May 14, 2009
News Release 09-040
Inv. No. 701-TA-462 and 731-TA-1156-1158 (P)
Contact: Peg O'Laughlin, 202-205-1819

The United States International Trade Commission (ITC) today determined that there is a reasonable indication that a U.S. industry is materially injured by reason of imports of polyethylene retail carrier bags from Vietnam that are allegedly subsidized and from Indonesia, Taiwan, and Vietnam that are allegedly sold in the United States at less than fair value.

All six Commissioners voted in the affirmative.

As a result of the Commission's affirmative determinations, the U.S. Department of Commerce will continue to conduct its countervailing duty investigation on imports of this product from Vietnam and its antidumping investigations on imports of this product from Indonesia, Taiwan, and Vietnam, with its preliminary countervailing duty determination due on or about June 24, 2009, and its preliminary antidumping determinations due on or about September 7, 2009.

The Commission's public report Polyethylene Retail Carrier Bags from Indonesia, Taiwan, and Vietnam (Investigation Nos. 701-TA-462 and 731-TA-1156-1158 (Preliminary), USITC Publication 4080, May 2009) will contain the views of the Commission and information developed during the investigations.

Copies of the report are expected to be available after June 12, 2009, by calling 202-205-2000 or from the Office of the Secretary, 500 E Street SW, Washington, DC 20436. Requests may also be faxed to 202-205-2104.

Product Description: The merchandise subject to these investigations is polyethylene retail carrier bags (PRCBs), commonly referred to as t-shirt sacks, merchandise bags, grocery bags, or checkout bags. PRCBs are non-sealable sacks and bags with handles (including drawstrings), without zippers or integral extruded closures, with or without gussets and printing, of polyethylene (PE) film of thickness no greater than 0.035 inch and no less than 0.00035 inch, and with no length or width shorter than 6 inches or longer than 40 inches. The bag depth may be shorter than 6 inches but not longer than 40 inches. PRCBs are typically provided without consumer packaging and free of charge by retail establishments, e.g., grocery, drug, convenience, department, specialty retail, discount stores, and restaurants to their customers to package and carry out purchased products. Excluded from the scope are (1) PE bags without identification, closeable with drawstrings of PE film and (2) PE bags packed in consumer packaging with printing referring to end uses other than PRCBs, e.g., garbage and lawn bags; trash-can liners.

Status of Proceedings:

1. Type of investigations:  Preliminary antidumping and countervailing duty.
2. Petitioners:  Hilex Poly Co., LLC, Hartsville, SC, and Superbag Corp., Houston, TX. 
3. Preliminary investigations instituted by the USITC:  March 31, 2009.
4. Commission's conference:  April 21, 2009.
5. USITC vote:  May 14, 2009.
6. USITC determinations to the U.S. Department of Commerce:  May 15, 2009.
7. USITC views to the U.S. Department of Commerce:  May 22, 2009.

U.S. Industry:

1. Number of producers in 2008:  Fifteen.
2. Location of producers' plants:  California, Florida, Idaho, Indiana, Louisiana, Maryland, 
     Massachusetts, Minnesota, Missouri, Nevada, New Hampshire, New Jersey, New York, Ohio,
     Oklahoma,  Pennsylvania, Texas, and Virginia.  
3. Employment of production and related workers in 2008:  3,030.
4. Apparent U.S. consumption in 2008:  $1.5 billion.
5. Ratio of the value of total U.S. imports to total U.S. consumption in 2008:  33.6 percent.

U.S. Imports:

1. From the subject countries during 2008:  $186.0 million.
2. From other countries during 2008:  $318.4 million.
3. Leading sources during 2008:  China, Thailand, and Vietnam.