Customs

Unframed Glass Mirror Sunset Review - Comment due

On 18 May the International Trade Administration of South Africa (Itac) announced the initiation of an anti-dumping sunset review on unframed glass mirrors of thickness of between 2mm or more but not exceeding 6mm, classifiable under tariff subheading 7009.91, originating in or imported from the People’s Republic of China, on which comment is due by 18 June.

On 21 July 2017, Itac notified all interested parties that, unless a duly substantiated request was made by or on behalf of the Southern African Customs Union (SACU) industry indicating that the expiry of the anti-dumping duty against the imports of unframed glass mirrors originating in or imported from China would likely lead to the continuation or recurrence of dumping and injury, the anti-dumping duty on unframed glass mirrors originating in or imported from China would expire on 25 July.

A detailed response to Itac’s Sunset Review questionnaire was received from PFG Building Glass, a division of PG Group (Pty) Ltd), the sole producer of unframed glass mirrors within the SACU, on 24 January.

PFG Building Glass alleges that the expiry of the duty would likely lead to the continuation or recurrence of dumping and the recurrence of material injury. PFG Building Glass submitted sufficient evidence and established a prima facie case to enable Itac to arrive at a reasonable conclusion that a sunset review investigation of the anti-dumping duty on unframed glass mirrors originating in or imported from China be initiated.

The allegation of continuation or recurrence of dumping is based on the comparison between the normal value and the export price. The normal value for China was determined based on a price quotation from a manufacturer in China.

The export price for China was determined based on the official import statistics obtained from the South African Revenue Service (Sars) for the dumping period.

The dumping margin was determined as 155.30%.

On this basis, Itac found that there was prima facie proof of the likelihood of the continuation or recurrence of dumping.

PFG Building Glass alleges and submitted sufficient evidence to show that it would experience a decline in sales, price undercutting, price suppression, capacity utilisation, profit, output, market share, return on investment, employment, and growth, if the duty expired.

On this basis, Itac found that there was prima facie proof of the likelihood of the recurrence of material injury.

The investigation period for dumping is from 01 July 2016 to 30 June 2017 and the injury investigation involves the evaluation of data for the period 01 July 2015 to 30 June 2017, and 2018 estimates in the event the anti-dumping duty expires.

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