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AD/CVD: Why You Should Pay Attention

in by Catherine Waldron

AD/CVD is shorthand for “Anti-Dumping and CounterVailing Duties." It’s a big, complex, and sometimes overwhelming topic. Fortunately, there’s a handy guidebook you can download in pdf format, that makes great reading! Check out our Helpful Links page for this and other cool resources.

In a nutshell: foreign companies that price their products in the U.S. market below the cost of production or below prices in their home markets are subject to AD (aka anti-dumping) duties. With renewed focus on enforcement of U.S. trade law, the current administration has initiated administrative reviews of numerous antidumping and countervailing duty orders and findings. That means that things could change because the administrative reviewer might determine that current conditions warrant a different outcome than what may have existed in the past.

The use of anti-dumping cases as a tool to get parity in duty rates from other countries is not a new development. However, the sheer number of such cases and penalties have increased significantly. This can mean duty of 146% on top of the normal duty, so the business impact on importers can be really significant. To avoid surprises, importers need to remain informed and attentive to what is happening with AD/CVD cases. ACM Logistics & Consulting can assist you in understanding how your business may be impacted.

ACM is Here to Help

Check out our helpful links to delve into details, or contact us if you have questions or would like assistance with your customs, shipping, or logistics project.