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News Release 16-035
Inv. No(s). 701-TA-531-532 & 731-TA-1270-1273 (Final)
Contact: Peg O'Laughlin, 202-205-1819
The United States International Trade Commission (USITC) today determined that a U.S. industry is materially injured by reason of imports of polyethylene terephthalate (PET) resin from Canada, China, India, and Oman that the U.S. Department of Commerce has determined are sold in the United States at less than fair value and subsidized by the governments of China and India.
The Commission also made negative findings with respect to critical circumstances with regard to imports of this product from India. As a result, goods that entered the United States from India in the 90 days prior to August 15, 2015, will not be subject to retroactive countervailing duties, and goods that entered the United States from India in the 90 days prior to October 15, 2015, will not be subject to retroactive antidumping duties (dates are the dates of the Department of Commerce’s affirmative preliminary determinations).
All six Commissioners made affirmative material injury determinations and negative critical circumstances findings.
As a result of the USITC’s affirmative determinations, Commerce will issue countervailing duty orders on imports of this product from China and India and antidumping duty orders on imports of this product from Canada, China, India, and Oman.
The Commission’s public report Polyethylene Terephthalate (PET) Resin from Canada, China, India, and Oman (Investigation Nos. 701-TA-531-532 and 731-TA-1270-1273 (Final), USITC Publication 4604, April 2016) will contain the views of the Commission and information developed during the investigations.
The report will be available by May 19, 2016; when available, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.
FACTUAL HIGHLIGHTS
Certain Polyethylene Terephthalate (PET) Resin from Canada, China, India, and Oman
Investigation Nos. 701-TA-531-532 and 731-TA-1270-1273 (Final)
Product Description: PET resin is a large‐volume, commodity‐grade thermoplastic polyester polymer that is primarily sold in bulk form as chips or pellets to downstream end users/converters. Converters use PET resin to manufacture bottles and other sterile containers that house liquid and solid products for human consumption or contact. Articles manufactured with PET resin are clear, transparent, sterile, lightweight, and thermally stable. The PET resin covered in these investigations has an intrinsic viscosity of at least 0.70, but not more than 0.88, deciliters per gram. Included are blends of virgin PET resin and recycled PET resin containing 50 percent or more virgin PET resin content by weight, provided such blends meet the intrinsic viscosity requirements above. The products covered include all PET resin meeting the above specifications regardless of additives introduced in the manufacturing process. Major end‐use applications for bottle grade PET resin include carbonated soft drink bottles, water bottles, and other containers such as for juices, peanut butter, jams and jellies, salad dressings, cooking oils, household cleaners, and cosmetics.
Status of Proceedings:
1. Type of investigations: Final antidumping and countervailing duty.
2. Petitioners: DAK Americas, LLC, Charlotte, NC; M&G Chemicals, Houston, TX; and Nan Ya Plastics Corporation, America, Lake City, SC.
3. Investigations instituted by USITC: March 10, 2015.
4. USITC hearing: March 1, 2016.
5. USITC vote: March 31, 2016.
6. USITC views to the U.S. Department of Commerce: By April 28, 2016.
U.S. Industry:
1. Number of U.S. producers in 2014: 4.
2. Location of producers’ plants: Alabama, Mississippi, Ohio, North Carolina, South Carolina, West Virginia, and Texas.
3. Employment of production-related workers in 2014: 989.
4. U.S. producers’ U.S. shipments in 2014: [1]
5. Apparent U.S. consumption in 2014: 1
6. Ratio of subject imports to apparent U.S. consumption in 2014: 1
U.S. Imports in 2011:
1. From the subject countries during 2011: 1
2. From other countries during 2014: $409 million.
3. Leading sources during 2014: Mexico and Canada (in terms of total value).