Today, the U.S. Department of Commerce announced the affirmative final determinations in the antidumping duty (AD) and countervailing duty (CVD) investigations of imports of rubber bands from China.
Commerce determined that exporters from China have sold rubber bands at less than fair value in the United States at a rate of 27.27 percent. Commerce determined that exporters from China received countervailable subsidies at a rate of 125.77 percent.
Upon publication of the final affirmative AD determination, Commerce will instruct U.S. Customs and Border Protection (CBP) to collect AD cash deposits equal to the applicable final weighted-average dumping margins. Further, as a result of the affirmative final CVD determination, if the U.S. International Trade Commission (ITC) makes an affirmative injury determination, Commerce will instruct CBP to resume collection of CVD cash deposits equal to the applicable subsidy rates.
In 2017, imports of rubber bands from China were valued at an estimated $4.9 million.
The petitioner is Alliance Rubber Company (AR).
The strict enforcement of U.S. trade law is a primary focus of the Trump Administration. Since the beginning of the current Administration, Commerce has initiated 137 new AD and CVD investigations – this is a 242 percent increase from the comparable period in the previous administration.
AD and CVD laws provide American businesses and workers with an internationally accepted mechanism to seek relief from the harmful effects of unfair pricing of imports into the United States. Commerce currently maintains 461 AD and CVD orders which provide relief to American companies and industries impacted by unfair trade.
The ITC is currently scheduled to make its final injury determinations on Dec. 28, 2018. If the ITC makes affirmative final injury determinations, Commerce will issue AD and CVD orders. If the ITC makes negative final determinations of injury, the investigations will be terminated and no orders will be issued.
Click HERE for a fact sheet on today’s decisions.
The U.S. Department of Commerce’s Enforcement and Compliance unit within the International Trade Administration is responsible for vigorously enforcing U.S. trade laws and does so through an impartial, transparent process that abides by international law and is based on factual evidence provided on the record.
Foreign companies that price their products in the U.S. market below the cost of production or below prices in their home markets are subject to AD duties. Foreign companies that receive financial assistance from foreign governments that benefits the production of goods and is limited to specific enterprises or industries, or is contingent either upon export performance or upon the use of domestic goods over imported goods, are subject to CVD duties.
Source: U.S. Department of Commerce
