Korea opens expiry review of anti-dumping duty on Chinese FDY yarn

The Ministry of Strategy and Finance has opened an expiry review of the anti-dumping duty imposed on Chinese polyester fully drawn yarn (FDY), a step that will determine whether the tariff is extended or allowed to lapse. The decision, announced in Notice No. 2026-242 of the Ministry of Strategy and Finance, was published in the Republic of Korea Official Gazette (관보) of 3 September 2026 and takes effect the same day.

The review was triggered by a request from the Korea Chemical Fibers Association under Article 56 of the Customs Act and Article 70(1)(2) of its Enforcement Decree. After consultation with the Korea Trade Commission and other agencies, the Deputy Prime Minister and Minister of Strategy and Finance decided to initiate the proceeding and published it under Article 70(3) of the Enforcement Decree.

Scope of the review

The product under review is Chinese polyester fully drawn yarn (FDY) as defined by Ministry of Strategy and Finance Ordinance No. 888 (6 January 2022), on which the anti-dumping duty is currently in force. The core question is whether the expiry of the duty would cause dumping and injury to the domestic industry to continue or recur.

• Review subject: whether dumping and domestic-industry injury would persist or reappear if the duty lapses
• Dumping-margin review period: 1 January 2025 to 31 December 2025
• Review start date: 3 September 2026
• Investigation window: within six months of initiation, extendable by up to four months under Article 70(7) of the Enforcement Decree
• Decision deadline: within 12 months of the gazette publication

Under Article 70(9) of the Enforcement Decree, the anti-dumping measure remains in force throughout the review even if its application deadline expires during the proceeding.

Suppliers under investigation

The review targets Zhejiang Hengyi Petrochemicals Co., Ltd. and its affiliated companies, as well as any exporter of their products:

• Zhejiang Hengyi Polymer Co., Ltd.
• Zhejiang Hengyi High-tech Material Co., Ltd.
• Shaoxing Keqiao Hengming Chemical Fiber Co., Ltd.
• Jiaxing Yipeng Chemical Fiber Co., Ltd.
• Hangzhou Yijing Chemical Fiber Co., Ltd.
• Zhejiang Shuangtu New Material Co., Ltd.
• Zhejiang Hengyi Petrochemical Sales Co., Ltd.

The Ministry of Strategy and Finance (anti-dumping tariff team, 044-215-4462) will decide on any change to the anti-dumping measure, while the Korea Trade Commission will investigate the likelihood of continued or renewed dumping (044-203-3866) and of domestic-industry injury (044-203-5868).

What is at stake

The outcome of the review carries direct consequences for Korea’s chemical-fibre and textile sector, which has sought continued protection against low-priced Chinese FDY imports, and for importers who would face the duty being extended for a further period. With the measure remaining in force during the review, the decision due within 12 months will settle the tariff’s fate for the domestic industry and the import trade alike.

Source: Republic of Korea Official Gazette (관보), No. 21314, 3 September 2026, Section I (Notices), p. 138 (official reference: Ministry of Strategy and Finance Notice No. 2026-242).