China hits Japan with anti-dumping measures

By the Editorial Team · Wednesday, September 9, 2026

China has imposed preliminary anti-dumping tariffs of up to 99.2% on Japanese imports of dichlorosilane, a critical chemical for semiconductor manufacturing, as part of an ongoing investigation. This move intensifies trade tensions amid broader China-Japan diplomatic disputes and reflects China's efforts to protect its domestic semiconductor industry and reduce reliance on foreign suppliers.

China announced preliminary anti-dumping measures on imports of dichlorosilane from Japan on Tuesday, a move that heightens ongoing tensions between the two countries amid a broader diplomatic dispute centered on Taiwan. Dichlorosilane is a key chemical used in processing silicon wafers for semiconductor manufacturing.

Under the new measures, importers of dichlorosilane from Japan are required to pay cash deposits of up to 99.2%, according to the Chinese Commerce Ministry. The deposits serve as preliminary tariffs while the anti-dumping investigation proceeds.

Japan’s Chief Cabinet Secretary Minoru Kihara stated that Tokyo will carefully review the measures, evaluate their effects, and coordinate with businesses to minimize any undue disruptions. Shares of Chinese companies involved in dichlorosilane production rose following the announcement. Tangshan Sunfar Silicon Industry, whose unit filed the original complaint triggering the investigation, saw its stock hit the daily 10% increase limit on the Shanghai exchange.

By contrast, Shin-Etsu Chemical, a major Japanese producer of the chemical, experienced a decline in its Tokyo share price of up to 15%. A company spokesperson indicated that they are studying the details of the measures but noted that dichlorosilane represents a small portion of the firm’s overall business, and the impact on earnings is expected to be limited.

The move marks the latest escalation in strained China-Japan relations since November last year, when Japanese Prime Minister Sanae Takaichi suggested Japan might deploy its military if China attempts to take control of Taiwan. China, which claims Taiwan as part of its territory, has responded with a string of retaliatory actions, including advisories to Chinese tourists to avoid Japan and tightened export controls on certain goods.

In addition to the dichlorosilane case, China’s rare earth exports—vital for industries ranging from consumer electronics to military hardware—have also declined this year amid the growing diplomatic friction.

China’s anti-dumping actions coincide with upcoming diplomatic events: Takaichi is expected to visit the United States later this month, while Chinese President Xi Jinping has a planned meeting with U.S. President Donald Trump at the White House on September 24.

Japan remains the global leader in ultrahigh purity dichlorosilane production, although China has increasingly sourced the chemical from South Korea, its largest supplier since 2025. Recent customs data indicate that imports from Japan accounted for roughly one-third of China’s total dichlorosilane imports in July, amounting to $2.6 million.

Tangshan Sunfar’s unit asserted in its complaint that it produces over half of China’s dichlorosilane and has been expanding output. The Chinese government has prioritized growing its domestic semiconductor supply chain, aiming to reduce reliance on foreign suppliers by fostering companies that make key materials, tools, and machinery for chip manufacturing.

The preliminary anti-dumping ruling follows an investigation launched by Beijing in January, with authorities citing dumping practices as having caused significant harm to China’s domestic dichlorosilane industry.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.