The European Commission (EC) has said it would begin an investigation into allegations that biodiesel imports from China are coming into the region at artificially low prices, Reuters reported.
“EU producers claim these imports are seriously harming their industry because they cannot compete with such low prices,” the EC was quoted as saying in a statement.
The investigation has been prompted by a complaint filed by the European Biodiesel Board (EBB) and would take up to 14 months – with the possibility of provisional duties being imposed within eight months – and would cover the period from 1 October 2022 to 30 September 2023, Reuters wrote on 20 December.
Last August, the EU also started an investigation into allegations that biodiesel from Indonesia was circumventing EU duties by going through China and Britain.
China had been the biggest biodiesel exporter to the 27-member bloc in 2023, the EBB said in a separate statement.
“In 2023, Chinese dumped imports have caused a collapse in the market and production sites closed in several member states,” the EBB added.
In addition to the possible transit of Indonesian biodiesel, the association said there were structural imbalances in biodiesel trade with China, with prices not reflecting the advanced or waste-based biofuel categories that most shipments had been classified as.
When asked about the investigation at a press conference, Chinese Ministry of Commerce spokesperson Shu Jueting was quoted as saying China “firmly opposes protectionist behaviour that abuses trade remedy measures”.
According to the EC, the EU’s biodiesel sector is worth US$34bn (€31bn)/year.
