U.S. Department of Commerce Initiates Antidumping Duty Investigation of Imports of Ultra-High Molecular Weight Polyethylene from the Republic of Korea
For Immediate Release
March 25, 2020
Contact: Office of Public Affairs
WASHINGTON – Today, the U.S. Department of Commerce announced the initiation of a new antidumping duty (AD) investigation to determine whether ultra-high molecular weight polyethylene from the Republic of Korea (Korea) is being dumped in the United States.
During this investigation, Commerce will determine whether imports of ultra-high molecular weight polyethylene from Korea are being dumped in the U.S. market at less than fair value. The alleged dumping margins range from 13.16 to 153.35 percent.
The petitioner is Celanese Corporation (Irving, Texas).
If Commerce makes an affirmative finding in this investigation, and if the U.S. International Trade Commission (ITC) determines that dumped imports of ultra-high molecular weight polyethylene from Korea are causing injury to the U.S. industry, Commerce will impose duties on those imports in the amount of dumping found to exist.
In 2019, imports of ultra-high molecular weight polyethylene from Korea were valued at an estimated $12.6 million.
During Commerce’s investigation into whether ultra-high molecular weight polyethylene from Korea is being dumped, the ITC will conduct its own investigation into whether the U.S. industry and its workforce are being harmed by such imports. The ITC will make its preliminary determination on or before April 20. If the ITC preliminarily determines that there is injury or threat of injury, then Commerce’s investigation will continue, with the preliminary determination scheduled for August 11, unless this deadline is extended.
If Commerce preliminarily determines that dumping is occurring, then it will instruct U.S. Customs and Border Protection to start collecting cash deposits from all U.S. companies importing ultra-high molecular weight polyethylene from Korea.
The final determination by Commerce in this case is scheduled for October 26, but this deadline may be extended. If Commerce finds that products are not being dumped, or the ITC finds in its final determination there is no harm to the U.S. industry, then the investigation will be terminated, and no duties will be applied.
The strict enforcement of U.S. trade law is a primary focus of the Trump administration. Since the beginning of the Trump administration, Commerce has initiated 204 new AD and CVD investigations – this is a 168 percent increase from the comparable period in the previous administration.
The AD and CVD laws provide American businesses and workers with an internationally accepted mechanism to seek relief from the harmful effects of unfair pricing and unfairly subsidized imports into the United States. Commerce currently maintains 516 antidumping and countervailing duty orders which provide relief to American companies and industries impacted by unfair trade.
Foreign companies that price their products in the U.S. market below the cost of production or below prices in their home markets are subject to AD duties. Foreign companies that receive financial assistance from foreign governments that benefits the production of goods, and is limited to specific enterprises or industries or is contingent either upon export performance or upon the use of domestic goods over imported goods, are subject to CVD duties.
The U.S. Department of Commerce’s Enforcement and Compliance unit within the International Trade Administration is responsible for vigorously enforcing U.S. trade laws and does so through an impartial, transparent process that abides by international rules and is based on factual evidence provided on the record.