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News Release 17-101
Inv. No(s). 701-TA-581 and 731-TA-1374-1376 (Preliminary)
Contact: Peg O'Laughlin, 202-205-1819
The United States International Trade Commission (USITC) today determined that there is a reasonable indication that a U.S. industry is materially injured by reason of imports of citric acid and certain citrate salts from Belgium, Colombia, and Thailand that are allegedly sold in the United States at less than fair value and subsidized by the government of Thailand.
Chairman Rhonda K. Schmidtlein, Vice Chairman David S. Johanson, and Commissioners Irving A. Williamson and Meredith M. Broadbent voted in the affirmative.
As a result of the Commission’s affirmative determinations, the U.S. Department of Commerce will continue to conduct its antidumping and countervailing duty investigations on imports of these products from Belgium, Colombia, and Thailand, with its preliminary countervailing duty determination due on or about August 28, 2017, and its antidumping duty determinations due on or about November 9, 2017.
The Commission’s public report Citric Acid and Certain Citrate Salts from Belgium, Colombia, and Thailand (Inv. Nos. 701-TA-581 and 731-TA-1374-1375 (Preliminary), USITC Publication 4710, July 2017) will contain the views of the Commission and information developed during the investigations.
The report will be available after August 14, 2017; when available, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.
UNITED STATES INTERNATIONAL TRADE COMMISSION
Washington, DC 20436
FACTUAL HIGHLIGHTS
Citric Acid and Certain Citrate Salts from Belgium, Colombia, and Thailand
Investigation Nos. 701-TA-581 and 731-TA-1374-1376 (Preliminary)
Product Description: Citric acid and certain citrate salts, specifically sodium citrate and potassium citrate, are chemical products used in the production and formulation of a wide variety of foods, beverages, pharmaceuticals, and cosmetics as well as commercial and household products including detergents, metal cleaners, textile finishing treatments, and other industrial applications. Citric acid, sodium citrate, and potassium citrate are all normally sold as odorless, translucent crystals available in three granulations: granular, fine granular, and powder. Citric acid is also available in solution. Crude calcium citrate (“CCC”) is an intermediate form in the production of citric acid via the lime/sulfuric acid process. CCC can be shipped to another facility for further processing into refined citric acid.
Status of Proceedings:
1. Type of investigations: Preliminary antidumping and countervailing duty.
2. Petitioners: Archer Daniels Midland Co., Decatur, IL; Cargill, Inc., Minneapolis, MN; and Tate & Lyle Ingredients Americas LLC, Hoffman Estates, IL.
3. Preliminary investigations instituted by the USITC: June 2, 2017.
4. Commission’s conference: June 23, 2017.
5. USITC vote: July 14, 2017.
6. USITC determinations to the U.S. Department of Commerce: July 17, 2017.
7. USITC views to the U.S. Department of Commerce: July 24, 2017.
U.S. Industry:
1. Number of producers in 2016: Three.
2. Location of producers’ plants: Iowa, North Carolina, and Ohio.
3. Employment of production and related workers in 2016: 322.
4. Apparent U.S. consumption in 2016: [1]
5. Ratio of the value of total U.S. imports to total U.S. consumption in 2016: 1
U.S. Imports:
1. From the subject countries during 2016: $97.5 million.
2. From other countries during 2016: 1
3. Leading sources during 2016: Canada, Thailand, Colombia, and Belgium (in terms of total value).
[1] Withheld to avoid disclosure of business proprietary information.
News Release 17-100
Inv. No(s). 701-TA-579-580 and 731-TA-1369-1372 (Preliminary)
Contact: Peg O'Laughlin, 202-205-1819
The United States International Trade Commission (USITC) today determined that there is a reasonable indication that a U.S. industry is materially injured by reason of imports of fine denier polyester staple fiber from China, India, Korea, and Taiwan that are allegedly sold in the United States at less than fair value and subsidized by the governments of China and India.
Chairman Rhonda K. Schmidtlein, Vice Chairman David S. Johanson, and Commissioners Irving A. Williamson and Meredith M. Broadbent voted in the affirmative.
As a result of the Commission’s affirmative determinations, the U.S. Department of Commerce will continue to conduct its antidumping and countervailing duty investigations on imports of this product from China, India, Korea, and Taiwan, with its preliminary countervailing duty determinations due on or about August 24, 2017, and its antidumping duty determinations due on or about November 7, 2017.
The Commission’s public report Fine Denier Polyester Staple Fiber from China, India, Korea, and Taiwan (Inv. Nos. 701-TA-579-580 and 731-TA-1369-1372 (Preliminary), USITC Publication 4709, July 2017) will contain the views of the Commission and information developed during the investigations.
The report will be available after August 14, 2017; when available, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.
UNITED STATES INTERNATIONAL TRADE COMMISSION
Washington, DC 20436
FACTUAL HIGHLIGHTS
Fine Denier Polyester Staple Fiber from China, India, Korea, and Taiwan
Investigation Nos. 701-TA-579-580 and 731-TA-1369-1172 (Preliminary)
Product Description: Fine denier PSF is a manmade fiber, similar in appearance to cotton or wool. The distinguishing physical characteristics of fine denier polyester staple fiber include the denier count and the length of the fiber. Other variable characteristics of fine denier PSF may be the finish (“luster”) applied to the fiber, and the “crimp” of the fiber, which impacts the fiber’s tenacity, or strength. Fine denier PSF is used for knit, woven, and nonwoven applications. Knit or woven applications include the production of textiles, such as clothing and bed linens. Nonwoven applications include the production of household and hygiene products such as baby wipes, diapers, or coffee filters.
Status of Proceedings:
1. Type of investigations: Preliminary antidumping and countervailing duty.
2. Petitioners: DAK Americas LLC, Charlotte, NC; Nan Ya Plastics Corporation, America, Lake City, SC; and Auriga Polymers Inc., Charlotte NC.
3. Preliminary investigations instituted by the USITC: May 31, 2017.
4. Commission’s conference: June 21, 2017.
5. USITC vote: July 14, 2017.
6. USITC determinations to the U.S. Department of Commerce: July 17, 2017.
7. USITC views to the U.S. Department of Commerce: July 24, 2017.
U.S. Industry:
1. Number of producers in 2016: Five.
2. Location of producers’ plants: North Carolina, South Carolina.
3. Employment of production and related workers in 2016: [1]
4. Apparent U.S. consumption in 2016: 623.2 million pounds.
5. Ratio of the value of total U.S. imports to total U.S. consumption in 2016: 1
U.S. Imports:
1. From the subject countries during 2016: 1
2. From other countries during 2016: 1
3. Leading sources during 2016: China, India, Korea, and Taiwan (in terms of total value).
[1] Withheld to avoid disclosure of business proprietary information.
News Release 17-099
Inv. No(s). 731-TA-703 (Fourth Review)
Contact: Peg O'Laughlin, 202-205-1819
The U.S. International Trade Commission (USITC) today determined that revoking the existing antidumping duty order on imports of furfuryl alcohol 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 and Meredith M. Broadbent 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 Furfuryl Alcohol from China (Inv. No. 731-TA-703 (Fourth Review), USITC Publication 4708, July 2017) will contain the views of the Commission and information developed during the review.
The report will be available by August 18, 2017; 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 Furfuryl Alcohol from China was instituted on January 3, 2017.
On April 10, 2017, the Commission voted to conduct an expedited review. Chairman Rhonda K. Schmidtlein, and Commissioners Irving A. Williamson, Meredith M. Broadbent, and F. Scott Kieff 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 concluded that the domestic group response for this review was adequate and that the respondent group response was inadequate, but that circumstances warranted 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.
News Release 17-098
Inv. No(s). 731-TA-410 (Fourth Review)
Contact: Peg O'Laughlin, 202-205-1819
The U.S. International Trade Commission (USITC) today determined that revoking the existing antidumping duty order on imports of light-walled rectangular pipe and tube from Taiwan 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 Taiwan will remain in place.
Chairman Rhonda K. Schmidtlein, Vice Chairman David S. Johanson, and Commissioners Irving A. Williamson and Meredith M. Broadbent 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 Light-Walled Rectangular Pipe and Tube from Taiwan (Inv. No. 731-TA-410 (Fourth Review), USITC Publication 4707, July 2017) will contain the views of the Commission and information developed during the review.
The report will be available by August 15, 2017; 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 Light-Walled Rectangular Pipe and Tube from Taiwan was instituted on January 3, 2017.
On April 10, 2017, the Commission voted to conduct an expedited review. Chairman Rhonda K. Schmidtlein, Vice Chairman David S. Johanson, and Commissioners Irving A. Williamson, Meredith M. Broadbent, and F. Scott Kieff concluded that the domestic group response for this review was adequate and the respondent group response was inadequate and voted for an expedited 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.
News Release 17-092
Inv. No(s). 337-TA-1061
Contact: Peg O'Laughlin, 202-205-1819
The U.S. International Trade Commission (USITC) has voted to institute an investigation of certain bar code readers, scan engines, products containing the same, and components thereof. The products at issue in the investigation are bar code readers, including 2D bar code readers, that can adjust to various environmental conditions (e.g., changes in lighting, scan angle) to read a bar code.
The investigation is based on a complaint filed by Honeywell International, Inc., of Morris Plains, NJ; Hand Held Products, Inc., d/b/a Honeywell Scanning and Mobility of Fort Mill, SC; and Metrologic Instruments, Inc., d/b/a Honeywell Scanning and Mobility of Fort Mill, SC, on May 23, 2017. The complaint alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain bar code readers, scan engines, products containing the same, and components thereof that infringe certain claims of the 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:
The Code Corporation of Draper, UT; and
Cortex Ptd. Ltd. of Inno Center, Singapore.
By instituting this investigation (337-TA-1061), 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.
News Release 17-091
Inv. No(s). 701-TA-564 and 731-TA-1338 and 1340 (Final)
Contact: Peg O'Laughlin, 202-205-1819
The United States International Trade Commission (USITC) today determined that a U.S. industry is materially injured by reason of imports of steel concrete reinforcing bar from Japan and Turkey that the U.S. Department of Commerce (Commerce) has determined are sold in the United States at less than fair value and subsidized by the government of Turkey.
Chairman Rhonda K. Schmidtlein, Vice Chairman David S. Johanson, and Commissioners Irving A. Williamson, Meredith M. Broadbent, and F. Scott Kieff voted in the affirmative.
As a result of the USITC’s affirmative determinations, Commerce will issue antidumping duty orders on imports of this product from Japan and Turkey and a countervailing duty order on imports of this product from Turkey.
The Commission’s public report Steel Concrete Reinforcing Bar from Japan and Turkey (Investigation Nos. 701-TA-564 and 731-TA-1338 and 1340 (Final), USITC Publication 4705, June 2017) will contain the views of the Commission and information developed during the investigations.
The report will be available by July 21, 2017; when available, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.
UNITED STATES INTERNATIONAL TRADE COMMISSION
Washington, DC 20436
FACTUAL HIGHLIGHTS
Steel Concrete Reinforcing Bar from Japan and Turkey
Investigation Nos. 701-TA-564 and 731-TA-1338 and 1340 (Final)
Product Description: The merchandise subject to these investigations is steel concrete reinforcing bar (rebar) imported in either straight length or coil form regardless of metallurgy, length, diameter, or grade or lack thereof. Subject merchandise includes deformed steel wire with bar markings (e.g., mill mark, size, or grade) and which has been subjected to an elongation test. The subject merchandise includes rebar that has been further processed in the subject country or a third country, including but not limited to cutting, grinding, galvanizing, painting, coating, or any other processing that would not otherwise remove the merchandise from the scope of the investigations if performed in the country of manufacture of the rebar. Rebar is commonly used in construction applications to provide strength to concrete.
Status of Proceedings:
1. Type of investigations: Final antidumping and countervailing duty.
2. Petitioners: Rebar Trade Action Coalition and its individual members: Byer Steel Group, Inc., Cincinnati, OH; Commercial Metals Company, Irving, TX; Gerdau Ameristeel U.S. Inc., Tampa, FL; Nucor Corp., Charlotte, NC; and Steel Dynamics, Inc., Pittsboro, IN.
3. Investigations instituted by USITC: September 20, 2016.
4. USITC hearing: May 18, 2017.
5. USITC vote: June 16, 2017.
6. USITC notification of Department of Commerce: June 30, 2017.
U.S. Industry:
1. Number of U.S. producers in 2016: 10.
2. Location of producers’ plants: Alabama, Arkansas, Arizona, California, Colorado, Connecticut, Florida, Illinois, Indiana, Mississippi, Nebraska, New Jersey, New York, Ohio, Oklahoma, Oregon, South Carolina, Tennessee, Texas, and Virginia.
3. Employment of production and related workers in 2016: 4,085.
4. U.S. producers’ U.S. shipments in 2016: 6.7 million short tons.
5. Apparent U.S. consumption in 2016: 8.8 million short tons.
6. Ratio of subject imports to apparent U.S. consumption in 2016: 21.6 percent.
U.S. Imports:
1. From the subject countries during 2016: $700.7 million.
2. From other countries during 2016: $79 million.
3. Leading sources during 2016: Turkey, Japan, and Taiwan (in terms of total value).
News Release 17-090
Inv. No(s). 731-TA-461 (Fourth Review)
Contact: Peg O'Laughlin, 202-205-1819
The U.S. International Trade Commission (USITC) today determined that revoking the existing antidumping duty order on imports of gray portland cement and cement clinker from Japan 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 Japan will remain in place.
Chairman Rhonda K. Schmidtlein, Vice Chairman David S. Johanson, and Commissioners Irving A. Williamson, Meredith M. Broadbent, and F. Scott Kieff 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 Gray Portland Cement and Cement Clinker from Japan (Inv. No. 731-TA-461 (Fourth Review), USITC Publication 4704, June 2017) will contain the views of the Commission and information developed during the review.
The report will be available by July 20, 2017; 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 Gray Portland Cement and Cement Clinker from Japan was instituted on November 1, 2016.
On February 6, 2017, the Commission voted to conduct an expedited review. Chairman Rhonda K. Schmidtlein and Commissioners Irving A. Williamson and F. Scott Kieff 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 the domestic group response for this review was adequate and the respondent group response was inadequate, but that circumstances warranted 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.
News Release 17-089
Inv. No(s). 332-501
Contact: Peg O'Laughlin, 202-205-1819
The U.S. International Trade Commission (USITC) today released its annual compilation of reports published every two weeks on textile and apparel imports from China.
The report, Textile and Apparel Imports from China: Statistical Reports, Annual Compilation 2016, was requested by the U.S. House of Representatives' Committee on Ways and Means.
As requested, the USITC, an independent, nonpartisan, factfinding federal agency, produced an annual compilation of data that has been posted on a bi-weekly basis on the USITC website. The data in the report are shown on an annual and quarterly basis, by category and by Harmonized Tariff Schedule (HTS) 10-digit subheadings.
By category, annual data are provided from 2010 through 2016, and quarterly data are provided from first quarter 2015 through fourth quarter 2016. By HTS10 subheading, annual data are provided from 2014 through 2016, and quarterly data are provided from first quarter 2015 through fourth quarter 2016.
The report also will be available on the USITC Internet site in Excel and PDF formats at http://www.usitc.gov/research_and_analysis/What_We_Are_Working_On.htm (scroll down to the bottom of the page). A DVD of the report may be requested by email at pubrequest@usitc.gov, by calling 202-205-2000, or by writing the Office of the Secretary, U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436. Requests may also be faxed to 202-205-2104.
USITC general factfinding investigations, such as this one, cover matters related to tariffs or trade and are generally conducted at the request of the U.S. Trade Representative, the House Committee on Ways and Means, or the Senate Committee on Finance. The resulting reports convey the Commission's objective findings and independent analyses on the subjects investigated. The Commission makes no recommendations on policy or other matters in its general factfinding reports. Upon completion of each investigation, the USITC submits its findings and analyses to the requester. General factfinding investigation reports are subsequently released to the public unless they are classified by the requester for national security reasons
News Release 17-088
Contact: Peg O'Laughlin, 202-205-1819
The U.S. International Trade Commission (USITC or Commission) today submitted to Congressional committees a preliminary report on miscellaneous tariff petitions it received under the 2016 American Manufacturing Competitiveness Act (AMCA).
Under the AMCA, USITC is required to receive, analyze, and report on petitions seeking temporary duty suspensions and reductions. The law requires the Commission to deliver its preliminary report to the House of Representatives Committee on Ways and Means and the Senate Committee on Finance. The USITC will ultimately submit a final report to the Committees for their use in developing a miscellaneous tariff bill for Congressional consideration.
The Commission’s preliminary report and other background information can be found here: https://mtbps.usitc.gov/external/.
In the reports, the Commission categorizes petitions as either (a) petitions that meet the requirements of the Act with or without modification (Category I, II, III, or IV petitions), (b) petitions that do not contain the information required by the Act or that were not filed by a likely beneficiary (Category V petitions), or (c) petitions that the Commission does not recommend for inclusion in a miscellaneous tariff bill (Category VI petitions).
The Commission’s preliminary report provides recommendations on 2,536 petitions. The largest product categories were chemicals, accounting for 1,473 petitions; machinery and equipment, accounting for 457 petitions; and textiles, apparel and footwear, accounting for 459 petitions. Of the 2,536 petitions, the Commission assigned 1,719 to Categories I through IV, 54 to Category V, and 763 to Category VI.
Commission seeks limited additional comments
The Commission will re-open its Miscellaneous Tariff Bill Petition System portal on Monday, June 12, 2017, to allow the public to submit additional, limited public comments on petitions that the Commission in its preliminary report has included as Category VI petitions (i.e., petitions that the Commission does not recommend for inclusion in a miscellaneous tariff bill by Congress).
- The Commission will re-open the portal for comments on June 12, 2017, at 8:45 a.m. for a period of 10 days, and will close the portal on June 21, 2017, at 5:15 p.m.
- The Commission will only accept information from the public that relates to its decision to place these petitions into Category VI as part of its preliminary report.
- Should Commission staff have questions about the information submitted during this limited comment period, they will contact the individual listed as a contact in the comment for clarification.
The Commission has issued a notice formally announcing the opening of this comment period. This notice contains further instructions on the type of information that may be filed and the manner in which it can be filed, including the process for handling confidential business information.
The Commission will deliver its final report to the Committees by August 8, 2017.
Enacted in May 2016, the AMCA mandates two petition submission cycles, during which petitioners who can demonstrate that they are likely beneficiaries of a suspension or reduction of duties submit petitions to the USITC. The first cycle began October 15, 2016, and the second will begin by October 15, 2019. Once petitions are submitted, the USITC must then evaluate the petitions and determine whether they meet certain statutory requirements. The USITC will ultimately submit preliminary and final reports to the House Committee on Ways and Means and the Senate Committee on Finance for their use in developing a miscellaneous tariff bill for Congressional consideration.
News Release 17-086
Inv. No(s). 332-345
Contact: Peg O'Laughlin, 202-205-1819
The United States is the world's largest services market and was the world’s leading exporter and importer of services in 2015, reports the U.S. International Trade Commission (USITC) in its new publication Recent Trends in U.S. Services Trade, 2017 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 professional services and includes chapters on four specific industries: accounting and auditing services, architecture and engineering services, legal services, and management consulting services. Each chapter analyzes global market conditions in the industry, examines recent trade performance, and summarizes the industry’s outlook.
The report describes in detail trade in services via cross-border transactions through 2015 and via affiliate sales through 2014 (latest available data). Preliminary data for 2016 indicate that U.S. services exports exceeded those in 2015 by 0.3 percent, or $2.0 billion, whereas U.S. imports were 3.2 percent higher ($14.8 billion) in 2016 than in 2015.
Highlights of the 2017 report include:
- In 2015, the value of U.S. commercial services exports was $730.6 billion (15 percent of global services exports), while imports totaled $467.1 billion (10 percent of global services imports). Preliminary data also indicate that in 2016, U.S. services exports increased slightly to $732.6 billion, while imports rose to $482.0 billion.
- From 2014 to 2015, U.S. cross-border services exports rose by 1 percent (compared to 7 percent in 2013–2014), while U.S. services imports grew just over 2 percent (down from almost 5 percent the previous year). Within the services sector, sales by foreign affiliates of U.S. firms – the leading channel by which many U.S. services are delivered to foreign markets – totaled $1,503.4 billion while the value of services purchased from foreign-owned affiliates in the United States totaled $918.7 billion.
- The U.S. had a surplus of $48.7 in international trade in professional services as in 2015 the subsector accounted for 19 percent of both imports and exports. Professional services accounted for about 8 percent of total sales by foreign affiliates of U.S. firms and 10 percent of total purchases from foreign-owned firms located in the United States.
- The contribution of private sector professional services to U.S. gross domestic product (GDP) was $2.6 trillion in 2015, accounting for 19 percent of U.S. private sector GDP. The output of these services grew by 3.6 percent in 2015, faster than the output of private sector services as a whole (2.9 percent). Among professional services industries, the healthcare and social assistance sector was not only the largest -- accounting for 8 percent of total private sector GDP -- but also registered the fastest growth (4.5 percent) during 2015. During the same year, education services recorded the slowest growth (0.2 percent).
- Professional services accounted for 25.8 percent of total private sector employment in the United States, or nearly 29 million full-time equivalent (FTE) employees – a share that has remained stable since at least 2010. Employment in healthcare and social assistance represented more than half (58.4 percent) of this total, followed by miscellaneous professional, scientific, and technical services (18.5 percent), and education services (10.8 percent). Labor productivity in professional services grew by 0.9 percent, though this represents an improvement over the 2010-2014 period when labor productivity remained essentially unchanged (-0.3 percent). Workers in the professional services industry earned an average wage of $65,861 in 2015, which exceeded the private sector average, but trailed all other services categories except distribution services. The business models of professional services firms are evolving in response to changes in technology. Software is increasingly able to perform some routine tasks like tax preparation or legal research, but the Internet also enables some services to be delivered digitally across borders and enhances the ability of small firms to compete in sectors like consulting. Professional services firms are also adapting to changing economic conditions by finding new markets, such as legal services in China, and niches within industries, such as green building in architecture services, as well as providing services which blur the lines between industries, for example when large accounting firms increasingly provide consulting services. Licensing, certification, or other registration requirements continue to pose challenges to professional services firms, particularly where such requirements are opaque, though the effects vary by market.
- The USITC hosted its 10th annual services roundtable on November 17, 2016. The discussion, summarized in the report, focused on the usefulness of the “modes of supply” framework, originated in the General Agreement on Trade in Services (GATS), and on the importance of initiatives to harmonize regulations and to liberalize services trade.
Recent Trends in U.S. Services Trade, 2017 Annual Report (Investigation No. 332-345, USITC publication 4682, September 2017) is available on the USITC's Internet site at http://www.usitc.gov/publications/332/pub4682.pdf.