Chinese Fuel Tanks Hit With Duty

The Canada Border Services Agency announced that provisional duties ranging from 39.4% to 83.4% are being imposed on imports of replacement steel fuel tanks from the People’s Republic of China and Chinese Taipei.
This decision follows an investigation that the CBSA initiated on December 19, 2003, after receiving a complaint filed by Spectra Premium Industries Inc. of Boucherville, Que.
The company asserted that it had been exposed to financial damage following the importation of replacement steel fuel tanks.
The preliminary results of the CBSA’s investigation show that imports from the two countries were dumped into Canada by amounts that averaged 39.4% for imports from the People’s Republic of China and 83.4% for imports from Chinese Taipei.
Provisional duties are being imposed to offset the dumping. Provisional duties are expressed as a percentage of export prices.
Dumping occurs when goods are sold to importers in Canada at prices that are inferior to the selling prices in the exporter’s domestic market or at unprofitable prices.
The Special Import Measures Act protects Canadian producers from the damaging effects of such unfair trade. On February 17, 2004, the Canadian International Trade Tribunal (Tribunal) made a preliminary determination that the evidence disclosed a reasonable indication that the dumping of certain steel fuel tanks has caused injury to the Canadian industry.
The Tribunal will now conduct a full inquiry into the question of injury and is expected to issue its final decision by August 31, 2004.
At the same time, the CBSA will continue its investigation and will make a final decision on the dumping by August 3, 2004.
A copy of the Statement of Reasons, which provides more details about this investigation, will be available on request from the Anti-dumping and Countervailing Directorate and at the following Web site: www.cbsa.gc.ca/sima within 15 days.