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CBP finds duty evasion in wire hanger imports investigation

Recent Customs and Border Protection investigations found “substantial evidence” that Chinese-manufactured wire hangers have evaded U.S. antidumping duties by transshipping through Thailand, CBP said in a statment.

   Recent Customs and Border Protection (CBP) investigations found “substantial evidence” that Chinese-manufactured wire hangers have evaded U.S. antidumping duties by transshipping through Thailand. 
   As part of its investigation, CBP conducted an on-site visit of the Thai shipper and reviewed related trade data. This led the agency to determine that U.S. importer, Eastern Trading, had received the duty-evading Chinese-made wire hangers via Thailand. 
   Following this investigation, M&B Metal Products Co., the only U.S. producer of wire hangers, filed an additional eight duty evasion allegations involving the transshipment of wire hangers through Malaysia. CBP issued a consolidated notice for the decision on interim measures in those investigations, finding a “reasonable suspicion” of antidumping duty evasion.
   Acting CBP Commissioner Kevin McAleenan said the combined wire hanger investigations resulted in the agency “preventing evasion of over $33 million dollars in unpaid antidumping duties annually.”
   The agency began carrying out these types of investigations in August 2016 as part of the Enforcement and Protect Act (EAPA). The request to investigate alleged transshipped wire hangers was filed with CBP in September 2016. 
   EAPA, which is part of the 2015 Trade Facilitation and Trade Enforcement Act, establishes formal procedures to submit and investigate antidumping or countervailing allegations of evasion against U.S. importers. CBP is responsible for tracking and reporting allegations of evasion from initial receipt, vetting and enforcement actions, to final disposition of an investigation.
   On Aug. 14, CBP issued a notice that it will investigate alleged antidumping duty evasion by Aspects Furniture International of Chino Hills, Calif., an importer of Chinese-made wooden bedroom furniture. The agency plans to announce its final determination for that investigation by March 12, 2018. 
   Since EAPA entered into force last August, CBP has initiated 14 investigations. The agency will work with other federal agencies and overseas governments in those investigations.