Canada gives final conclusion on anti-dumping duty to upholstered seating from China and Việt Nam

Illustration photo. Canada believed that the majority of Vietnamese enterprises do not receive subsidies from the Government, showing the transparency of the country’s policy and law enforcement. — Photo amazon.com

The Canada Border Service Agency (CBSA) has made a final determination in its investigation into the dumping and subsidising of certain upholstered seating from China and Viet Nam, according to the Ministry of Industry and Trade’s Trade Remedies Authority of Viet Nam (TRAV).

Accordingly, out of eight Vietnamese enterprises that co-operated in the investigation, only one is subject to the anti-subsidy tax of 3.7 per cent and the rest will avoid this tax. The anti-subsidy tax rate for non-cooperating businesses is 5.5 per cent.

The Ministry of Industry and Trade attributed the positive result to the close co-operation between the ministry and relevant agencies and People's Committees of provinces and cities to collect information and answer questions from the Canadian side.

The fact that Canada believed that the majority of Vietnamese enterprises do not receive subsidies from the Government shows the transparency of the country’s policy and law enforcement. It also reflected that Viet Nam's economic sectors are operating in an equally competitive market, said the TRAV.

Regarding the anti-dumping investigation, in the CBSA’s final conclusion, most of the enterprises that co-operated in the investigation receive duty rates ranging from 10 to 20 per cent, compared to preliminary levels of 20-90 per cent.

The duty rate for those who didn’t cooperate in the investigation is up to 179.5 per cent. Meanwhile, Chinese enterprises are subject to anti-subsidy tax from 1.1 to 81.1 per cent and anti-dumping duty of between 9.3 and 188 per cent.

In addition to the CBSA's investigation into dumping and subsidising, the Canadian International Trade Court (CITT) is investigating to determine the damage to the domestic industry.

The Canadian International Trade Tribunal (CITT) is reported to continue its inquiry to determine whether the imports are harming Canadian producers. It is expected to issue a decision by September 2.

According to the Canadian data, during the investigation period of the case from June 2019 to the end of September 2020, the export turnover of upholstered seats from Viet Nam to Canada reached approximately US$135.6 million, accounting for 10.08 per cent of Canada's total imports of this item.

The TRAV has urged the concerned exporters to keep a close watch on the case and fully co-operate with the CBSA during its investigation. — VNS