The alleged practice involved placing very thin outer layers of softwood veneer over the hardwood plywood face veneer. This method allows the product to fall under customs codes that are not subject to registration, without altering its essential characteristics, according to the update.
During the investigation, the EC analysed China’s economic model, the government’s influence in both state and private investment and government policies for the hardwood plywood sector.The agency found that government interventions described in relation to the allocation of capital, land, labour, energy and raw materials are present throughout China. Therefore, the commission concluded that it is not appropriate to use domestic prices and costs to establish normal value in this case.
As a result of dumping, Chinese import quantities rose to 16% above their 2021 level from July 1, 2023, to June 30, 2024, the investigation period. Their market share increased from 18% in 2021 to 31% in the investigation period, the EC said.
“These imports were made at prices significantly lower than those of the Union industry throughout the period considered. These low-priced imports in increasing volumes prevented the union industry from raising its prices in line with the increase in the cost of production,” the agency said.On the basis of these findings, the EC decided to impose a provisional anti-dumping duty rate of 62.4% on all imports of hardwood plywood from China.
Separately, the EC last week introduced a new import surveillance tool on June 5, 2025, to monitor and address disruptive import surges.
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Rare-earth minerals deadlock
Trade representatives of the two countries have been holding discussions to resolve contentious issues, including EU duties on Chinese electric vehicles (EVs) and China’s anti-dumping measures on EU products.
Furthermore, China’s export restriction on rare earth minerals and related products announced in April 2025 is impacting global automakers, semiconductor manufacturers, and aerospace industries.
Reportedly, some global automakers—General Motors, Ford, and Stellantis—have managed to secure Chinese licences for rare-earth mineral imports.