China has opened an anti-dumping investigation into a chemical imported from the European Union, less than a week before the bloc's trade commissioner arrives in Beijing for talks meant to stop a dispute from escalating. The commerce ministry in China said on Saturday it would examine whether low-priced p-nitrotoluene from the EU was flooding the Chinese market. A spokesperson said domestic producers had asked for the probe, complaining of "damage to production and operations". The chemical is used to make dyes, pharmaceuticals and pesticides and the investigation is due to conclude within 12 months, with a possible six-month extension.
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