The Commerce Department has laid the groundwork for the assessment of countervailing duties on U.S. imports of certain plastic decorative ribbon from China.
The Commerce Department has laid the groundwork for the assessment of countervailing duties on U.S. imports of certain plastic decorative ribbon from China.
Countervailable subsidies are given by foreign governments to domestic manufacturers based on their export performance.
In this investigation, Commerce calculated a preliminary subsidy rate of 94.67 percent for Santa’s Collection Shaoxing Co. Ltd. based on its failure to cooperate. The department set preliminary subsidy rates of 14.27 percent for Joynice Gifts & Crafts Co. Ltd. and 12.81 percent for Seng San Enterprises Co. Ltd. All other Chinese producers and exporters of plastic decorative ribbon received a subsidy rate of 13.54 percent.
Commerce will now instruct Customs and Border Protection (CBP) to collect cash deposits from importers of this product from China based on these preliminary rates.
According to the department, plastic decorative ribbon imports from China in 2017 were valued at $22.5 million. The petitioner for the Commerce investigation was Berwick Offray of Berwick, Pa.
Commerce is scheduled to announce its final countervailing duty determination for this investigation by Oct. 16.
Meanwhile, the U.S. International Trade Commission (ITC) is scheduled to make its final injury determination on Nov. 29. If Commerce makes an affirmative final determination in this investigation and the ITC makes an affirmative final injury determination, Commerce will issue a countervailing duty order. However, if Commerce makes a negative final determination or the ITC makes a negative final determination of injury, the investigation will end and no order will be issued.
Chinese ribbon makers facing U.S. import duties
