G/SG/N/6/TPKM/1  
 
28 October 2013  
(13-5944)  Page: 1/2  
Committee on Safeguards  Original: English  
 
 NOTIFICATION UNDER ARTICLE 12.1(A) OF THE AGREEMENT ON  
SAFEGUARDS ON INITIATION OF AN INVESTIGATION AND  
THE REASONS FOR IT 
SEPARATE CUSTOMS TERRITORY OF  
TAIWAN , PENGHU , KINMEN AND MATSU 
(High Density Polyethylene (HDPE) and Li near Low Density Polyethylene (LLDPE)) 
The following communication, dated 25 October 2013, is being circulated at the request of the 
Delegation of the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu1. 
 
_______________ 
 
 Pursuant to Article 12.1(a) of the WTO Agreemen t on Safeguards, the Permanent Mission of the 
Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu notifies that a safeguards 
investigation has been initiated as follows.  
1. Specify the date when the investigation was initiated 
 18 October 2013.  
2. Provide the precise description of the product involved 
 The products concerned are high density polyethylene (HDPE) and linear low density 
polyethylene (LLDPE), currently classified under the C.C.C. Code 3901200000 and 3901100010 
respectively.  
3. Provide the reasons for the initiation of investigation 
 (i) The petition was filed with the Ministry of  Economic Affairs (MOEA) by Taiwan Synthetic 
Resins Manufacturers Association on behalf of the domestic industry.  
 
(ii) Evidence on the basis of which the investigation was initiated.  
For HDPE, the petition shows that the imports have  increased over the period of 2009 to 2012, 
which are 62,189 tons to 79,883 tons, and mainly came from Saudi Arabia (27.7%), Singapore (12.4%), Iran (10.3%), Thailand (9.5%), Kuwait (8.4%), Qatar (8.2%) in 2012. During the period 
of 2009 to 2012, the increased imports, particularly from the major imports with low prices, have 
caused the sales of domestic industry to decrease from 265,710 tons to 251,739 tons. For the same period, the market share has declined from 81% to 76%, and capacity utilization has dropped from 92% to 75%. The profits of domestic industry turned to the losses in 2012.  
 
For LLDPE, the petition shows that the imports ha ve increased over the period of 2009 to 2012, 
which are 62,341 tons to 121,053 tons, and mainly came from Saudi Arabia (49.1%), Thailand 
(11.7%), Qatar (10.2%), Japan (6.6%), Unite States (4.6%), Iran (3.8%) in 2012. During the 
period of 2009 to 2012, the increased imports, partic ularly from the major imports with low prices, 
                                               
1 A copy of the Public Notice has been submitted elec tronically. To consult this document please contact 
Ms. Budd ( hilary.budd@wto.org ) or Ms. Naville ( delphine.naville@wto.org ) of the Rules Division. G/SG/N/6/TPKM/1  
 
- 2 - 
 
  have caused the sales of domestic industry to decrease from 118,572 tons to 79,672 tons. For the 
same period, the market share has declined from 66% to 40%, and the capacity utilization has dropped from 80% to 45%. As for the profitability, the operation income has been negative since 2011. 
 
4. Provide a point of contact for the inve stigation and identify the preferred means 
for corresponding. The point of contact wo uld be available to respond to enquiries 
relating to the procedures applicable to the investigation 
 International Trade Commission, Ministry of Economic Affairs.  
8F, No. 317, Songjiang Rd., Jhongshan District,  
Taipei City 10483, Taiwan, R.O.C.  
Telephone: 886-2-2506-6670  
Fax: 886-2-2502-9557 Email: itc@mail.moeaitc.gov.tw 
 5. Provide the deadlines and procedures  for importers, exporters and other 
interested parties to present evidence and their views, including (i) deadlines and procedures for Members and exporters to identify themselves as interested 
parties, if so required, to participate in the investigation and (ii) the date of an 
intended public hearing as pr ovided for in Article 3.1. 
 
(i) All interested parties wishing to participate in the investigation must make themselves 
known by filling out a registration form and sending it back to the International Trade 
Commission(hereinafter referred to the ITC) within  20 days after the date of the initiation. 
The registration form can be found on the ITC’s website: www.moeaitc.gov.tw. 
 (ii) The date of public hearing has not yet been  decided. The information will be notified to 
known interest parties and posted on the ITC's website.   
 
 
__________