Commerce Considers AD Circumvention by Cambodia Hangers Made From China, Vietnam Inputs
The Commerce Department is beginning an anti-circumvention inquiry to determine whether all imports of steel wire garment hangers from Cambodia made from Chinese or Vietnamese steel wire are circumventing antidumping duties and countervailing duties on steel wire garment hangers from Vietnam (A-552-812/C-552-813) and an AD order on steel wire garment hangers from China (A-570-918), it said in a notice to be published Aug. 12.
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The anti-circumvention inquiry will apply country-wide, to all steel wire garment hangers "completed in Cambodia using: (1) steel wire and/or (2) steel wire and paper accessories produced in China or Vietnam that are then subsequently exported from Cambodia to the United States," Commerce said. The inquiry was requested by M&B Metal Products.
Commerce will direct CBP to "continue the suspension of liquidation of entries of products subject to the circumvention inquiry that were already subject to the suspension of liquidation" under the China and Vietnam AD/CVD orders. If Commerce finds circumvention in the preliminary determination of this inquiry, the agency will direct CBP to suspend liquidation for unliquidated entries on or after Aug. 12, 2025, though the agency may decide to suspend liquidation prior to that date.
Commerce will issue questionnaires to "solicit information from producers and exporters in Cambodia concerning their shipments of hangers made from Chinese-origin or Vietnamese-origin steel wire and paper accessories to the United States." Companies that fail to respond completely may get hit with an “adverse facts available” penalty, such as an inference by Commerce that the companies are circumventing duties.