India launches dumping charge on Taiwan-made nylon yarns

Taipei, July 25, 2005 (CENS)--Following mainland China, India is the second country that has launched dumping charge on Taiwan-made nylon yarns, as it has requested investigation on the dumping of nylon filament and textured yarns in the country from Taiwan, mainland China, Malaysia, Indonesia, Thailand, and S. Korea.

Among Taiwan's textile makers on the investigation list are Formosa Chemical & Fiber Corp., Li Peng Enterprise Co., Lealea Enterprise Co., Zig Sheng Industrial Co., Cain Yarn Co., Suntex Fiber Co., Acelon Chemicals & Fiber Corp., and Fu-Ta Textile Co.

To meet the market niche, Taiwan's textile manufacturers have in recent years expanded the production volume of nylon fabrics. Currently about 60% of Taiwan-made nylon yarns and related products are exported to the mainland, and only a small portion goes to India.

In 2004 Taiwan's output of nylon yarns amounted to 455,000 tons, with 110,000 tons sold overseas. In the same year, Taiwan shipped 4,900 tons of nylon yarns to India, although the volume was more than double the figure of 2,200 tons recorded a year earlier.

Of last year's nylon exports to India, Formosa Chemical commanded a lion's share of 2,200 tons, Suntex followed with 690 tons. Lealea and Li Peng accounted for much smaller volume of 83 tons and 48 tons, respectively. The average price of nylon filament and textured yarns exported by Taiwan's textile makers stood at US$2.4-2.5 per kilogram, higher than the corresponding price of US$1.9 in 2003.