The US International Trade Commission (USITC) on May 2 determined that revoking the existing anti-dumping duty orders on imports of frozen warmwater shrimp from the Peoples Republic of China (PRC), India, Thailand and Vietnam would be “likely to lead to continuation or recurrence of material injury within a reasonably foreseeable time.”
Meanwhile, the Commission decided that revoking the existing anti-dumping duty order on imports from Brazil would “not be likely to lead to continuation or recurrence of material injury within a reasonably foreseeable time.”
As a result of the Commission’s affirmative determinations, the existing anti-dumping duty orders on imports from China, India, Thailand and Vietnam will remain in place, and import tariffs will continue to be levied. The Commission’s negative determination regarding Brazil means that the existing anti-dumping duty order on imports of warmwater shrimp from that country will be revoked.
Chairman Rhonda K. Schmidtlein, Vice Chairman David S. Johanson, and Commissioners Irving A. Williamson, Meredith M. Broadbent and F. Scott Kieff voted in the affirmative with respect to China, India, Thailand and Vietnam, and in the negative with respect to Brazil.
The action comes under the five-year (sunset) review process required by the Uruguay Round Agreements Act. The Commission’s public report Frozen Warmwater Shrimp from Brazil, China, India, Thailand, and Vietnam, Inv. Nos. 731-TA-1063-1064 and 1066-1068 (Second Review), USITC Publication 4688, May 2017, will contain the views and information developed during the reviews. It will be made available by June 15, 2017, and may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.
Cumulatively, the PRC, India, Thailand and Vietnam accounted for approximately 55% of shrimp exports to the United States last year. Tariff rates for producers in those countries vary considerably, depending on the exporter. The range reportedly runs from between 0.51% to 25.76%, with the highest rate applied to companies failing to respond to US Commerce Department questionnaires or to otherwise establish their eligibility for a lower tariff.
Background
The Uruguay Round Agreements Act requires the Department of Commerce to revoke an antidumping or countervailing duty order, or terminate a suspension agreement, after five years unless the Department of Commerce and the USITC determine that revoking the order or terminating the suspension agreement would be likely to lead to continuation or recurrence of dumping or subsidies (Commerce) and of material injury (USITC) within a reasonably foreseeable time.
The Commission’s institution notice in five-year reviews requests that interested parties file responses concerning the likely effects of revoking the order under review as well as other information. Generally within 95 days from institution, the Commission will determine whether the responses it has received reflect an adequate or inadequate level of interest in a full review. If responses to the USITC’s notice of institution are adequate, or if other circumstances warrant a full review, the Commission conducts a full review, which includes a public hearing and issuance of questionnaires.
The Commission generally does not hold a hearing or conduct further investigative activities in expedited reviews. Commissioners base their injury determination in expedited reviews on the facts available, including the Commission’s prior injury and review determinations, responses received to its notice of institution, data collected by staff in connection with the review, and information provided by the Department of Commerce.
The five-year (sunset) reviews concerning Frozen Warmwater Shrimp from Brazil China, India, Thailand, and Vietnam were instituted on March 1, 2016.
On June 6, 2016, the Commission voted to conduct full reviews. With respect to Brazil, India, Thailand, and Vietnam, all six Commissioners concluded that both the domestic and the respondent group responses were adequate and voted for full reviews. With respect to China, all six Commissioners concluded that the domestic group response was adequate and the respondent group response was inadequate, but that circumstances warranted a full review.
A record of the Commission’s vote to conduct full reviews is available from the Office of the Secretary, U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436. Requests may be made by telephone by calling 202-205-1802.