Navigating the complexities of anti-dumping duties (ADD) and countervailing duties (CVD) can be a challenge. This page is intended to provide a high-level overview of anti-dumping and countervailing duties (AD/CVD) and resources to learn more.
What is AD/CVD?
At a high level, dumping occurs when foreign companies can produce items at a lower price than those items would sell domestically, or below cost of production (often with assistance from a foreign government). Countervailable subsidies are a subset of financial assistance provided by a foreign government to aid production and exportation of goods for lower cost. ADD and CVD are types of trade remedies that exist to help protect U.S. industries from the harm that such activities can cause, and attempt to “level the playing field” so U.S. industry can remain competitive with goods being imported. Resources that provide more detailed information about the AD/CVD programs in the U.S.:
AD/CVD Management for Importers case
How can an importer know what items might be subject to additional duties? How would an importer manage that information? Here are some actions to help get you started.
Determine if Any of Your Commodities Are Potentially Subject to an AD/CVD Case
If you’re importing goods into the U.S., chances are you are familiar with HTS codes – numbers assigned to commodities to help CBP identify those goods. Potential AD/CVD case numbers are “attached” to these cases electronically. Here’s how you can find that information:
- Use CBP's ACE Portal [White Paper]
- Ask your Customs Broker to do an analysis on your parts database or commonly used HTS codes
- Work with a trade consultant
Understand the Scope of a Case and Determine if It Applies to Your Commodities
AD/CVD cases can be extremely specific, so it’s important to understand exactly what a case covers, and also the specifications of your commodities. Here are some suggestions and resources to help.
- AD/CVD scope information from the International Trade Administration (ITA)
- Instructions on how to request a scope ruling from ITA (Tradewin can also assist with this service)
Update Your Records
For those commodities that do have potential cases “attached”, it is important to document your findings – whether it is determined the items are subject to a case or not. You may want to consider updating parts databases or databases that generate commercial documents, storing your research, or building your research practices into an import compliance manual for your company or operation.
Communicate With Your Customs Broker
If you find that AD/CVD cases do apply to your commodities, you should ensure your Importer Bond amount is sufficient to include the additional anti-dumping/countervailing duties. It is also critical to confirm the bond is approved to cover such activity, as entries subject to AD/CVD can be at much higher risk of increased duty bills and typically remain unliquidated longer than standard consumption entries, which can create stacking exposure.
Additionally, you may need to set up non-reimbursement certificates.
Make sure you can also provide that information to your Customs Broker. When filing a declaration with CBP, they will need to know whether or not any AD/CVD cases apply to your commodities.
Interested In Learning More?
Check out the recording of a previous AD/CVD webinar hosted by our subject matter experts. Learn about:
- The basics of AD/CVD
- What are dumping and subsidization
- How the U.S. Government determines if dumping or subsidization is occurring
- How to know if your commodities are subject to AD/CVD
- Resources for AD/CVD
- Antidumping and Countervailing Duty Scope Descriptions
- How to File for and Antidumping/Countervailing Duty Scope Ruling Request
- Priority Trade Issue: Antidumping and Countervailing Duties
- Guidance for Reimbursement Certificates
- AD/CVD Frequently Asked Questions
Congressional Research Service
- Can assist in analysis of parts database and/or commonly used HTS for potential AD/CVD cases
- Learn more about our Customs Brokerage Services
- Can assist in obtaining an anti-dumping/countervailing duty scope ruling
- Are my Imported Products Subject to Antidumping (AD) and Countervailing Duties (CVD) In the United States? [BLOG]
- Learn more about how Tradewin can help
- Parts database to house anti-dumping/countervailing duty case information
- Learn more about how Tradeflow can help
Global Customs: Anti-Dumping & Countervailing Duties
Stephanie Holloway, Regional Customs Manager for The Americas, gives a crash course on anti-dumping and countervailing duties: how they're alike, how they work, what importers need to do to avoid overpaying, and much more.