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Chinese wine bottles hit with US tariffs
Wine bottle manufacturers from China, Chile and Mexico are facing US tariffs as high as 218.15% as part of an anti-dumping investigation.
The US Department of Commerce (DoC) has accused Chinese, Chilean and Mexican glass wine bottle producers of selling their products in the States at unfairly low prices.
According to reporting by Law360, The US DoC teed up the preliminary duties on Monday, saying its probe into wine bottle imports has thus far shown that overseas producers were dumping their products in the country.
The early rates include dumping duties between 21.77% and 27.97% for more than a dozen manufacturers in China, but go as high as 218.15%.
Most Chilean wine bottle producers involved in the investigation are facing tariffs between 6.64% and 34.46%, while one company is staring down a 173.91% duty based on an adverse inference, according to Law360’s reporting.
The majority of Mexican companies under scrutiny face duty rates of 14.96% and 18.08%. Three Mexican companies could be hit with 96.95% tariffs.
Lower tariffs have been set for companies which have cooperated with the investigation.
The DoC has been investigating the imports since January.
The probe was triggered by a trade petition from the US Glass Producers Coalition, a group composed of Ardagh Glass Inc. and the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy Allied Industrial and Service Workers International Union.
On top of dumping allegations, the coalition also suspects that the Chinese government is awarding subsidies to Chinese bottle producers, giving them an unfair advantage in the US market.
The DoC has already preliminarily agreed with the coalition and, in May, previewed countervailing duties of 202.70% on wine bottles produced by eight Chinese manufacturers deemed by Commerce to not have fully cooperated with the probe. The sole company found to have complied with the investigation landed a 21.14% preliminary countervailing duty rate.
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