The US Department of Commerce has announced the affirmative preliminary determination in the countervailing duty (CVD) investigation of imports of laminated woven sacks from Vietnam, finding that exporters received countervailable subsidies ranging from 3.24 to 6.15 percent.

The Department of Commerce will instruct US Customs and Border Protection to collect cash deposits from importers of laminated woven sacks from Vietnam based on these preliminary rates.

In 2017, US imports of laminated woven sacks from Vietnam were valued at an estimated $21.1 million.

The petitioners are the Laminated Woven Sacks Fair Trade Coalition and its individual members, Polytex Fibers Corporation of Houston, Texas, and ProAmpac Holdings Inc. of Cincinnati, Ohio.

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 countervailing duties.

Antidumping and countervailing duty laws provide American businesses and workers with an internationally accepted mechanism to seek relief from the harmful effects of the unfair subsidization of imports into the United States. Commerce currently maintains 456 antidumping and countervailing duty orders which provide relief to American companies and industries impacted by unfair trade.

Since the beginning of the current Administration, Commerce has initiated 120 new antidumping and countervailing duty investigations – this is a 216 percent increase from the comparable period in the previous administration.

Commerce is currently scheduled to issue its final CVD determination on or about December 17, 2018. If Commerce makes an affirmative final determination, the US International Trade Commission (ITC) will be scheduled to make its final injury determination on or about January 31, 2019.  If Commerce makes an affirmative final determination in this investigation and the ITC makes an affirmative final injury determination, Commerce will issue a CVD order.  If Commerce makes a negative final determination or the ITC makes a negative final determination of injury, the investigation will be terminated and no order will be issued.