New AD/CVD Case Filed Against Polypropylene Corrugated Boxes from Vietnam and China

A new antidumping and countervailing duty action has been filed against “Polypropylene Corrugated Boxes” imported from Vietnam and China. These boxes are colloquially know as Vegetable or Seafood Boxes and are used to pack and ship articles such as produce. The allegation is that imports from China are both unfairly subsidized and are being dumped (sold below cost) while imports from Vietnam are alleged to being dumped (sold for below cost).

Full list of exporters here.

Background on AD/CVD Investigations

Antidumping duty (“AD”) and countervailing duty (“CVD”) investigations are brought jointly by the U.S. International Trade Commission (“USITC”) and the U.S. Department of Commerce (“Commerce”). AD investigations are triggered when a domestic industry alleges that it has been injured by competing imports of particular goods from specific countries being sold at less than a fair value. Meanwhile, CVD investigations are triggered when a domestic industry alleges that it has been injured by competing imports that are being unfairly subsidized by their governments. The domestic industry initiating the investigation is known as the petitioner while the foreign industry participating in the investigation is known as the respondent.

Scope of the Investigation

The merchandise covered by these investigations is Polypropylene Corrugated Boxes (“PCBs”). PCBs are boxes, totes, or other containers made of corrugated polypropylene sheets, also known as polypropylene hollow core sheets, polypropylene twin wall sheets, or multi wall sheets.

The products subject to the investigations are currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under statistical reporting number 3923.10.9000.

Full scope here.

Next Steps

The Commerce Department will determine whether to initiate the investigations within 20 days. The USITC will reach a preliminary determination of material injury or threat of material injury within 45 days.

As with any proceeding, participation is very important to protect your rights. We urge anyone who imports PCBs to pay close attention to this case and to ensure that all appropriate steps are taken to mitigate any damage.

AD/CVD investigations can result in determinations adverse to respondent interests for years that could effectively prohibit access to the U.S. market. Failure to effectively participate in investigations can put exporters and importers at a significant disadvantage.

Diaz Trade Law will continue to monitor this case and share updates.

For more information or questions get in touch with us at 305-456-3830 or info@diaztradelaw.com.