Plastic bag producers file dumping complaints

17/04/2009 12:00 - 613 Views

Domestic polyethylene-bag millstarget Asian market rivals

Superbag of Houston,Texas and Hilex Poly of Hartsville, S.C.,are seeking punitive tariffs in the form of countervailing duties againstVietnamese, Taiwanese and Indonesian producers of ultra-high molecular-weightpolyethylene bags.

The trade complaint alleges thatthe Hanoigovernment is providing subsidies to its domestic bag makers in violation ofWorld Trade Organization rules. The petitions also allege that polyethyleneretail carry bags from Indonesiaare being dumped in the U.S.at market at prices as much as 51% below fair value and that bags from Vietnam and Taiwan are being dumped at prices75% and 100% below fair value respectively.

If it is established by CommerceDepartment trade officials that plastic bags from those three countries arebeing dumped in the U.S.market, the International Trade Commission then will have to determine whetherthe dumping is causing or will likely cause material harm to Hilex andSuperbag.

If that “market harm” isestablished, the Commerce’s Customs unit will assign tariffs against bagimports from the three nations, usually as a percentage of the imports’ value.Rulings should be completed by May 2010.

By Tom Stundza --Purchasing, 4/15/200912:41:00 PM

Source:www.purchasing.com