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  November 1st, 2017 | Written by

US Hits Biodiesel With Preliminary Antidumping Duties

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  • Argentina has requested negotiations to suspend the AD and countervailing duty investigations of biodiesel.
  • Commerce is working with parties on possible suspension agreements over biodiesel imports.
  • Commerce would sign agreement with Argentina over biodiesel if injury to the domestic biodiesel industry is eliminated.

US Secretary of Commerce Wilbur Ross announced the affirmative preliminary determinations in the antidumping duty (AD) investigations of biodiesel from Argentina and Indonesia, finding that exporters in the two countries sold this merchandise in the United States at dumping margins of 54.36 percent to 70.05 percent and 50.71 percent, respectively.

The Commerce Department will instruct US Customs and Border Protection (CBP) to collect cash deposits from importers of biodiesel from Argentina and Indonesia based on these preliminary rates.

Secretary Ross also announced today that the Government of Argentina has requested negotiations to suspend the AD and related countervailing duty investigations of biodiesel imports from Argentina. The department is working with interested parties on possible suspension agreements. Commerce would only sign such agreements if they ensure that injury to the domestic biodiesel industry is eliminated and that the unfair trade practices are addressed.

“We are thankful to the Government of Argentina for their proactive approach to solving this issue, and remain optimistic that a negotiated solution can be reached both with Argentina and with Indonesia,” said Ross.

In 2016, imports of biodiesel from Argentina and Indonesia were valued at an estimated $1.2 billion and $268 million, respectively.

The petitioner is the National Biodiesel Fair Trade Coalition, an ad hoc association composed of the National Biodiesel Board and 15 domestic producers of biodiesel.

The vigorous enforcement of US trade laws is a priority of the Trump administration. From January 20, 2017, through October 23, 2017, Commerce initiated 73 antidumping and countervailing duty investigations – a 52 percent increase from the previous year. For the same time period in 2016, Commerce initiated 48 antidumping and countervailing duty investigations.

The AD law provides US businesses and workers with an internationally accepted mechanism to seek relief from the harmful effects of unfair subsidization of imports into the United States. Commerce currently maintains 412 antidumping and countervailing duty orders which provide relief to American industries and workers impacted by unfair trade.

Unless the final determinations are postponed, Commerce is currently scheduled to announce its final AD determinations on January 3, 2018. If Commerce makes affirmative final determinations of dumping and the US International Trade Commission (ITC) makes affirmative final injury determinations, Commerce will issue AD orders. If Commerce makes negative final determinations of dumping or the ITC makes negative final determinations of injury, the investigations will be terminated and no orders will be issued.