China aims for lower punitive tax from ITC

23/01/2013 12:00 - 452 Views

China may have a chance to avoid the U.S. anti-dumping and anti-subsidy tax.

In an International Trade Commission (ITC) meeting about the anti-dumping and anti-subsidy case against China's and Vietnam's wind power projects, six commissioners had differing opinions.

The commissioners will each vote for one of three options regarding the presumed impact of Chinese and Vietnamese industry practices on competing businesses in the United States. According to Yang Chen, the attorney representing China in the case, two of the six commissioners are expected to vote for “substantial damage”, one vote to “no-substantial damage”, and the other three vote to "no substantial damage and no substantial threat".

According to Yang, the ITC will announce the final results within two weeks, and will publish a report on Feb. 20, which there being a high possibility that the final result will be a "substantial threat". "But the vote result shows hope, it's not common in the similar cases," he said.

Last December, the U.S. Department of Commerce had decided to levy a 44.99 percent to 70.63 percent anti-dumping tax and 21.86 percent to 34.81 percent anti-subsidy tax on China's wind power tower drum. The ITC results will be the final step in the proceedings of this case.

Yang said that since the vote ratio is 3:3, it's almost impossible to decide that China's related products have no damage or threat to the same industry in the United States and China needs to strive for a judgment of "substantial threat", thus reducing the loss for Chinese companies.

Zhou Jianzhong, sales manager of Titan Wind Energy (Suzhou) Co. and also one of the largest companies involved, said that it will try to appeal with other industry associations.

January 22, 2:33 PM

By June Yang

Source: morningwhistle.com