U.S. Issues Preliminary Antidumping Duties of 93.5% on Chinese Active Anode Material

July 17, 2025
Harry Minnis

Key Highlights:

• U.S. Department of Commerce finds preliminary evidence of dumping by Chinese producers
• Provisional antidumping duties of 93.5% imposed on graphite-based active anode material (AAM)
• Total effective tariff rate now reaches 160% due to additional duties
• Chinese firms BTR and CATL found to be state-influenced and unable to prove independence from the Chinese Communist Party

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The U.S. Department of Commerce has issued its preliminary antidumping determination in the investigation into imports of active anode material from China, finding that Chinese producers have been selling material into the U.S. market at unfairly low prices.

Provisional duties of 93.5% have been applied to AAM imports from China. Combined with existing duties – including a 11.5% countervailing duty (CVD) imposed in May, 30% Trump-era blanket tariffs, and 25% Section 301 tariffs – the total effective tariff rate on Chinese AAM now stands at 160%.

The case focuses on graphite-based AAM, a key component in lithium-ion batteries used in electric vehicles and energy storage systems. Commerce found sufficient evidence to support claims that Chinese exporters were dumping material below fair value, causing material injury to the domestic industry.

“This is an important ruling for North American graphite producers,” said Erik Olson, spokesperson for the American Active Anode Material Producers (AAAMP), who filed the original petition. “Dumping is a malicious trade practice used by China to undercut competition and wield geopolitical influence. It is all made possible by a concerted combination of massive subsidies and other state-sponsored policies.”

The investigation also found that Chinese battery companies BTR and CATL could not demonstrate they operate independently from the Chinese Communist Party, validating AAAMP’s claim that these firms are state-owned or state-influenced, strategically undercutting U.S. market development.

With the preliminary determinations now issued, final decisions for both the AD and CVD cases are expected by December 5, 2025, potentially leading to even higher tariffs. Additional tariffs could also be introduced based on a separate Section 232 investigation currently underway.