On May 31, 2023, the United States Department of Commerce (DOC) announced the receipt of an anti-dumping investigation request for paper shopping bags imported from Vietnam, filed by the Coalition for Fair Trade in Shopping Bags USA represents the domestic US shopping bag businesses.
According to information in the investigation request, Vietnam has increased the export value of paper shopping bags to the United States to an alarming level in 2022, worth approximately $162 million in 2022, second only to China in all countries exporting this item.
Although the data is different, the United States International Trade Commission (USITC) also confirmed in their preliminary report that in 2022, Vietnam exported about 143.9 million USD of products subject to the proposed investigation to the US, an increase of 37.6% compared to 2021, accounting for about 15% of the total export turnover of countries to the US, ranking second in export turnover (of which China ranks first with about 34% of total exports of investigational products of countries to the United States).
Based on data on the status of exports of paper shopping bags to the United States, which cause serious injury or threaten to cause serious injury to the domestic industry, Coalition for Fair Trade in Shopping Bags of USA has filed a petition to investigate 9 countries on the allegation of dumping paper shopping bags including Vietnam and China.
The total export turnover of the 9 countries proposed for investigation accounts for about 67% of the total export turnover of products subject to investigation to the United States.
Paper shopping bags products are of HS codes 4819.30.0040 and 4819.40.0040. Case code: A-552-836.
Anti-dumping investigation on paper shopping bags imported from Vietnam
For Vietnam, the application for investigation named 13 Vietnamese enterprises with the alleged dumping margin ranging from 63.67% to 128.81%. The proposed investigation period is from October 1, 2022 to March 31, 2023.
Since the United States considers Vietnam to be a non-market economy country, the DOC will use third-country substitutions to calculate the dumping margin for Vietnam. Plaintiff proposed to use Indonesia as an alternative country because according to them, Indonesia has a similar level of economic development to Vietnam and objectively reflects the import and export status of paper shopping bags.
Currently, the application is being processed by the International Trade Commission according to regulations. It is expected that, on June 20, 2023, the US Department of Commerce will issue a decision to initiate an investigation and accordingly, will send survey questionnaires to exporters of Vietnam and other countries according to the regulations of US law on trade remedies.
In order to ensure their legitimate interests, the enterprises manufacturing paper bags in Vietnam to the USA should contact a reputable anti-dumping and trade remedy law firm to receive timely legal support and actively cooperate with investigating agencies during the investigation process such as sending answers, supplementing information,…
The investigation request file can be downloaded here.