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NEWS RELEASE 01-042; March 21, 2001 March 21, 2001
News Release 00-042
Inv. No. TA-204-4

ITC SAYS IMPORTS OF WHEAT GLUTEN CONTINUE TO THREATEN U.S. INDUSTRY

The U.S. International Trade Commission (ITC) today unanimously determined that the import relief provided by the President to the wheat gluten industry in 1998 continues to be necessary to prevent or remedy serious injury and that the U.S. wheat gluten industry is making a positive adjustment to import competition.

The Commission will forward its determination and any recommendations to the President by April 2, 2001. The President will make the final decision on whether to extend the import relief.

On June 1, 1998, following a unanimous affirmative injury determination by the Commission under Section 202 of the Trade Act of 1974, the President imposed quantitative restrictions on imports of wheat gluten for a period of three years and one day. The President applied the quota to wheat gluten imports from the European Union, Australia, and all other countries with the exception of Canada, Mexico, Israel, beneficiary countries under the Caribbean Basin Economic Recovery Act and the Andean Trade Preference Act, and developing countries that have accounted for a minor share of wheat gluten imports. Upon the announcement of the relief, the U.S. wheat gluten industry embarked on implementing its adjustment plan of improving efficiency and developing new products.

Unless extended, the relief action will terminate on June 2, 2001. On November 30, 2000, the Wheat Gluten Industry Council filed a petition under section 204(c) of the Trade Act of 1974 requesting extension of the relief action currently in place.

The Commission's public report Wheat Gluten: Extension of Action (Investigation No. TA-204-4, USITC Publication 3407, April 2001) will include the Commission's findings and recommendations. Copies may be obtained after April 23, 2001, by calling 202-205-1809 or from the Office of the Secretary, 500 E Street SW, Washington, DC 20436. Requests may also be made by fax to 202-205-2104.

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