Spain Ripe Olives: Commerce Issues CV Duty Final Determination
The Commerce Department issued its final determination in its countervailing duty investigation on ripe olives from Spain (C-469-818). Suspension of liquidation is currently not in effect for entries on or after March 28, and Commerce will only require cash deposits of estimated CV duties on future entries if it issues a CV duty order.
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Before Commerce issues a CV duty order, the International Trade Commission must find injury to U.S. industry in its final injury determination, currently due July 24. In the event of an ITC final determination of no injury, this investigation will be terminated with no duties imposed, and all cash deposits collected as a result of this investigation will be refunded.
Commerce also issued a final determination in its concurrent AD duty investigation on ripe olives from Spain, setting AD rates ranging from 16.88% to 25.5% (see 1806150015).
Scope Amended to Include Some Cocktail Mixes
In this final determination, Commerce is amending the scope of AD/CV duties to include certain cocktail mixes that include olives if those olives make up a large enough portion of the overall mix. Other components of the cocktail mix are not subject to AD/CV duties. The new scope language is as follows:
"Subject merchandise includes ripe olives that otherwise meet the definition above that are packaged together with non-subject products, where the smallest individual packaging unit (e.g., can, pouch, jar, etc.) of any such product -- regardless of whether the smallest unit of packaging is included in a larger packaging unit (e.g., display case, etc.) -- contains a majority (i.e., more than 50 percent) of ripe olives by net drained weight. The scope does not include the non-subject components of such product."
CV Susp/Cash Deposit Through March 27
For now, Commerce has instructed CBP to continue the suspension of liquidation of entries from Nov. 28, 2017, through March 27, 2018.
CV Liq Reinstated and No CV Cash Deposit as of March 28
Commerce previously instructed CBP to discontinue the suspension of liquidation for CV duty purposes and the collection of CV duty cash deposits for subject merchandise entered on or after March 28, the expiration date of the 120-day "provisional measures" period during which Commerce can suspend liquidation without a CV duty order in place.
Suspension of liquidation remains in effect for AD duty purposes for entries on or after Jan. 26, 2017.
CV Liq to Be Suspended Again and CV Cash Deposit Required if Order Issued
Commerce will issue a CV duty order, reinstate the CV duty suspension of liquidation for all Spanish exporters, and require a cash deposit of estimated CV duties for entries of subject merchandise at the revised CV rates listed below if the ITC issues a final affirmative injury determination.
| Company | CV Rate |
|---|---|
| Aceitunas Guadalquivir S.L. | 27.02% (from 2.31%) |
| Agro Sevilla Aceitunas S.Coop.And. | 7.52% (from 2.47%) |
| Angel Camacho Alimentacion, S.L. | 13.22% (from 7.24%) |
| All Others | 14.75% (from 4.47%) |
(Note that there is no CV duty liability, and no CV duties will be assessed, on entries during the "gap period" of March 28 until the date an ITC final affirmative injury determination is published in the Federal Register.)
(The period of investigation is 01/01/16 - 12/31/16. See Commerce's notice for more information, including the scope of the order, detailed instructions on cash deposit and assessment rates, changes since the preliminary determination, etc. See 1711270010 for a summary of the preliminary determination of this investigation.)
(Federal Register 06/18/18)