Saudi Arabia files a complaint with the “World Trade” regarding European dumping duties
Saudi Arabia has filed a complaint with the World Trade Organization over anti-dumping duties imposed by the European Union on imports of a chemical compound used in the manufacture of synthetic fibers and plastic bottles.
In the complaint dated August 17 and circulated to WTO members last Thursday, Saudi Arabia reported that the European Union had unfairly imposed temporary anti-dumping duties on imports of ethylene glycol, according to AFP.
This chemical compound is used in a variety of industrial processes that include the production of polyester fibers and components for the manufacture of plastic bottles. It is also used in the production of engine coolant as an antifreeze, a solvent and a drying agent in natural gas pipelines, among other things.
The complaint accuses the European Union of using the wrong methodology to say that the prices of Saudi imports are too low, and insists that the duties were a violation of international trade rules.
Dumping means that the exporting country sells a product or service to the importing country at prices lower than the price it charges domestically.
Saudi Arabia ranks alongside the United States as the world’s largest petrochemical manufacturer, with 14 Saudi companies producing an average of 95 million metric tons of petrochemicals, constituting nearly 9% of global production.
Saudi SABIC is the largest petrochemical company in Saudi Arabia and the region, and the fourth largest in the world. It operates in more than 50 countries worldwide and employs 33,000 employees.
SABIC has succeeded in climbing to the second place globally in the list of the most valuable brands in the chemical industry for the year 2021, compared to the third place it achieved last year, according to the report of the “Best 25 Brands of Chemical Companies in the World” issued by (Brand Finance). And it maintained its presence among the top 500 global brands for 2021.
Saudi Arabia is turning into the world’s largest producer of petrochemicals, with its cross-border partnerships added in the East and West, from Malaysia to the United States.
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