May 11, 2009

The US International Trade Commission voted Friday in favour of imposing duties on citric acid and citrate salts from China and Canada after determining that the imports were hurting US manufacturers.

The vote clears the way for the US Commerce Department to collect antidumping and countervailing duties on imports from China, as well as antidumping duties on imports from Canada. Citric acid and citrate salts are used in food and beverages, as well as laundry detergents and household cleaning products.

Antidumping duties, ranging up to 156.87 percent on Chinese imports and 23.21 percent on Canadian goods, were set by Commerce last month after finding that citric acid and citrate salts were being sold in the US at less than normal value.

In addition, Commerce also set countervailing duties, imposed in retaliation for unfair subsidies, of up to 118.95 percent against Chinese imports.

Archer Daniels Midland Co. (ADM), Cargill Inc. and Tate & Lyle Americas had filed the petitions.

The US has stepped up its imposition of antidumping and countervailing duties against China over the past couple of years, prompting the Chinese government in September to challenge the measures at the World Trade Organization. The WTO has agreed to create an expert panel to investigate whether the duties violate global trade rules.

Meanwhile, the ITC voted to maintain the existing antidumping duties on imports of saccharin from China, determining in a five-year sunset review that ending the practice would hurt US producers.