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USITC Determines That Injurious Effect of Imports of Sugar from Mexico is Eliminated by Commerce Suspension Agreements

March 19, 2015
News Release 15-023
Inv. No. 704-TA-1 and 734-TA-1
Contact: Peg O'Laughlin, 202-205-1819
USITC Determines That Injurious Effect of Imports of Sugar from Mexico is Eliminated by Commerce Suspension Agreements

The U.S. International Trade Commission (USITC) today determined that the injurious effect of imports of sugar from Mexico on the domestic industry as a whole is eliminated by suspension agreements agreed to by the U.S. Department of Commerce (Commerce) and the government of Mexico and Mexican exporters of sugar.

Consistent with the Commission’s practice, Commissioners will explain in their forthcoming opinion their views with respect to the arguments made by the domestic industry, including the petitioning U.S. refiners, and the other interested parties regarding the impact of those agreements.

As a result of the Commission’s affirmative determinations that the injurious effect of imports of sugar from Mexico is eliminated by the Commerce suspension agreements, the suspension agreements will remain in effect. 

All six Commissioners voted in the affirmative.    

The Commission’s determinations result from reviews conducted under sections 704(h) and 734(h) of the Tariff Act of 1930, as amended, 19 U.S.C. §§  1671c(h) and 1673c(h), as a result of petitions filed on January 8, 2015, by Imperial Sugar Company (Imperial), Sugarland, TX, and AmCane Sugar LLC (AmCane), Taylor, MI.   These are the first reviews that the Commission has conducted under sections 704(h) and 734(h).  Under these provisions the Commission was required to determine in these investigations “whether the injurious effect of imports of the subject merchandise is eliminated completely by the agreement.” Unlike in sections 701(a) and 731(a) investigations, the Commission has not analyzed here whether the subject imports from Mexico have caused material injury to a domestic industry.

Commerce is currently considering requests filed by Imperial and AmCane to continue the underlying investigations.  Whether or not underlying investigative proceedings are continued will depend upon whether Commerce accepts these requests. 

If the underlying investigations are not continued or if they are continued and Commerce and the Commission make affirmative final determinations in the continued investigations, the suspension agreements will remain effective.  If Commerce or the Commission make a negative determination in either of the continued investigations, the pertinent suspension agreement will have no effect, and no duties will be imposed.

The Commission’s public report Sugar from Mexico (Investigation Nos. 704-TA-1 and 734-TA-1 (Review), USITC Publication 4523, April 2015) will contain the views of the Commission and information developed during the reviews.

The report will be available after April 24, 2015. After that date, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.

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