ITA Requests Comments on Whether it Should Apply CV Duties to Imports from China
The International Trade Administration (ITA) has issued a notice which requests comments on whether it should apply the countervailing (CV) duty law to imports from China.
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(Since at least 1986, the ITA has exercised its discretion to not apply the CV duty law to non-market economy (NME) countries1, such as China and Vietnam.)
New CV Investigation for China Requires Review of Policy
According to the ITA, the recent initiation of the CV duty investigation on imports of coated free sheet paper from China (C-570-907) requires that the ITA review its long-standing policy of not applying CV duty law to NMEs, such as China. (See ITT's Online Archives or 11/28/06 news, 06112835, for BP summary of the initiation notice.)
(The ITA states that this is the first CV duty investigation involving China since 1991, when the ITA initiated investigations on lugnuts and ceiling fans, which it terminated before going to order. In both cases, the ITA did not find at that time a basis for applying the CV duty law to the industry in question.)
ITA to Determine Whether CV Duty Law Should Now be Applied to China
The ITA states that it intends during the course of the present CV duty investigation on coated free sheet paper from China to determine whether the CV duty law should now be applied to imports from China. Given the complex legal and policy issues involved, the ITA, therefore, invites public comment on this matter.
- comments must be received no later than 5 p.m. on January 16, 2007
1In 1986, the U.S. Court of Appeals for the Federal Circuit (CAFC) affirmed that the Department of Commerce has the discretion not to apply the CV duty law to NME countries in Georgetown Steel Corp. v. U.S.
ITA Contact -Callie Conroy (202) 482-0754
ITA Notice (FR Pub 12/15/06) available at http://a257.g.akamaitech.net/7/257/2422/01jan20061800/edocket.access.gpo.gov/2006/pdf/E6-21437.pdf
BP Note
The ITC issued a press release stating that it has made an affirmative determination to continue to conduct the CV duty investigation concerning coated free sheet paper from China, among other things. The ITC states that the preliminary CV duty determination is due on or about January 24, 2007.
(ITC press release no. 06-120, dated 12/15/06, available athttp://www.usitc.gov/ext_relations/news_release/2006/er1215dd1.htm)