China Retail Bags: Commerce Finds AD Duty Circumvention by Imports of Unfinished Bags
The Commerce Department confirmed a finding that unfinished bags being imported from China are circumventing the antidumping duty order on polyethylene retail carrier bags from China (A-570-886), and will continue to suspend liquidation and require cash deposits on such merchandise.
Sign up for a free preview to unlock the rest of this article
Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.
The bags at issue in the anticircumvention inquiry are unfinished bags sealed on all four sides that are imported from China. Once in the U.S., the only step required to turn the unfinished bags into the finished product is die-cutting to create the bag’s opening and handles. The die-cutting counts as a “minor or insignificant process” that shouldn’t mean the bags aren’t covered by the order, domestic companies said in their request for review (see 13051322).
In December, Commerce preliminarily found that the bags circumvent the AD duty order on polyethylene retail carrier bags from China (see 13121621). It based its finding on a total lack of response from Chinese companies, it said. Only domestic companies had participated in the anticircumvention proceeding.
Commerce again requested participation and comments on its preliminary determination, but said it got no response. So the agency is confirming its preliminary findings, and will direct CBP to continue to suspend liquidation of the bags at issue in this proceeding, and require AD duty cash deposits at the rates applicable to the exporter.
(Federal Register 03/25/14) China Retail Bags: Commerce Finds Preliminary Circumvention by Unfinished Bags, Suspends Liq