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Canada To Probe Allegations Of Turkish Trade 'Dumping'

by Mike Godfrey, Tax-News.com, Washington

02 January 2018


Canada's International Trade Tribunal has initiated a preliminary injury inquiry into the alleged dumping and subsidizing of dry wheat pasta originating from Turkey.

The investigation has been initiated following a complaint from the Canadian Pasta Manufacturers Association and the launch of dumping and countervailing investigations by the Canada Border Services Agency (CBSA).

The Tribunal will announce on February 26 whether there is reasonable indication that the alleged dumping and unfair subsidies for Turkish exporters have caused the Canadian domestic industry injury. If the Tribunal finds in the affirmative, the CBSA will continue its investigations and issue preliminary determinations by March 28.

If these preliminary determinations likewise indicate that there has been dumping or unfair subsidies, the CBSA will resume its investigations and the Tribunal will initiate a final injury inquiry.

Anti-dumping and/or countervailing duties will be imposed if the Tribunal finds that dumped or subsidized products are injuring or threatening to injure the relevant Canadian producers.

Dumping occurs when goods are sold into a foreign market at below the prevailing market rate in the exporter's domestic market. Countries can respond by levying taxes (anti-dumping duties) on imports to prevent unfair competition for their domestic producers. To counteract unfair subsidies, countries may introduce countervailing duties.

The Tribunal is an independent quasi-judicial body that hears cases on dumped and subsidized imports.

TAGS: tax | tariffs | anti-dumping | trade disputes | Canada | import duty | trade | Turkey

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