Posted May 14, 2014
 
The U.S. International Trade Commission (ITC) recently determined that the U.S. sugar industry is likely materially injured by imports of sugar from Mexico, allegedly subsidized and sold in the United States at less than fair value, according to an ITC press release available here.
 
The U.S. Department of Commerce (DOC) will continue to conduct its investigations on imports of these products, “with its preliminary countervailing duty determination due on or about June 23, 2014, and its antidumping duty determinations due on or about September 4, 2014.
 
“The ITC made the right decision today and validated our complaints,” said Phillip Hayes, a spokesperson for the American Sugar Alliance, according to an article by Agri-Pulse available here.  “Mexico’s actions have harmed hardworking sugar producers as well as taxpayers.  U.S. trade laws are designed to stop such injury, and we hope corrective actions will be taken soon before the situation deteriorates.”
 
U.S. sugar producers filed petition seeking antidumping and countervailing duties in March, arguing that Mexico’s actions will cost the industry $1 billion this year.  The producers also argued “that the U.S. government had to come up with $287 million in fiscal year 2013 to keep the market from collapsing as a flood of Mexican imports drove down prices.”
 
The ITC will make a preliminary ruling later this summer and final ruling by the DOC and ITC will likely take place in 2015. 

 

For more information on international trade, please visit the National Agricultural Law Center’s website here.
 
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