 "US claims PET resin dumping from Canada, China, India and Oman")
The preliminary report of the Department of Commerce, USA, on October 7, 2015 recommended antidumping duty (AD) on imports of certain polyethylene terephthalate (PET) resin from Canada, China, India, and Oman. The US had imported $239 million, $92.1 million, $51.7 million, and $51.1 million worth of PET resin from Canada, China, India, and Oman, respectively, in 2014. PET resin is the basic building block for PET plastic packaging materials, beverage containers and a host of other consumer products.
The antidumping law provides US businesses and workers with a transparent and internationally accepted mechanism to seek relief from the market distorting effects caused by injurious dumping of imports into the US, establishing an opportunity to compete on a level playing field. For the purpose of AD investigations, dumping occurs when a foreign company sells a product in the US at less than its fair value. The antidumping investigation into PET resin import was initiated after DoC received petitions from DAK Americas, LLC (NC), M&G Chemicals (WV), and Nan Ya Plastics Corporation, America (SC).
The Department of Commerce (DoC) preliminarily has determined that PET resin from Canada, China, India, and Oman have been sold in the US at dumping margins ranging from 13.29 percent, 125.12 percent to 145.94 percent (China-wide rate based on adverse facts available), 6.31 percent to 19.41 percent (based on adverse facts available), and 6.62 percent, respectively.
In addition, in the India investigation, petitioners alleged ‘critical circumstances’. The Department of Commerce found that critical circumstances exist for all Indian companies. “As a result, and in accordance with the governing regulation, DoC will instruct US Customs and Border Protection (CBP) to collect cash deposits of estimated antidumping duties on entries of PET resin from India up to 90 days prior to the date of publication of our preliminary determination in the Federal Register,” said the Department of Commerce in a press release.
As the next step, Department of Commerce is scheduled to announce its final determinations on or about February 26, 2016; unless the statutory deadline is extended.
“If Department of Commerce makes affirmative final determinations, and the US International Trade Commission (ITC) makes affirmative final determinations that imports of PET resin from Canada, China, India, and/or Oman materially injure, or threaten material injury to, the domestic industry, DoC will issue antidumping orders. If either Department of Commerce’s or the ITC’s final determinations are negative, no AD orders will be issued. The ITC is scheduled to make its final injury determinations in April 2016,” said DoC in the release.
The antidumping law provides US businesses and workers with a transparent and internationally accepted mechanism to seek relief from the market distorting effects caused by injurious dumping of imports into the US, establishing an opportunity to compete on a level playing field. For the purpose of AD investigations, dumping occurs when a foreign company sells a product in the US at less than its fair value. The antidumping investigation into PET resin import was initiated after DoC received petitions from DAK Americas, LLC (NC), M&G Chemicals (WV), and Nan Ya Plastics Corporation, America (SC).
The Department of Commerce (DoC) preliminarily has determined that PET resin from Canada, China, India, and Oman have been sold in the US at dumping margins ranging from 13.29 percent, 125.12 percent to 145.94 percent (China-wide rate based on adverse facts available), 6.31 percent to 19.41 percent (based on adverse facts available), and 6.62 percent, respectively.
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In the India investigation, mandatory respondents Dhunseri Petrochem Limited and JBF Industries Limited have received a preliminary dumping margin of 19.41 percent based on adverse facts available due to the respondents failure to respond to DoC’s questionnaire. Mandatory respondents Ester Industries Limited and Reliance Industries Limited have received preliminary dumping margins of 10.68 and 6.31 percent, respectively. All other producers/exporters in India have received a preliminary dumping margin of 8.50 percent.
In addition, in the India investigation, petitioners alleged ‘critical circumstances’. The Department of Commerce found that critical circumstances exist for all Indian companies. “As a result, and in accordance with the governing regulation, DoC will instruct US Customs and Border Protection (CBP) to collect cash deposits of estimated antidumping duties on entries of PET resin from India up to 90 days prior to the date of publication of our preliminary determination in the Federal Register,” said the Department of Commerce in a press release.
As the next step, Department of Commerce is scheduled to announce its final determinations on or about February 26, 2016; unless the statutory deadline is extended.
“If Department of Commerce makes affirmative final determinations, and the US International Trade Commission (ITC) makes affirmative final determinations that imports of PET resin from Canada, China, India, and/or Oman materially injure, or threaten material injury to, the domestic industry, DoC will issue antidumping orders. If either Department of Commerce’s or the ITC’s final determinations are negative, no AD orders will be issued. The ITC is scheduled to make its final injury determinations in April 2016,” said DoC in the release.