Subjects: EXE, TRD

U.S. Polyester Textured Yarn Producers Applaud U.S. Department of Commerce's Final Affirmative Antidumping and Countervailing Duty Determinations on Imports of Polyester Textured Yarn from China and India

WASHINGTON, Nov. 18, 2019 /PRNewswire/ -- On November 14, 2019, the U.S. Department of Commerce ("Commerce Department") announced its final affirmative determinations that imports of polyester textured yarn from China and India are being unfairly subsidized and sold below their fair value in the United States at significant double- and triple-digit margins, as indicated in the chart below. 

The U.S. International Trade Commission (the "USITC") is scheduled to reach its final determination whether the unfairly traded imports have injured the domestic industry in early December 2019.  If the USITC reaches an affirmative final determination, the final duty rates will go into effect and remain in place until a first administrative review is conducted in 2021 by the Commerce Department.  Importers' liability could increase or decrease depending on the extent of dumping and subsidization the Commerce Department finds when the review is conducted and assessment rates are finalized.

 

The final results of the Commerce Department's investigations will be published in the Federal Register in approximately one week. 

Imports have been subject to significant double- and triple-digit duties since the Commerce Department issued its preliminary subsidy determination in May 2019 and preliminary dumping determination in July 2019.   

The Commerce Department continued to find that "critical circumstances" exist with respect to imports of polyester textured yarn from China.  As a result, all imports of polyester textured yarn from China remain subject to retroactive antidumping and countervailing duty deposits that were first imposed in the preliminary determinations.

Background

Two major U.S. synthetic yarn producers ? Unifi Manufacturing, Inc. ("Unifi") and Nan Ya Plastics Corporation, America ("Nan Ya") ? filed petitions with the Commerce Department and the USITC in October 2018 alleging that dumped and subsidized imports of polyester textured yarn from China and India are causing material injury to the domestic industry.  The Commerce Department initiated the investigations in November 2018, and the USITC preliminarily determined in December 2018 that imports from China and India are causing injury to the U.S. domestic industry. 

The product covered by the investigation, polyester textured yarn, is synthetic multifilament yarn that is manufactured from polyester (polyethylene terephthalate). Polyester textured yarn is produced through a texturing process, which imparts special properties to the filaments of the yarn, including stretch, bulk, strength, moisture absorption, insulation, and the appearance of a natural fiber.  This scope includes all forms of polyester textured yarn, regardless of surface texture or appearance, yarn density and thickness (as measured in denier), number of filaments, number of plies, finish (luster), cross section, color, dye method, texturing method, or packing method (such as spindles, tubes, or beams).

Excluded from the scope of the investigation is bulk continuous filament yarn that: (a) is polyester synthetic multifilament yarn; (b) has denier size ranges of 900 and above; (c) has turns per meter of 40 and above; and (d) has a maximum shrinkage of 2.5 percent.

The merchandise subject to this investigation is properly classified under subheadings 5402.33.3000 and 5402.33.6000 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 is dispositive.

The petitioning companies are represented by Kelley Drye & Warren LLP.

SOURCE Kelley Drye & Warren LLP

News published on 18 november 2019 at 12:11 and distributed by: