UK looks at anti-dumping duties against Chinese biodiesel

The Trade Remedies Authority (TRA) of the United Kingdom (UK) has proposed imposing anti-dumping duties on biodiesel imports from China, following evidence that Chinese suppliers are selling fuel at artificially low prices, undercutting domestic producers.

Earlier this year, the European Commission had imposed anti-dumping duties on Chinese biodiesel imports to protect close to 6,000 EU jobs across more than 60 producers in 18 Member States.

In its newly published Statement of Essential Facts (SEF), the TRA concluded that Chinese biodiesel is being dumped in the UK market and causing “material injury” to local industry. To address this, it has recommended ad-valorem duties ranging from 15.68% to 54.64%, though the proposal awaits final approval.

The investigation was launched in June 2024 after a complaint by the Renewable Transport Fuels Association (RTFA). It focused on imports of two major biofuels; the first being fatty-acid mono-alkyl esters (FAME) that are produced from vegetable and animal oils. And the second is hydrotreated vegetable oils (HVO): an advanced biofuel that can directly substitute diesel due to its longer shelf life and lower viscosity.

Both fuels are widely used in the UK transport sector, either in pure form or blended with fossil diesel.

TRA analysts found that Chinese biodiesel was priced significantly below its “normal value,” creating unfair competition that threatens UK producers with financial losses, job reductions, or even plant shutdowns. The duties are intended to restore fair pricing and safeguard domestic production.

As part of the process, the TRA applied the Economic Interest Test, which assesses the broader impact on the economy. It determined that the duties would help maintain fair competition and strengthen the domestic sector without harming UK consumers.

This case highlights the UK’s independent trade remedies system, introduced after Brexit, to protect local industries against unfair global trade practices.

Stakeholders—including importers, exporters, and producers—have until September 22, 2025 to submit feedback on the SEF. Afterward, the TRA’s final recommendations will be sent to the government for a decision.

If implemented, duties would be set at 15.68% for the Zhuoyue Group and cooperating exporters, and a higher 54.64% for all other Chinese exporters.