According to the second sunset review decision on the countervailing duty investigation on imported steel coat hangers issued on July 3, 2023, the U.S. Department of Commerce (DOC) announced that it would continue to apply countervailing duties on steel coat hangers imported from Vietnam at a rate of 31.58%.
Based on the conclusion of the U.S. Department of Commerce, imported steel coat hangers from Vietnam to the United States will continue to be subject to a 31.58% countervailing duty, except for one individual company which will face a separate duty rate of 90.42%.
It is worth noting that the general duty rate of 31.58% remains unchanged from the current level. Therefore, the DOC has not increased or decreased the overall duty rate for imported steel coat hangers from Vietnam.
The review investigation was initiated on April 3, 2023. However, even after the information was issued, no Vietnamese companies actively participated in the review.
In light of this situation, Vietnamese companies are recommended to contact the U.S. Department of Commerce to calculate the beneficial separate countervailing duty rate for their businesses, in order to avoid being subject to a higher general duty rate than necessary.
This can be done when new exporters conduct new exporting to the U.S. market.
To receive assistance in requesting a beneficial separate duty rate for their businesses, Vietnamese companies that export steel coat hangers to the United States should reach out to a reputable law firm specializing in anti-dumping, countervailing, and trade remedy in Vietnam and internationally to receive timely support.
According to information from the Vietnam Administration of Trade Remedies, a sunset review is conducted immediately before the expiration of 5 years from the date of the official decision to apply anti-dumping measures or from the date of the review results (if the review is conducted for both anti-dumping margins and injury).
The review is conducted at the request of the interested party or based on the decision of the investigating authority. If the review results indicate that the discontinuation of anti-dumping or countervailing measures may lead to the continuation or recurrence of dumping and injury, the anti-dumping or countervailing duty will continue to be applied for another 5 years.
Under Article 62, Decree No. 10/2018/ND-CP, no later than 12 months before the expiration of the validity period of anti-dumping or countervailing measures, the investigating authority shall announce the acceptance of requests for the final review of the application of anti-dumping or countervailing measures.
According to the regulations in Article 64 of Decree No. 10, based on the review conclusion of the investigating authority, the Minister of the Ministry of Industry and Trade shall issue one of the following decisions:
- Extend the application of anti-dumping or countervailing measures in cases where the final conclusion determines that the elimination of anti-dumping or countervailing measures may lead to the continuation or recurrence of dumping or injury to the domestic industry.
- Terminate the application of anti-dumping or countervailing measures in cases where domestic producers request the final review to withdraw the request for review or the final conclusion of the investigating authority determines that there is no possibility of continuation or recurrence of dumping or injury to the domestic industry.