The European Union (EU) is likely to revoke antidumping duties on polyethyrene trephthalate (PET) chips from South Korea, a trade body said Wednesday.

The European Commission, which levied antidumping tariffs on PET chips from four South Korean firms in December 2000, ranging from 2.82 euros (US$3.3) to 148 euros per ton, has cleared the South Korean firms of dumping accusations. The product is used in producing plastic bottles, video and films.

The imposition of the antidumping tariffs came at the request of European manufacturers claiming six Asian countries, including South Korea, Taiwan and India, had continued to violate anti-dumping regulations.

"European firms have apparently dropped their argument now, and it seems the EU could no longer ignore the mounting domestic demand for PET chip imports," said Cho Hak-hui, an official at the Korea International Trade Association (KITA).

The ruling, subject to approval by the higher EU Council, is expected to be passed in favor of South Korea, Cho said, affecting the four companies -- SK Chemicals, KP Chemical, Huvis, and Honam Petrochemical Corp.

South Korea remains the only country free of the dumping allegations, he said, expressing hope it would gain an advantage over the other competitors.

South Korea exported 138 million euros (US$180 million) worth of PET chips to the EU in 2005, accounting for about 29 percent of its total imports of the material, according to the KITA.