The US Department of Commerce has proposed amendments to existing antidumping (AD) and countervailing duties (CVD) rules to improve efficiencies and strengthen its enforcement tools for these duties.

 

US Commerce Secretary, Wilbur Ross, said in a press statement on August 13 that these tweaks would create better safeguards for Americans from “unfair trade.”

 

In 2020, Commerce’s AD and CVD probes have more than doubled over last year. The agency has initiated 281 AD/CVD investigations. According to the agency, it currently maintains 531 AD/CVD orders on various goods.

 

Under the new rules, Commerce has proposed specific timelines and procedures to impose circumvention duties along with an “explicit authorization for Commerce” to initiate these proceedings. The new rules will also help the Customs Border Protection (CBP) to fight duty evasions by creating a process that addresses CBP’s questions on potential evasions they foresee.

 

Moreover, for foreign companies, the new set of rules could compel firms requesting a review to provide evidence of valid sales before the review begins, failing which, Commerce would decline to initiate the review. Under the current regulations, Commerce asks companies to provide this evidence after the review has begun.

 

The proposed amendments will also update the agency’s existing rules on the scope of inquiries for AD/CVD probes to modernize and accelerate the deadlines for these reviews. In turn, these are expected to discourage firms from misusing the scope of the materials under purview.

 

The proposed amendments are open for public comment until September 14, Commerce noted in a media statement, after which the agency will announce the final rules.  

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