TLALNEPANTLA, Mexico--(BUSINESS WIRE)--Mexichem, S.A.B. de C.V. (BMV:MEXCHEM*) (the “Company” or “Mexichem”) announced that on January 6, 2015, one of its subsidiaries, Mexichem Fluor, appealed the U.S. International Trade Commission (ITC) ruling that the import of Chinese refrigerant gas does not harm U.S. industry.
The appealed ruling stated that the import of refrigerant gases from China, specifically R-134a, HFC-134a and 1,1,1,2 –Tetrafluorethane, did not result in “material injury or threat of material injury” to the U.S. refrigerant gas industry. The ruling was issued with two votes in the affirmative, and four in the negative. The decision of no injury or threat of injury resulted in the elimination of dumping duties of 280.67% and countervailing duties averaging 11.14% found by the Department of Commerce.
Mexichem expects the appeal before the United States Court of International Trade to take approximately one year.
Mexichem’s refrigerant gas business is part of its Fluorine Chain and represented 3% of Mexichem´s revenues and 3% of its EBITDA in the first nine months of 2014. Mexichem’s upstream fluorspar business, which comprises the remainder of the Fluorine Chain’s operations, is unaffected by the ruling made on November 12, 2014.
Mexichem is a worldwide leader in plastic pipes, and one of the largest chemical and petrochemical companies with more than 50 years of experience in LatAm. The Company contributes to the development of the countries by delivering an extended portfolio of products used in infrastructure, housing, drinking and potable water in Mexico, the USA, Europe, Asia and LatAm. The Company has annual revenues of more than US$ 5 billion, and has been traded on the Mexican Securities Exchange for more than 30 years.
In addition to historical information, this press release contains "forward-looking" statements that reflect management's expectations for the future. The words “anticipate,” “believe,” “expect,” “hope,” “have the intention of,” “might,” “plan,” “should” and similar expressions generally indicate comments on expectations. The final results may be materially different from current expectations due to several factors, which include, but are not limited to, global and local changes in politics, the economy, business, competition, market and regulatory factors, cyclical trends in relevant sectors; as well as other factors that are highlighted under the title “Risk Factors” on the annual report submitted by Mexichem to the Mexican National Banking and Securities Commission (CNBV). The forward-looking statements included herein represent Mexichem’s views as of the date of this press release. Mexichem undertakes no obligation to revise or update publicly any forward-looking statement for any reason unless required by law.