Is the hanging tag copperplate paper industry facing international trade barriers?

The hanging tag copperplate paper industry does face challenges from international trade barriers, especially anti-dumping and anti subsidy measures. The following is a detailed analysis of the international trade barriers faced by the industry:

1、 Anti dumping measures

Anti dumping measures are boycott measures taken against the dumping of foreign goods in the domestic market. Generally, in addition to imposing general import taxes, additional taxes are imposed on dumped foreign goods to prevent them from being sold at a low price. In recent years, countries such as Europe and America have implemented anti-dumping measures against Chinese copperplate paper (including copperplate paper that may be used to make hang tags). For example:

Final determination of EU anti-dumping sunset review: On August 22, 2023, the European Commission issued a statement announcing the second final determination of anti-dumping sunset review on copperplate paper originating in China, ruling that the anti-dumping tax rate for Chinese companies involved in the case is 8% 35.1% and the anti subsidy tax rate is 4% 12%.

Final ruling on sunset review of US anti-dumping and countervailing measures: On May 18, 2022, the United States made a second positive final ruling on industrial damage caused by sunset review of anti-dumping and countervailing measures on copperplate paper imported from China and Indonesia. According to the affirmative ruling of the US International Trade Commission, the United States will continue to impose anti-dumping and countervailing duties on the products involved in China and Indonesia.

These anti-dumping measures have led to high tax costs for Chinese copperplate paper export enterprises, reduced product competitiveness, and thus affected export volume.

2、 Anti subsidy measures

In addition to anti-dumping measures, China's copperplate paper exports also face the challenge of anti subsidy measures. Anti subsidy measures are offsetting measures taken against financial assistance and any form of income or price support provided by the importing country's government or any public institution that benefits the recipient. In history, the United States has initiated anti subsidy investigations into Chinese copperplate paper and made preliminary and final anti subsidy rulings.

3、 The impact of trade barriers

Reduced export volume: High anti-dumping and countervailing duties increase the cost of exported goods, leading to higher prices and potential consumers turning to alternative products, thereby reducing the import demand for copperplate paper affected by anti-dumping measures.

Market share loss: Due to price increases and consumer demand shifting towards alternative products, the exporting country's market share in the importing country may gradually decrease.

Brand image damage: Copperplate paper subject to anti-dumping and countervailing duties may be seen as a victim of "unfair trade", which may lead to a decrease in consumer trust in the relevant brand and further affect sales.

Trade tensions: When one country implements anti-dumping and anti subsidy measures against another country's copperplate paper, the latter may take retaliatory measures, leading to trade tensions and even deterioration between the two parties.

4、 Response strategy

To cope with international trade barriers, the hang tag copperplate paper industry can adopt the following strategies:

Strengthen market research: Deeply understand the needs and regulatory changes of the target market, and adjust export strategies in a timely manner.

Improve product quality: Through technological innovation and process improvement, enhance the quality and added value of products, and strengthen their competitiveness.

Expand diversified markets: Actively explore new export markets and reduce dependence on a single market.

Strengthening international cooperation: Establishing cooperative relationships with enterprises from other countries and regions to jointly address trade barriers.

Utilizing transit trade: Avoiding direct impact of anti-dumping and countervailing measures through transit trade with a third country. For example, exporting copperplate paper to a third country that has no anti-dumping dispute with the importing country, and then re exporting it from that third country to the importing country.

In summary, the hang tag copperplate paper industry does face challenges from international trade barriers, but by strengthening market research, improving product quality, expanding diversified markets, enhancing international cooperation, and utilizing transit trade strategies, these challenges can be effectively addressed and the industry's sustainable development can be promoted.