Reviewing the Anti-Dumping Tariffs on Ceramic Tile Imports from China

The Trade Remedies Authority are currently conducting a transition review into the anti-dumping tariffs on ceramic wall and floor tiles, including brick slips, on imports from China. The review is to decide whether these extra tariffs, which were first brought in when the UK was a member of the EU, are still needed in the UK. Whilst we await the report on the final conclusions, (the Statement of Essential Facts), please find attached a report which formed a key piece of Ceramic UK’s evidence for the review, outlining the need for the anti-dumping measures to continue.

The Think!Desk report by Prof. Dr. Markus Taube ‘Market Distortions in the Chinese Architectural Ceramics Industry’ outlines the ‘explosive growth’ of the Chinese tile industry between 2002 and 2015. It finds that the industry receives substantial subsidies from the Chinese state which is dedicated to alleviate the cost burden associated with the transition to an eco-friendly, highly automated, brand-centred manufacturing mode, there are also links between the companies and the government. Companies are encouraged to move to industry parks and service platforms which specialise on ceramics production, they are offered generous subsidies in finance, taxation, investment incentives and land use rights to make the move. A VAT rebate system encourages the export of finished tiles.

China is the world’s largest producer of ceramic tiles and is responsible for more than half of the global output of ceramic tiles (53%). Across the world countries have either initiated trade defence investigations, or have already adopted trade defence measures on imports of ceramic tiles originating in China. This includes the United States of America (US), European Union (EU), Brazil, Mexico, Argentina, the Gulf Cooperation Council (GCC), India and Indonesia.