imports of monosodium glutamate originating in the People’s Republic of China and in Indonesia following an expiry review pursuant to Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council (OJ L 132, 19.4.2021, p. 63); Commission Implementing Regulation (EU) 2021/607 of 14 April 2021 imposing a definitive anti-dumping duty on imports of citric acid originating in the People’s Republic of China as extended to imports of citric acid consigned from Malaysia, whether declared as originating in Malaysia or not, following an expiry review pursuant to Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council l (OJ L 129, 15.4.2021, p. 73); Commission Implementing Regulation (EU) 2021/441 of 11 March 2021 imposing a definitive anti-dumping duty on imports of sulphanilic acid originating in the People’s Republic of China following an expiry review pursuant to Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council (OJ L 85, 12.3.2021, p. 154); Commission Implementing Regulation (EU) 2020/1336 of 25 September 2020 imposing definitive anti-dumping duties on imports of certain polyvinyl alcohols originating in the People’s Republic of China (OJ L 315, 29.9.2020, p. 1); Commission Implementing Regulation (EU) 2020/39 of 16 January 2020 imposing a definitive anti-dumping duty on imports of peroxosulphates (persulphates) originating in the People’s Republic of China following an expiry review pursuant to Article 11(2) of Regulation (EU) 2016/1036 of the European Parliament and of the Council (OJ L 13, 17.1.2020, p. 18).

(24) See US DOC, ITA, Decision Memorandum for the Preliminary Affirmative Determination: Countervailing Duty Investigation of Sodium Gluconate, gluconic acid and derivative products (GNA) from the People’s Republic of China, 2 May 2018; Issues and Decision Memorandum for the Final Affirmative Determination in Countervailing Duty Investigation of Sodium Gluconate, gluconic acid and derivative products from the People’s Republic of China, 17 September 2018.

(25) CSIA Articles of Association available at: http://www.siacn.org/

(26) See the article on CSIA’s website: https://www.siacn.org.cn/ds/2209ce7a3f.html

(27) China Industrial Economic Information Network, ‘Private Entrepreneur Speech | Zhang Dada, Chairman of Shandong Fuyang Biotechnology Co., Ltd.: Promote the construction of high-tech projects and build the world’s top biological product manufacturing base’ published on 16 August 2021 (original text in Chinese), available at: http://www.cinic.org.cn/xy/dezhou/cjgc/1139848.html

(28) Full text of the 14th Five Year Plan (‘FYP’) on Economic and Social Development available at: https://www.ndrc.gov.cn/xxgk/zcfb/ghwb/202103/t20210323_1270124.html?code=&state=123

(29) Full text of the 14th FYP on Developing the Raw Materials Industry available at: https://www.miit.gov.cn/zwgk/zcwj/wjfb/tz/art/2021/art_2960538d19e34c66a5eb8d01b74cbb20.html

(30) Full text of the Guiding Opinions to Promote the High-Quality Development of the Petrochemical and Chemical Industries during 14FYP available at: http://www.gov.cn/zhengce/zhengceku/2022-04/08/content_5683972.htm#msdynttrid=WRmyf07ph0z74SHmXoOLKjRWl09BdZ4lGdYp9fiI9xU

(31) Full text of the ‘MOA + 15 administrations’ Notice of Several Policy Measures to Support the High Quality Development of Agricultural Products’ Deep Processing available at: http://www.xccys.moa.gov.cn/gzdt/201901/t20190102_6314547.htm

(32) Article 1 of Shandong province’s Notice of a Plan fostering the building of a strong agricultural province (2021—2025). Full text of the document available at: http://www.shandong.gov.cn/art/2021/10/28/art_107851_114919.html

(33) Heilongjiang province’s 14FYP on Developing Corn Processing Industry, box 3.3. Full text available at: https://zwgk.hlj.gov.cn/zwgk/publicInfo/detail?id=450171

(34) See Ministry of Agriculture website: http://www.moa.gov.cn/xw/qg/202012/t20201207_6357665.htm

(35) See Ministry of Agriculture website: http://www.moa.gov.cn/xw/qg/202206/t20220614_6402372.htm

(36) http://www.moa.gov.cn/xw/qg/202206/t20220614_6402372.htm

(37) Article 3.4. Full text of the document published on Jilin government’s website: http://xxgk.jl.gov.cn/szf/gkml/202112/t20211227_8357122.html

(38) See Jilin province’s website: http://www.jl.gov.cn/szfzt/tzcj/zdxm/ncpjg/201902/t20190215_5605767.html

(39) World Bank Open Data – Upper Middle Income, https://data.worldbank.org/income-level/upper-middle-income.

(40) If there is no production of the product under review in any country with a similar level of development, production of a product in the same general category and/or sector of the product under review may be considered.

(41) Regulation (EU) 2015/755 of the European Parliament and of the Council of 29 April 2015 on common rules for imports from certain third countries (OJ L 123, 19.5.2015, p. 33). Article 2(7) of the basic Regulation considers that domestic prices in those countries cannot be used for the purpose of determining normal value and, in any event, such import data was negligible.

(42) https://www.ilo.org/ilostat

(43) www.enel.com.co

(44) Sodium Gluconate and Glucono Delta-Lactone’s Major Producers Capacity and Output in China in 2021, published April 2022.

(45) Corn Products China News July 2022; Corn Products China News September 2022.

(46) BBCA Biochemical: 60 000 tonnes, Shandong Fuyang Biotechnology (through Dezhou Heyang Biotechnology): 200 000 tonnes, and Tongliao Zhongyuan Biological Development: 30 000 tonnes.

(47) See: http://english.scio.gov.cn/pressroom/2022-01/26/content_78011624.htm

(48) KComber/CCM and and ThinkReal.

(49) Exhibit 23 of the verification report: Chinese export statistics (all destinations)/Chinese export statistics (EU 27 destinations).

(50) https://www.federalregister.gov/documents/2018/11/13/2018-24705/sodium-gluconate-gluconic-acid-and-derivative-products-from-the-peoples-republic-of-china

(51) See submission of Jungbunzlauer ‘Exhibit 23’.

(52) See submission of Jungbunzlauer ‘Exhibit 23’.

(53) Sodium Gluconate and Glucono Delta-Lactone's Major Producers Capacity and Output in China in 2021 (marketresearch.com) https://www.marketresearch.com/CCM-International-Limited-v3539/Sodium-Gluconate-Glucono-Delta-Lactone-32039947/#:~:text = In%202017 %E2 %80 %932021 %2C%20the%20output%20of%20sodium%20gluconate%20in,which%20was%205,44 %25 %20lower%20than%20that%20of%202020.

(54) China to Europe container freight rate index | Statista

Shipping costs quadruple to record highs on China-Europe ‘bottleneck’ | Financial Times (ft.com)

(55) Sodium Gluconate and Glucono Delta-Lactone's Major Producers Capacity and Output in China in 2021 (marketresearch.com) https://www.marketresearch.com/CCM-International-Limited-v3539/Sodium-Gluconate-Glucono-Delta-Lactone-32039947/#:~:text = In%202017 %E2 %80 %932021 %2C%20the%20output%20of%20sodium%20gluconate%20in,which%20was%205,44 %25 %20lower%20than%20that%20of%202020.

(56) See page 4 of the open version of Jungbunzlauer’s submission ‘Exhibit 23’ of 18 November 2022

(57) See pages 9-10 of the open version of Jungbunzlauer’s submission ‘Exhibit 23’

(58) See page 7 of the open version of Jungbunzlauer’s submission ‘Exhibit 23’

(59) See pages 1-2 of the open version of Jungbunzlauer’s submission of 21 November 2022

(60) See page 2 of the open version of Jungbunzlauer’s submission of 21 November 2022

(61) European Commission, Directorate-General for Trade, Directorate G, Rue de la Loi 170, 1040 Brussels, Belgium.

(62) Regulation (EU, Euratom) 2018/1046 of the European Parliament and of the Council of 18 July 2018 on the financial rules applicable to the general budget of the Union, amending Regulations (EU) No 1296/2013, (EU) No 1301/2013, (EU) No 1303/2013, (EU) No 1304/2013, (EU) No 1309/2013, (EU) No 1316/2013, (EU) No 223/2014, (EU) No 283/2014, and Decision No 541/2014/EU and repealing Regulation (EU, Euratom) No 966/2012 (OJ L 193, 30.7.2018, p. 1).