US Finds Dumping of Imports of Citric Acid from Belgium, Colombia, and Thailand - Global Trade Magazine
  June 6th, 2018 | Written by

US Finds Dumping of Imports of Citric Acid from Belgium, Colombia, and Thailand

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  • AD and CVD laws provide a mechanism to seek relief from the effects of dumping and subsidized imports into the US.
  • Commerce currently maintains 440 AD and CVD orders which provide relief to US companies and industries.
  • Foreign companies that price their products in the US market below the cost of production are subject to AD duties.

The US Department of Commerce has announced the affirmative final determinations in the antidumping duty (AD) investigations of imports of citric acid and certain citrate salts from Belgium, Colombia, and Thailand, and its negative final determination in the countervailing duty (CVD) investigation of imports of citric acid and certain citrate salts from Thailand.

Commerce determined that exporters from Belgium, Colombia, and Thailand have sold citric acid and certain citrate salts in the United States at 19.30 percent, 28.48 percent, and 6.47 – 15.71 percent less than fair value, respectively. Commerce also determined that Thailand is providing countervailable subsidies to its producers of citric acid and certain citrate salts at rates ranging from 0 – 0.21 percent, which are de minimis; therefore this investigation will be terminated.

In 2017, imports of citric acid and certain citrate salts from Belgium, Colombia, and Thailand were valued at an estimated $9.4 million, $17.6 million, and $73.2 million, respectively.

The petitioners are Archer Daniels Midland Company (IL), Cargill, Incorporated (MN), and Tate & Lyle Ingredients Americas LLC (IL).

AD and CVD laws provide an internationally accepted mechanism to seek relief from the harmful effects of dumping unfairly priced and unfairly subsidized imports into the United States. The Commerce Department currently maintains 440 AD and CVD orders which provide relief to American companies and industries impacted by unfair trade.

Foreign companies that price their products in the US 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 from foreign companies 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.

The US International Trade Commission (ITC) is scheduled to make its final determinations on or about July 6, 2018. If the ITC makes affirmative final injury determinations, Commerce will issue AD orders. If the ITC makes negative final determinations of injury, the investigations will be terminated and no orders will be issued.