DAK Americas, LLC, Indorama Ventures USA, Inc., M&G Polymers USA, LLC, and Nan Ya Plastics Corp., America, on September 26, 2017, filed antidumping (AD) petitions on certain polyethylene terephthalate (PET) resin from Brazil, Indonesia, Korea, Pakistan and Taiwan.
The U.S. AD law imposes special tariffs to counteract imports that are sold in the United States at less than “normal value.” For AD duties to be imposed, the U.S. government must determine not only that dumping is occurring, but also that there is “material injury” (or threat thereof) by reason of the dumped imports. Importers are liable for any potential AD duties imposed. In addition, these investigations could impact purchasers by increasing prices and/or decreasing supply of PET resin.
The merchandise covered by these orders is polyethylene terephthalate (PET) resin having an intrinsic viscosity of at least 70, but not more than 88, milliliters per gram (0.70 to 0.88 deciliters per gram). The scope includes blends of virgin PET resin and recycled PET resin containing 50 percent or more virgin PET resin content by weight, provided such blends meet the intrinsic viscosity requirements above. The scope includes all PET resin meeting the above specifications regardless of additives introduced in the manufacturing process.
The merchandise subject to these orders is properly classified under subheadings 3907.61.00.00 and 3907.69.00.00 of the Harmonized Tariff Schedule of the United States (HTSUS). Although the HTSUS subheadings are provided for convenience and customs purposes, the written description of the merchandise covered by these orders is dispositive.
Alleged Dumping Margins
The petitioners allege that the following dumping margins exist:
- Brazil: 18.76 percent to 114.84 percent
- Indonesia: 8.49 percent to 95.06 percent
- Korea: 58.73 percent to 103.48 percent
- Pakistan: 27.69 percent to 59.92 percent
- Taiwan: 18.47 percent to 45.97 percent
Estimated Schedule of Investigations
- September 26, 2017 – Petition is filed
- October 16, 2017 – DOC initiates investigation
- October 17, 2017 – ITC staff conference (estimated)
- November 10, 2017 – Deadline for ITC preliminary injury determination
- March 8, 2018 – Deadline for DOC preliminary AD determinations, if deadlines are not postponed
- April 24, 2018– Deadline for DOC preliminary AD determinations, if deadlines are fully postponed
- September 6, 2018 – Deadline for DOC final AD determinations, if both preliminary and final AD determination deadlines are fully postponed
- October 22, 2018 – Deadline for ITC final injury determination, assuming fully postponed DOC deadlines
For further information, contact the authors below, or any other member of the Customs and International Trade Team.