Jun 26, 2012  |  Today's News

Last week, China’s Ministry of Commerce terminated the anti-dumping investigation against U.S. dried distillers grains with solubles.  IL Corn thanks their partner, the U.S. Grains Council, for their part in resolving this case.

According to the U.S. Grains Council, several agencies in China involved with this process have collaborated to resolve the issue, along with a broad coalition of U.S. stakeholders supporting legal efforts related to the case and industry leaders in China who recognize the value of DDGS to the growth and modernization of the livestock industry within the country.

China skyrocketed to the No. 1 U.S. distillers grains export spot in 2010, importing 2.5 million metric tons of U.S. DDGS, or 28 percent of total DDGS exports. Announcement of the anti-dumping investigation at the end of 2010 slowed exports to China by 15 percent in 2011 due to the risk of imposition of high import tariffs. However, export numbers for the first four months of 2012 (the latest for which data is available) show a rebound in DDGS exports to China.

China has the potential to be a significant market for DDGS, due to a combination of factors, including an emerging middle class raising the demand for more animal feeds and a large and growing industrial and domestic milling industry in China. DDGS exports rose because Chinese DDGS customers realized it was a competitively priced product that was in demand.

The anti-dumping petition was initially filed on December 28, 2010.  No anti-dumping tariffs will be imposed.

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