Exclusive: China Firms Respond to DuPont's 'Decade-Long Ban'

DuPont initiated a Section 337 investigation on the grounds that Tangsheng infringed on its trade secrets, without specifying any patent infringement. Tangsheng's independent research and development process, as well as its patented achievements, can fully withstand scrutiny.

Regarding DuPont's initiation of the Section 337 investigation, we perceive it as a form of "frivolous litigation" that abuses the United States International Trade Commission's (ITC) Section 337 rules. Once a company is subjected to a Section 337 investigation, the time to decide whether to respond is very short, and the legal costs of responding are extremely high, requiring a massive amount of effort. As a Fortune 500 company, DuPont has ample legal and financial resources. Their arbitrary initiation of a Section 337 investigation, with the home-court advantage in the U.S., further illustrates their use of a monopolistic dominant position to suppress industry innovation and development. As a small startup with a long-term focus on research and innovation, we hope to dedicate our limited resources to the unending pursuit of product quality and to markets that truly need our products. Therefore, we do not wish to expend significant human and material resources entangled in unnecessary litigation, and have thus proactively chosen to sign a consent order.

The consent order is a unilateral commitment signed with the ITC, with the main content being: the consent order is only used to resolve this investigation. However, regarding this lawsuit, Tangsheng does not admit to any unfair practices, nor does it admit to all of DuPont's allegations. Additionally, Tangsheng commits not to enter the U.S. market for 10 years, but if the trade secrets claimed by DuPont are ruled invalid or unenforceable by a court, the above commitment automatically becomes void. The ITC acknowledges that Tangsheng's decision to avoid wasting time and money in a lengthy and cumbersome 337 investigation process is in the public interest and also saves judicial resources, and therefore agrees.

We hereby reiterate that we have never infringed upon any company’s trade secrets. Since its inception, Dangsheng has always regarded respect for intellectual property and a commitment to innovation and creativity as fundamental principles and core values for its development. We deeply recognize that intellectual property is the legal armor for innovation achievements, the core driving force for industrial upgrading, and, moreover, the moral cornerstone and legal red line for a company’s long-term stability and sustainable development.

The North American market has a lower priority in the company’s globalization strategy and is currently at the feasibility study stage. Therefore, this ban has no impact on the company’s production and operations. On the contrary, this incident has had a positive effect—it has made the company’s internationalization strategy more focused.

The signing of the consent decree does not affect other markets outside the United States. Dangsheng owns independent intellectual property rights, and its products continue to iterate and upgrade. The market demand for Dangsheng's products will not change because of a consent decree with limited conditions. The grand strategy of "domestic substitution" remains unchanged.

Dansheng has a complete evidence chain for its independent research and development. For the sake of technical confidentiality, Dansheng will not choose to open source or conduct transparent audits in the short term. We will continue to launch innovative products and applications to demonstrate the advancement and vitality of our independent technology, and continuously strengthen the innovative foundation of our brand.

Tyvek is a trademark for a series of sheet products from DuPont, also known as "Te Wei Qiang" in Chinese. It is a nonwoven fabric made from high-density polyethylene through solvent spinning (also known as flash spinning or flash-spun process). Tyvek is widely used in areas such as building envelopes, personal protection, and medical packaging. It was first invented in 1955 by DuPont scientist Dr. White and was commercially launched in 1967. Over the years, DuPont has continuously improved spinning solvents, spinning temperatures, polymer selection, types of additives, and spinning equipment. Meanwhile, the company has also obtained nearly 200 patents in related fields.

According to DuPont patent US3860369A (expired in 1992), the spinning solution is instantaneously released from high temperature and high pressure through a spinneret into an ambient temperature and pressure environment. The solvent in the spinning solution rapidly evaporates and absorbs a large amount of heat, forming a supersonic vapor flow. The polymer is stretched by the vapor flow and quickly cooled and crystallized, becoming highly oriented fibers. This is the main process of the flash spinning method.

Spinning nozzle structure diagram