Commerce Finds Countervailable Subsidization Of Imports Of Glass Containers From China

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On May 12, 2020, the Department of Commerce (“Commerce”) announced its affirmative final determination in the CVD investigation of imports of certain glass containers from China. See the fact sheet for a summary of the final cash deposit rates and margins.

Commerce calculated and assigned subsidy rates of 27.10% and 25.46% to mandatory respondents Guangdong Huaxing Glass Co., Ltd. and Qixia Changyu Glass Co., Ltd, respectively. Thirty-eight companies which failed to respond to Commerce’s requests for information received a rate of 320.53%. Commerce also calculated a China-wide subsidy rate of 26.28% for all other Chinese producers and exporters.

The ITC has yet to announce the date of its final vote, but Husch Blackwell believes the final vote will take place in early June or sooner. If the ITC makes an affirmative final determination of material injury to domestic industry, then Commerce will issue a CVD order instructing Customs and Border Protection (“CBP”) to collect deposits based on the applicable duty rate. If the ITC makes a negative determination of injury, then the investigation will be terminated.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

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