June 18, 2018
News Release 18-074
Contact: Peg O'Laughlin, 202-205-1819
David S. Johanson Becomes Chairman of U.S. International Trade Commission

On June 17th, 2018, David S. Johanson became Chairman of the U.S. International Trade Commission (USITC).  He succeeded outgoing Chairman Rhonda K. Schmidtlein, whose term as Chairman expired on June 16, 2018.  Johanson, the senior Republican on the Commission, became Chairman by operation of law in the absence of a Presidential designation.

Johanson was nominated to the USITC by President Barack Obama on April 8, 2011, and confirmed by the U.S. Senate on October 31, 2011.  He was sworn in as a member of the Commission on December 8, 2011, for the Commission term expiring on December 16, 2018.  He served as Vice Chairman of the USITC from August 11, 2016, to June 16, 2018.

Johanson served as International Trade Counsel on the Republican staff of the Committee on Finance of the U.S. Senate from 2003 until his USITC appointment.  While on the staff of the Committee on Finance, he was responsible for legislative and policy matters involving negotiations of the World Trade Organization, the Free Trade Area of the Americas, the Trans-Pacific Partnership, and numerous free trade agreements.  He assisted in the passage of implementing legislation for free trade agreements between the United States and Australia, Bahrain, Chile, Colombia, Costa Rica, the Dominican Republic, El Salvador, Guatemala, Honduras, Morocco, Nicaragua, Oman, Panama, Peru, Singapore, and South Korea.  He also worked on legislative matters concerning trade preference programs (the Generalized System of Preferences, the African Growth and Opportunity Act, the Caribbean Basin Initiative, and the Andean Trade Preference Act), Miscellaneous Tariff Bills, Trade Adjustment Assistance, and the trade-related provisions of the 2008 Farm Bill. 

Prior to his employment at the Committee on Finance, he practiced international trade law for six years at the law firm of Stewart and Stewart in Washington, D.C.  Earlier in his career, he worked for Senator Phil Gramm (R-TX), Representative Wally Herger (R-CA), and Representative George Radanovich (R-CA). 

Johanson holds a Bachelor of Arts degree from Stanford University, a Master of Philosophy degree from Cambridge University, and a Juris Doctor degree from the University of Texas School of Law.  Chairman Johanson is an Eagle Scout. He is originally from Austin, Texas. 

The USITC is an independent, nonpartisan, quasi-judicial federal agency that makes determinations in proceedings involving imports claimed to injure a domestic industry or violate U.S. intellectual property rights; provides independent tariff, trade, and competitiveness-related analysis and information to the legislative and executive branches of government; and maintains the U.S. tariff schedule.  Commissioners are appointed by the President and confirmed by the Senate for nine year terms, unless they are appointed to fill unexpired terms.

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June 15, 2018
News Release 18-073
Inv. No(s). 337-TA-1120
Contact: Peg O'Laughlin, 202-205-1819
USITC Institutes Section 337 Investigation of Certain Human Milk Oligosaccharides and Methods of Producing the Same

The U.S. International Trade Commission (USITC) has voted to institute an investigation of certain human milk oligosaccharides and methods of producing the same.  The products at issue in the investigation are 2’-fucosyllactose oligosaccharides.

The investigation is based on a complaint filed by Glycosyn LLC of Waltham, MA, on April 2, 2018.  An amended complaint was filed on May 16, 2018.  The complaint, as amended, alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain human milk oligosaccharides and methods of producing the same that infringe patents asserted by the complainant.  The complainant requests that the USITC issue a limited exclusion order and a cease and desist order.

The USITC has identified Jennewein Biotechnologie GmbH of Rheinbreitbach, Germany, as the respondent in this investigation.

By instituting this investigation (337-TA-1120), the USITC has not yet made any decision on the merits of the case.  The USITC’s Chief Administrative Law Judge will assign the case to one of the USITC’s administrative law judges (ALJ), who will schedule and hold an evidentiary hearing.  The ALJ will make an initial determination as to whether there is a violation of section 337; that initial determination is subject to review by the Commission.

The USITC will make a final determination in the investigation at the earliest practicable time.  Within 45 days after institution of the investigation, the USITC will set a target date for completing the investigation.  USITC remedial orders in section 337 cases are effective when issued and become final 60 days after issuance unless disapproved for policy reasons by the U.S. Trade Representative within that 60-day period.

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June 15, 2018
News Release 18-072
Inv. No(s). 731-TA-1103 (Second Review)
Contact: Peg O'Laughlin, 202-205-1819
USITC Makes Determination in Five-Year (Sunset) Review Concerning Activated Carbon from China

The U.S. International Trade Commission (USITC) today determined that revoking the existing antidumping duty order on imports of activated carbon from China would be likely to lead to continuation or recurrence of material injury within a reasonably foreseeable time. 

As a result of the Commission’s affirmative determination, the existing antidumping duty order on imports of this product from China will remain in place.

Chairman Rhonda K. Schmidtlein, Vice Chairman David S. Johanson, and Commissioners Irving A. Williamson, Meredith M. Broadbent, and Jason E. Kearns voted in the affirmative.

Today’s action comes under the five-year (sunset) review process required by the Uruguay Round Agreements Act.  See the attached page for background on this five-year (sunset) review.

The Commission’s public report Activated Carbon from China (Inv. No. 731-TA-1103 (Second Review), USITC Publication 4797, June 2018) will contain the views of the Commission and information developed during the review.

The report will be available by July 18, 2018; when available, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.


BACKGROUND

The Uruguay Round Agreements Act requires the Department of Commerce to revoke an antidumping or countervailing duty order, or terminate a suspension agreement, after five years unless the Department of Commerce and the USITC determine that revoking the order or terminating the suspension agreement would be likely to lead to continuation or recurrence of dumping or subsidies (Commerce) and of material injury (USITC) within a reasonably foreseeable time.

The Commission’s institution notice in five-year reviews requests that interested parties file responses with the Commission concerning the likely effects of revoking the order under review as well as other information.  Generally within 95 days from institution, the Commission will determine whether the responses it has received reflect an adequate or inadequate level of interest in a full review.  If responses to the USITC’s notice of institution are adequate, or if other circumstances warrant a full review, the Commission conducts a full review, which includes a public hearing and issuance of questionnaires.

The Commission generally does not hold a hearing or conduct further investigative activities in expedited reviews.  Commissioners base their injury determination in expedited reviews on the facts available, including the Commission’s prior injury and review determinations, responses received to its notice of institution, data collected by staff in connection with the review, and information provided by the Department of Commerce.

The five-year (sunset) review concerning Activated Carbon from China was instituted on February 1, 2018.

On May 7, 2018, the Commission voted to conduct an expedited review.  Chairman Rhonda K. Schmidtlein and Commissioners Irving A. Williamson and Jason E. Kearns concluded that the domestic group response for this review was adequate and the respondent group response was inadequate and voted for an expedited review.  Vice Chairman David S. Johanson and Commissioner Meredith M. Broadbent concluded that both the domestic group response and the respondent group response were adequate and voted for a full review. 

A record of the Commission’s vote to conduct an expedited review is available from the Office of the Secretary, U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436.  Requests may be made by telephone by calling 202-205-1802.

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June 13, 2018
News Release 18-071
Inv. No(s). 332-345
Contact: Peg O'Laughlin, 202-205-1819
U.S. Services Providers Remain Competitive in the Global Services Market, Reports USITC

The United States is the world's largest services market and was the world’s leading exporter and importer of services in 2016, reports the U.S. International Trade Commission (USITC) in its new publication Recent Trends in U.S. Services Trade, 2018 Annual Report.

The USITC, an independent, nonpartisan, factfinding federal agency, compiles the report annually. Each year's report presents a qualitative and quantitative overview of U.S. trade in services and highlights some of the services sectors and geographic markets that contribute substantially to recent services trade performance.

This year’s report focuses on electronic services and includes chapters on three specific industries: audiovisual services, computer services, and telecommunication services. Each chapter analyzes global market conditions in the industry, examines recent trade performance, and summarizes the industry’s outlook.

The report describes trade in services via cross-border transactions through 2016 and via sales by and purchases from affiliates of services firms through 2015 (latest available data). Highlights include:

  • In 2016, the value of U.S. cross-border commercial services exports was $733.6 billion, while imports totaled $483.1 billion. The leading markets for cross-border U.S. services exports were the UK, China, Canada, Ireland, and Japan. Similarly, the UK, Germany, Japan, Canada, and India supplied the largest single-country shares of U.S. services imports. Preliminary data also indicate that in 2017, U.S. cross-border services exports increased to $761.7 billion, while imports rose to $516.0 billion.

  • In 2015, sales by foreign affiliates of U.S. services firms totaled $1.4 trillion, while purchases from U.S. affiliates of foreign services firms totaled $952.5 billion. The largest markets for sales of services by U.S.-owned foreign affiliates were the UK, Canada, and Ireland. The largest shares of purchases were from firms based in Japan, the UK, and Germany.

  • Electronic services accounted for 12.7 percent ($93.4 billion) of total U.S. cross-border services exports and 11.2 percent ($54.3 billion) of imports in 2016. Foreign affiliates of U.S. electronic services firms represented 18.5 percent ($270.1 billion) of sales by U.S.-owned foreign affiliates in all industries in 2015, while U.S. affiliates of foreign electronic services firms represented 13.9 percent ($132.7 billion) of purchases from foreign-owned U.S. affiliates in all industries.

  • In 2016, value added by the U.S. electronic services sector was $989 billion, and the sector accounted for 6.9 percent of U.S. private sector GDP. Electronic services accounted for a small share of total U.S. private sector employment in 2016, with 3.7 million full-time equivalent employees (3.2 percent of total private sector employment). The sector had average output per worker of $265,717, and electronic services workers earned an average wage of $106,052.

  • Audiovisual services are growing rapidly worldwide, and the Chinese market is of growing interest to U.S. filmmakers, though state censorship and foreign film quotas limit market access. In emerging markets, computer services are becoming widely available via mobile devices; additionally, goods manufacturers are increasingly building computer-enabled services into their production processes. U.S. telecommunications carriers are investing in network infrastructure, connecting a growing array of devices to the internet, and entering content and advertising markets.

  • The USITC hosted its 11th annual services roundtable on October 25, 2017. The discussion, summarized in the report, focused on the relationship between goods and services trade, and recent developments in the tradability of services.

Recent Trends in U.S. Services Trade, 2018 Annual Report (Investigation No. 332-345, USITC publication 4789) is available on the USITC's Internet site at http://www.usitc.gov/publications/332/pub4789.pdf.

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June 7, 2018
News Release 18-070
Inv. No(s). 337-TA-1119
Contact: Peg O'Laughlin, 202-205-1819
USITC Institutes Section 337 Investigation of Certain Infotainment Systems, Components Thereof, and Automobiles Containing the Same

The U.S. International Trade Commission (USITC) has voted to institute an investigation of certain infotainment systems, components thereof, and automobiles containing the same.  The products at issue in the investigation are head units, rear seat entertainment units, units for displaying information or entertainment, and cameras, controllers, processing components, modules, chips, GNSS processing devices, and circuits used therein or therewith, along with the automobiles that contain such infotainment systems and components.

The investigation is based on a complaint filed by Broadcom Corporation of San Jose, CA, on May 7, 2018.  The complaint alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain infotainment systems, components thereof, and automobiles containing the same that infringe patents asserted by the complainant.  The complainant requests that the USITC issue a limited exclusion order and cease and desist orders.

The USITC has identified the following as respondents in this investigation:

Toyota Motor Corporation of Toyota City, Aichi Prefecture, Japan;
Toyota Motor North America, Inc., of Plano, TX;
Toyota Motor Sales, U.S.A., Inc., of Plano, TX;
Toyota Motor Engineering & Manufacturing North America, Inc., of Plano, TX;
Toyota Motor Manufacturing, Indiana, Inc., of Princeton, IN;
Toyota Motor Manufacturing, Kentucky, Inc., of Erlanger, KY;
Toyota Motor Manufacturing, Mississippi, Inc., of Tupelo, MS;
Toyota Motor Manufacturing, Texas, Inc., of San Antonio, TX;
Panasonic Corporation of Osaka, Japan;
Panasonic Corporation of North America of Newark, NJ;
Denso Ten Limited of Kobe City, Japan;
Denso Ten America Limited of Torrance, CA;
Renesas Electronics Corporation of Tokyo, Japan;
Renesas Electronics America, Inc., of Milpitas, CA; and
Japan Radio Co., Ltd., of Tokyo, Japan.

By instituting this investigation (337-TA-1119), the USITC has not yet made any decision on the merits of the case.  The USITC’s Chief Administrative Law Judge will assign the case to one of the USITC’s administrative law judges (ALJ), who will schedule and hold an evidentiary hearing.  The ALJ will make an initial determination as to whether there is a violation of section 337; that initial determination is subject to review by the Commission. The USITC will make a final determination in the investigation at the earliest practicable time.  Within 45 days after institution of the investigation, the USITC will set a target date for completing the investigation.  USITC remedial orders in section 337 cases are effective when issued and become final 60 days after issuance unless disapproved for policy reasons by the U.S. Trade Representative within that 60-day period.

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June 6, 2018
News Release 18-069
Inv. No(s). 337-TA-1118
Contact: Peg O'Laughlin, 202-205-1819
USITC Institutes Section 337 Investigation of Certain Movable Barrier Operator Systems and Components Thereof

The U.S. International Trade Commission (USITC) has voted to institute an investigation of certain movable barrier operator systems and components thereof.  The products at issue in the investigation are garage door operators and gate operators.

The investigation is based on a complaint filed by The Chamberlain Group, Inc., of Oak Brook, IL, on May 4, 2018.  The complaint alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain movable barrier operator systems and components thereof that infringe patents asserted by the complainant.  The complainant requests that the USITC issue a limited exclusion order and cease and desist orders.

The USITC has identified the following as respondents in this investigation:

Nortek Security & Control, LLC f/k/a Linear, LLC, of Carlsbad, CA;
Nortek Inc. of Providence, RI; and
GTO Access Systems, LLC f/k/a Gates That Open, LLC, of Tallahassee, FL.

By instituting this investigation (337-TA-1118), the USITC has not yet made any decision on the merits of the case.  The USITC’s Chief Administrative Law Judge will assign the case to one of the USITC’s administrative law judges (ALJ), who will schedule and hold an evidentiary hearing.  The ALJ will make an initial determination as to whether there is a violation of section 337; that initial determination is subject to review by the Commission.

The USITC will make a final determination in the investigation at the earliest practicable time.  Within 45 days after institution of the investigation, the USITC will set a target date for completing the investigation.  USITC remedial orders in section 337 cases are effective when issued and become final 60 days after issuance unless disapproved for policy reasons by the U.S. Trade Representative within that 60-day period.

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June 6, 2018
News Release 18-068
Inv. No(s). 337-TA-1117
Contact: Peg O'Laughlin, 202-205-1819
USITC Institutes Section 337 Investigation of Certain Full-Capture Arrow Rests and Components Thereof

The U.S. International Trade Commission (USITC) has voted to institute an investigation of certain full-capture arrow rests and components thereof.  The products at issue in the investigation are arrow rests having a slotted circular shaped ring with bristles pointed inwardly to provide radial support for an arrow.

The investigation is based on a complaint filed by Bear Archery, Inc., of Evansville, IN, on May 4, 2018.  The complaint alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain full-capture arrow rests and components thereof that infringe a patent asserted by the complainant.  The complainant requests that the USITC issue a general exclusion order, or in the alternative a limited exclusion order.

The USITC has identified the following as respondents in this investigation:

2BULBS Technology Co. Ltd. of Nanjing, Jiangsu, China;
Ningbo Linkboy Outdoor Sports Co., Ltd., of Ningbo, Zhejiang, China;
Shenzhen Keepmyway Tech. Co., Ltd., of Shenzhen, Guangdong, China;
Zhengzhou IRQ Outdoor Sports Co., Ltd., of Zhengzhou, Henan, China;
Wenqing Zhang of Shenzhen, Guangdong, China;
Tingting Ye of Shenzhen, Guangdong, China;
Tao Li of Shenzhen, Guangdong, China; and
Sean Yuan of Qingdao, Shandong, China.

By instituting this investigation (337-TA-1117), the USITC has not yet made any decision on the merits of the case.  The USITC’s Chief Administrative Law Judge will assign the case to one of the USITC’s administrative law judges (ALJ), who will schedule and hold an evidentiary hearing.  The ALJ will make an initial determination as to whether there is a violation of section 337; that initial determination is subject to review by the Commission.

The USITC will make a final determination in the investigation at the earliest practicable time.  Within 45 days after institution of the investigation, the USITC will set a target date for completing the investigation.  USITC remedial orders in section 337 cases are effective when issued and become final 60 days after issuance unless disapproved for policy reasons by the U.S. Trade Representative within that 60-day period.

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June 1, 2018
News Release 18-067
Inv. No(s). 332-566
Contact: Peg O'Laughlin, 202-205-1819
USITC Releases Report Related to Extension of Trade Authorities Procedures

The U.S. International Trade Commission (USITC) has submitted to Congress a statutorily required report related to the President’s request to Congress for an extension of his trade authorities procedures.

The President submitted a request to Congress on March 20, 2018, for an extension of trade authorities procedures, commonly known as trade promotion authority.  At the same time, the USTR notified the USITC of the President’s request.  The Bipartisan Congressional Trade Priorities and Accountability Act of 2015 (Bipartisan Trade Act) requires the USITC, having been notified of the President’s request, to provide a report to Congress that contains a review and analysis of the economic impact on the United States of all trade agreements implemented between the date of the enactment of the Bipartisan Trade Act and the date of the President’s notification to Congress. 

The USITC, an independent, nonpartisan, factfinding federal agency, found that no trade agreements were implemented under the Bipartisan Trade Act between the date of its enactment and March 20, 2018.  While at least one trade agreement was negotiated during this period, the Trans-Pacific Partnership Agreement, it was not implemented during this period.

Trade Authorities Extension:  Economic Impact of Trade Agreements Implemented under the Bipartisan Trade Act of 2015 (Investigation No. 332-566, USITC publication 4792, June 2018) is available on the USITC's Internet site at https://www.usitc.gov/publications/332/pub4792.pdf.

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May 31, 2018
News Release 18-064
Inv. No(s). 337-TA-1116
Contact: Peg O'Laughlin, 202-205-1819
USITC Institutes Section 337 Investigation of Certain Blood Cholesterol Testing Strips and Associated Systems Containing the Same

The U.S. International Trade Commission (USITC) has voted to institute an investigation of certain blood cholesterol testing strips and associated systems containing the same.  The products at issue in the investigation are blood cholesterol testing products, which include meters, test strips, and associated systems.

The investigation is based on a complaint filed by Polymer Technology System, Inc., of Indianapolis, IN, on April 30, 2018.  The complaint alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain blood cholesterol testing strips and associated systems containing the same that infringe patents asserted by the complainant.  The complainant requests that the USITC issue a limited exclusion order and a cease and desist order.

The USITC has identified the following as respondents in this investigation:

ACON Laboratories, Inc., of San Diego, CA; and
ACON Biotech (Hangzhou) Co., Ltd., of Hangzhou Zhejiang, China.

By instituting this investigation (337-TA-1116), the USITC has not yet made any decision on the merits of the case.  The USITC’s Chief Administrative Law Judge will assign the case to one of the USITC’s administrative law judges (ALJ), who will schedule and hold an evidentiary hearing.  The ALJ will make an initial determination as to whether there is a violation of section 337; that initial determination is subject to review by the Commission.

The USITC will make a final determination in the investigation at the earliest practicable time.  Within 45 days after institution of the investigation, the USITC will set a target date for completing the investigation.  USITC remedial orders in section 337 cases are effective when issued and become final 60 days after issuance unless disapproved for policy reasons by the U.S. Trade Representative within that 60-day period.

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May 31, 2018
News Release 18-063
Inv. No(s). 337-TA-1115
Contact: Peg O'Laughlin, 202-205-1819
USITC Institutes Section 337 Investigation of Certain Blow-Molded Bag-in-Container Devices, Associated Components, and End Products Containing or Using Same

The U.S. International Trade Commission (USITC) has voted to institute an investigation of certain blow-molded bag-in-container devices, associated components, and end products containing or using same.  The products at issue in the investigation are bag-in-container systems, associated components, and end products that allow for pressurized gas to be introduced into the system while preventing contact between the gas and beverage (usually beer) within the container.

The investigation is based on a complaint filed by Anheuser-Busch InBev S.A. of Leuven, Belgium, and Anheuser-Busch, LLC, of St. Louis, MO, on April 30, 2018.  Supplements to the complaint were filed on May 4, 2018, and May 15, 2018.  The complaint, as supplemented, alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain blow-molded bag-in-container devices, associated components, and end products containing or using same that infringe patents asserted by the complainants.  The complainants request that the USITC issue a limited exclusion order and cease and desist orders.

The USITC has identified the following as respondents in this investigation:

Heineken International B.V. of Amsterdam, Netherlands;
Heineken N.V. of Amsterdam, Netherlands;
Heineken USA Inc. of White Plains, NY;
Heineken Holding N.V. of Amsterdam, Netherlands;
Heineken Beer Systems B.V. of Amsterdam, Netherlands;
Heineken Brouwerijen B.V. of Amsterdam, Netherlands;
Heineken Export Americas B.V. of Amsterdam, Netherlands; and
Heineken Global Procurement B.V. of Amsterdam, Netherlands.

By instituting this investigation (337-TA-1115), the USITC has not yet made any decision on the merits of the case.  The USITC’s Chief Administrative Law Judge will assign the case to one of the USITC’s administrative law judges (ALJ), who will schedule and hold an evidentiary hearing.  The ALJ will make an initial determination as to whether there is a violation of section 337; that initial determination is subject to review by the Commission.

The USITC will make a final determination in the investigation at the earliest practicable time.  Within 45 days after institution of the investigation, the USITC will set a target date for completing the investigation.  USITC remedial orders in section 337 cases are effective when issued and become final 60 days after issuance unless disapproved for policy reasons by the U.S. Trade Representative within that 60-day period.

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