US SLAPS MORE DUTIES ON VIETNAMESE PLASTIC BAGS
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Pania [2011-05-20]
WASHINGTON, Apr 22- The US Department of Commerce (DOC) will issue countervailing and Anti-dumping tariffs on imports of polyethylene retail carrier bags made in Vietnam.
The DOC made the decision based on determinations by the US International Trade Commission (USITC) on April 15 that polyethylene retail carrier bags imported from Vietnam are a threat to the US industry.
DOC said that polyethylene retail carrier bags produced in Vietnam are subsidised and sold in the US at less than fair value. It will also impose anti-dumping tariffs on imports of the same product from Indonesia and Taiwan.
Polyethylene retail carrier bags will be the first Vietnamese export line to suffer a countervailing duty in the US market.
Earlier on March 26, DOC announced its final determinations regarding the anti-dumping duty (AD) and countervailing duty (CVD) investigations on imports of plastic bags from Vietnam, determining that producers/exporters from Vietnam have sold plastic bags at less than normal value in the United States at 52.30 per cent to 76.11 per cent.
It also determined that Vietnamese producers/exporters have received net subsidies ranging from less than 1 per cent to 52.56 per cent.
According to the DOC's determination, in the AD investigations, 16 Vietnamese producers/exporters qualified for a separate rate of 52.30 per cent. All other Vietnamese producers/exporters of plastic bags received the Vietnam wide rate of 76.11 per cent, including the Vietnamese mandatory respondents, Advance Polybag Company and the Fotai Vietnam Enterprise Corporation, as both companies have withdrawn from these investigations.
In the CVD investigations, the three mandatory respondents Chin Sheng Company, the Fotai Vietnam Enterprise Corporation and Advance Polybag received final subsidy rates of 0.44 per cent, 5.28 per cent, and 52.56 per cent, respectively. All other producers/exporters from Vietnam received a final subsidy rate of 5.28 per cent.
Responding to the DOC's final determinations, Vietnamese commercial counsellor to the US Ngo Van Thoan on March 30 described the DOC's decisions on Vietnam's polyethylene retail carrier bags as unfair.
He told the Vietnamese News Agency that even though Vietnam had provided the US with adequate information and data relating to its support for companies in accordance with the rules of the World Trade Organisation, of which Vietnam and the US are members, the US still made unfair conclusions based on their own views.
According to the USITC, imports of plastic bags from Vietnam by the US were valued at an estimated US$43 million in 2009, showing a significant drop from 2008 when the import hit US$79.4 million.