China Announces Tariffs on US Single-Mode Optical Fiber Imports, Impacting Corning Incorporated

China will impose tariffs on some types of US single-mode optical fibre, which could impact Corning Incorporated, the world leader in specialty glass and ceramic substrates. Corning's products include fibre optic cables and glass substrates for LCD screens, environmental solutions, life science solutions, and other specialty materials. The tariffs could affect Corning's sales, particularly in the telecommunications market.

China has imposed new anti-circumvention tariffs on certain types of US single-mode optical fiber, effective immediately. The move follows a six-month investigation by Chinese trade authorities that found American companies circumventing existing anti-dumping measures [1]. The tariffs, ranging from 33.3% to 78.2%, target specific cut-off shifted single-mode optical fiber products from the US, according to a statement from the Chinese Ministry of Commerce.

The investigation, the first of its kind initiated by China, uncovered that US fiber makers and exporters altered their trading methods to bypass existing anti-dumping duties. The new levies are similar to those imposed on US dispersion unshifted single-mode optical fiber since April 2023 and will last until April 21, 2028 [1].

Corning Inc., a major player in the optical fiber market, is among the companies affected. Corning faces a 37.9% levy, while OFS Fitel LLC and Draka Communications Americas Inc. are subject to 33.3% and 78.2% duties, respectively [1]. The tariffs could significantly impact Corning's sales, particularly in the telecommunications market, where optical fiber is a critical component.

The move by China is seen as a response to the US pulling its waiver for China shipments of chip supplies containing US technology. Industry analysts suggest that this could be China's way of sending a message to Washington to refrain from actions that hurt mutual trust and spoil the atmosphere for trade talks [1].

The decision to impose these tariffs is expected to further strain US-China trade relations, already tense due to ongoing trade disputes and the US imposing additional tariffs on a wide range of Chinese goods this year [2]. The latest trade action could also have ripple effects on the global telecommunications supply chain, given the critical role of optical fiber in 5G rollout, broadband expansion, and digital infrastructure projects [2].

Corning shares tumbled as much as 3% in New York trading on the news, although they clawed back some of the losses to trade marginally higher [1]. The Chinese Ministry of Commerce has stated that companies affected by the new levy can dispute the ruling by applying for a review or filing lawsuits in a court of law [1].

References:
[1] https://finance.yahoo.com/news/china-hits-us-optical-fiber-021955096.html
[2] https://www.businesstoday.com.my/2025/09/04/china-imposes-anti-circumvention-measures-on-us-fibre-optic-imports/