The Coalition for Fair Trade in Ceramic Tile¹ group of US ceramic tile manufacturers filed a petition with the Department of Commerce (DOC) and International Trade Commission (ITC) this past Friday, April 19th, alleging imports of ceramic tile from Indian origin have injured domestic manufacturers and flooded the market with uncertified tiles. 

Immediately, the ITC filed a notice of the institution of investigation².  The investigation commences the preliminary phase antidumping and countervailing duty investigation to determine whether there is a reasonable indication that the ceramic tile industry in the United States is materially injured by the imports of ceramic tile from India.   

The petition alleges the imported product is sold in the United States at less than fair value and alleged to be subsidized by the Government of India. The petition looks to impose antidumping duties at an estimated range of 408% to 828% on the import of tiles in addition to countervailing duties to respond to numerous India government subsidies.  

Antidumping duties seek to combat dumping, the practice of exporting goods at prices lower than the domestic market or below the cost of product.  Countervailing duties combat subsidies by foreign governments that artificially lower production costs for foreign manufacturers.

US Antidumping / Countervailing Investigation Process and Timeline 

  1. Petition Filing: Domestic industries can file a petition with the U.S. Department of Commerce (DOC) and the U.S. International Trade Commission (ITC) alleging that foreign companies are selling goods in the U.S. at unfairly low prices, harming domestic producers.
  2. Investigation: The DOC investigates to determine whether dumping is occurring and calculates the margin of dumping, which is the amount by which the foreign goods are being sold at below fair market value.  The investigation typically lasts about six months, during which the DOC collects information, analyzes data, and determines whether dumping is occurring.  Questionnaires were issued to US importers, US producers and foreign producers and are due by May 3, 2024. 
  3. Preliminary Determination: The DOC issues a preliminary determination regarding whether dumping is happening and imposes provisional antidumping duties if necessary to protect domestic industries while the investigation continues.  If provisional antidumping duties are imposed, they typically take effect shortly after the preliminary determination. 
  4. ITC Investigation: Concurrently, the ITC investigates whether the dumped imports are causing injury or threatening to cause injury to the domestic industry. If the ITC finds injury, the investigation proceeds; otherwise, the case is terminated.  The ITC typically makes its preliminary injury determination within 45 days of the DOC’s preliminary determination. 
  5. Final Determination: Following the completion of the investigation, the DOC issues a final determination on whether dumping is occurring and calculates the final dumping margin.  The DOC issues its final determination within about one year of initiating the investigation.
  6. Final ITC Determination: The ITC makes a final determination on whether the domestic industry is being injured or threatened with injury by the dumped imports.  The ITC makes its final injury determination within approximately 45 days after the DOC’s final determination. 
  7. Imposition of Duties: If both the DOC and the ITC make affirmative final determinations, antidumping duties are imposed on the imported goods to offset the dumping margin and alleviate injury to the domestic industry. 

Overall, the entire antidumping investigation process from petition filing to the imposition of duties can usually take around 12 to 18 months, but it can sometimes extend longer depending on the complexity of the case and any procedural delays. 

Need help Navigating the Antidumping Process? Reach out to A Customs Brokerage to ensure you are making the most compliant decisions for your imports! 

– Gabriel Rodriguez, Your Cargo Concierge

info@acb-us.com 

305-805-6797

¹ The Coalition for Fair Trade in Ceramic Tile is comprised of Crossville, Inc., Crossville, TN; Dal-Tile Corporation, Dallas, TX; Del Conca USA, Inc., Loudon, TN; Wonder Porcelain, Lebanon, TN; Landmark Ceramics – UST, Inc., Mount Pleasant, TN; Florim USA, Clarksville, TN; Florida Tile, Lexington, KY; Portobello America Manufacturing LLC, Pompano Beach, FL; and StonePeak Ceramics Inc., Chicago, IL.

² https://www.usitc.gov/secretary/fed_reg_notices/701_731/701_720_notice04222024sgl.pdf