Analysis of the Impact of China-US Equal Tariffs on the Butyl Ether Glycol Product Line

Analysis of the Short-Term and Long-Term Effects of China-US Equal Tariffs on the Products of Ethylene Glycol Butyl Ether

Zhuochuang Information 2025-04-16 12:29:13

Key Words: China-US tariffs, ethylene glycol butyl ether, imports, predictions

[Introduction] According to the document issued by the Office of the Tariff and Customs Tariff Committee of the State Council: On April 10, 2025, the US government announced that the tariff rate for "equal tariffs" imposed on Chinese goods imported to the US would be further raised to 125%, and then to 145%. In accordance with the laws and regulations of the People's Republic of China, the Customs Law of the People's Republic of China, the Foreign Trade Law of the People's Republic of China, and other laws and international law principles, and with the approval of the State Council, the Tariff and Customs Tariff Committee of the State Council has issued a notice, starting from April 12, 2025, adjusting the tariff rate stipulated in the "Notice of the Tariff and Customs Tariff Committee of the State Council on Adjusting Tariff Measures on Imported Goods Originating from the United States" (Tax Committee Notice 2025 No. 5), which was previously 84%, to 125%. Other matters shall be implemented in accordance with the "Notice of the Tariff and Customs Tariff Committee of the State Council on Imposing Tariffs on Goods Originating from the United States" (Tax Committee Notice 2025 No. 4).

From the perspective of the import and export trade cooperation of ethylene glycol butyl ether products between China and the US, it is mainly that the US exports ethylene glycol butyl ether products to China. Specifically, after the anti-dumping tax rates for China and Europe ended in early 2024, there was a possibility for US products to return to the Chinese market. In 2024, as the prices of ethylene glycol butyl ether products in China rose, the international arbitrage window opened, and US ethylene glycol butyl ether products began to return to the Chinese market again, with an annual import of about 5,000 tons, accounting for 2.45% of the total. Although the import proportion is small, the cost advantage of US products is relatively obvious. According to the trend, the supply from the US will gradually increase in the future.