New AD/CVD Petitions: Glass Wine Bottles from China, Mexico, Chile

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New AD/CVD Petitions. On December 29, 2023, antidumping (AD) and countervailing obligation (CVD) petitions have been filed in opposition to Glass Wine Bottles from China, Mexico, and Chile. The petitions have been filed by the U.S. Glass Producers Coalition, which is comprised of Ardagh Glass Inc., and the union representing employees on the glass factories of Ardagh and two different U.S. producers – Gallo Glass Firm and O-I Glass, Inc.

Like many AD/CVD petitions, this new case is a sequel to a previous AD/CVD investigation. However in contrast to most AD/CVD sequels, the prior case in 2020 on Glass Containers from China didn’t end in AD/CVD duties being imposed. In that case, the U.S. Worldwide Commerce Fee (“ITC”) made a damaging harm dedication and located that Chinese language imports of glass containers weren’t a trigger of fabric harm. Though the ITC discovered that the Chinese language import volumes have been important, the ITC didn’t discover any opposed worth results, and that the Chinese language imports weren’t answerable for the home producers’ declining efficiency.

Having misplaced that case in 2020, the U.S. Glass Producers Coalition are actually once more asking the federal government to assist defend them from import competitors. However now they’re focusing on simply wine bottles, as an alternative of all glass containers within the prior investigation. By defining the scope of this investigation extra narrowly than the prior investigation, the home producers hope that the info collected by the ITC can be completely different on this case and present that the home business is struggling materials harm (or risk of fabric harm) brought on by the topic imports.

Mexico is the biggest supply of imported wine bottles. Wine bottles from China are already topic to Part 301 tariffs (25%) which were imposed since 2018.

Along with the ITC investigating whether or not imports are a reason for harm, the U.S. Division of Commerce (“DOC”) will examine whether or not the named topic imports are being offered to america at lower than truthful worth (“dumping”) or profit from unfair authorities subsidies. Each companies must make affirmative findings of harm or risk of harm (ITC) or of dumping or subsidies (DOC) to ensure that AD/CVD duties to be imposed on the topic imports.

Scope

The proposed scope definition of this case is as follows:

The merchandise coated by the investigations is for certain slim neck glass bottles, with a nominal capability of 750 milliliters (25.36 ounces), in line with the approved requirements of fill in 27 C.F.R. §4.72; a nominal whole top between 24.8 centimeters (9.75 inches) to 35.6 centimeters (14 inches); anominal base diameter between 4.6 centimeters (1.8 inches) to 11.4 centimeters (4.5 inches); and amouth with an outer diameter of between 25 millimeters (.98 inches) to 37.9 millimeters (1.5 inches); steadily known as a “wine bottle.” In scope merchandise might embrace however just isn’t restricted to the next shapes: Bordeaux (also referred to as “Claret”), Burgundy, Champagne, or Glowing. In scope glass bottles typically have an roughly spherical base and have shapes together with however not restricted to, straight-sided, a tapered slope from shoulder (i.e., the sloping a part of the bottle between the neck and thebody) to base, or a protracted neck with sloping shoulders to a wider base. The scope contains glass bottles, whether or not clear or coloured, with or and not using a punt (i.e., an indentation on the underside of the bottle), and with or with out design or useful enhancements (together with, however not restricted to, embossing, labeling, or etching). In scope merchandise could also be imported with or and not using a closure, together with a cork, stelvin (screw cap), crown cap, or wire cage and cork closure.

Excluded from the scope of the investigations are: (1) Glass containers manufactured from borosilicate glass, assembly United States Pharmacopeia necessities for Kind 1 pharmaceutical containers; (2) Glass containers produced by the “free blown” technique or in any other case with out the usage of a mildew (i.e., with out “mildew seams,” “joint marks,” or “parting strains”); and (3) Glass containers and not using a “end” (i.e., the part of a container on the opening together with the lip and ring or collar, threaded or otherwisecompatible with a sort of closure, together with however not restricted to a cork, stelvin (screw cap), crown cap, or wire cage and cork closure).

Glass bottles topic to the investigations are specified throughout the Harmonized Tariff Schedule of theUnited States (HTSUS) underneath subheading 7010.90.5019. The HTSUS subheadings are offered forconvenience and customs functions solely. The written description of the scope of the investigations is dispositive.

Alleged AD/CVD Margins.

Petitioner calculated estimated dumping margins for the topic international locations as follows:

China – 280.10% to 620.03%

Mexico – 78.55% to 102.09%

Chile – 615.68%

Petitioner didn’t present any particular China subsidy margin calculations.

Named Exporters/ Producers

Petitioner included a listing of corporations it believes are producers and exporters of the topic merchandise.  See connected record right here.

Named U.S. Importers

Petitioner included a listing of corporations it believes are U.S. importers of the topic merchandise.  See connected record right here.

Estimated Schedule of Investigations*

December 29, 2023 – Petitions filed

January 18, 2024 – DOC initiates investigation

January 19, 2024 – ITC Workers Convention

February 12, 2024 – ITC preliminary dedication

Might 27, 2024 – DOC CVD preliminary dedication (assuming prolonged deadline) (3/23/24 – unextended)

July 26, 2024 – DOC AD preliminary dedication (assuming prolonged deadline)

(6/6/24 – unextended)

December 8, 2024 – DOC remaining dedication (prolonged)

January 22, 2025 – ITC remaining dedication (prolonged)

January 29, 2025 – DOC AD/CVD orders issued (prolonged)

* Dates are approximate. If a deadline falls on a weekend or vacation, the occasion will normally happen the following enterprise day.

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