03 September 2009 17:37 [Source: ICIS news]
WASHINGTON (ICIS news)--US importers of polyethylene-based (PE) retail bags from Vietnam must begin paying a duty of up to 4.2% under a federal order meant to counter subsidies by the Hanoi government, the attorney for US plastic bag producers said on Thursday.
Joe Dorn, an attorney with Washington-based King & Spalding and counsel to US plastic bag manufacturers, said a new decision by the Department of Commerce established the first countervailing duty against exports from ?xml:namespace>
The department ruled in a preliminary determination that the
The department said in its 31 August preliminary ruling that Vietnamese PE bag makers and exporters have been receiving government subsidies ranging from 0.2% to 4.24%.
The department’s International Trade Administration (ITA) said that it would instruct US Customs offices to begin collecting cash deposits or bonds from US importers of Vietnamese PE bags in amounts equal to the subsidies that Vietnamese bag producers receive.
Last month’s ruling by the department is preliminary until the ITA and the US International Trade Commission (ITC) issue final determinations that
Those final determinations are expected in the first quarter of 2010. When those final determinations are made, cash deposits and bonds collected from US importers of Vietnamese plastic bags will then be forfeited to the US Treasury.
The impact of the preliminary ruling is to discourage US importers from bringing in further shipments of Vietnamese PE bags.
Imports of PE bags from
($1 = €0.70)
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