FAQs – U.S. Pea Protein Trade Case
What are anti-dumping duties?
Anti-dumping duties are imposed when domestic industry is injured by a foreign exporter that sells product at a price below the cost of production or the selling price in their home country.
What are countervailing (subsidy) duties?
Countervailing duties are imposed when a government provides benefits to businesses (e.g., direct cash payments, credits against taxes, inputs for less than market price etc.) that distort the prices or costs of products.
What is the purpose of antidumping and countervailing trade laws?
Antidumping and countervailing duties are intended to offset the unfairly dumped and subsidized import pricing, levelling the playing field for domestic industry.
Key Dates
July 12, 2023
Petition filed with United States International Trade Commission (USITC). After a preliminary review, the USITC determines, unanimously, that U.S. industry is materially injured by imports of pea protein from China
December 12, 2023
United States Department of Commerce (DOC) announces preliminary countervailing duties ranging from 15 to 343%. Importers are required to pay cash deposits at the border to cover these preliminary countervailing duty amounts, and this extends retroactively to all import entries made 90 days earlier.
February 8, 2024
DOC scheduled to announce preliminary anti-dumping duties. Cash deposits will be required to be posted by importers to cover these additional duties, and this requirement will also be retroactive 90 days.
Will imports from NutriPea be subject to duties?
No. NutriPea’s production facilities are located in Manitoba, Canada. These duties only apply to imports of pea protein from China.
Why are the duties retroactive 90 days?
On December 12th, 2023, the U.S. Department of Commerce made a preliminary determination that “critical circumstances” existed, making the cash deposit requirement to cover duties retroactive 90 days. This is recognition from the US Department of Commerce that there was a surge of imports since the petition was filed which has negatively impacted the industry. If follow-up final determinations are made that “critical circumstances” existed, retroactive assessment of full duty amounts will occur.
What products are subject to duties?
Pea protein derived from green or yellow peas with a protein content equal to or greater 65% (dry basis). This may be identified as pea protein concentrate, pea protein isolate, hydrolyzed pea protein, pea peptides, and fermented pea protein. In addition, pea protein that has been blended, combined, or mixed with other products is included within the scope.
Need more information on how this will affect your business?
Located in the heart of Canada, NutriPea is a leader in the production of pea protein isolates with over 40 years experience. Contact us to learn more.
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