The Canada Border Services Agency (CBSA) has today concluded a normal value review (review) to determine normal values and export prices of certain carbon steel fasteners (fasteners) exported to Canada from the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu (Chinese Taipei) by Newfast Co., Ltd. (Newfast).
The review follows requests for re-determination filed by importers and is part of the CBSA’s enforcement of the Canadian International Trade Tribunal’s (CITT) order issued on September 2, 2020 in Expiry Review No. RR-2019-002, respecting the dumping of fasteners originating in or exported from the People’s Republic of China (China) and Chinese Taipei, and the subsidizing of such goods, originating in or exported from China, excluding fasteners specifically designed for application in the automotive or aerospace industry, in accordance with the Special Import Measures Act (SIMA).
The product definition and the applicable tariff classification numbers of the goods subject to the CITT’s order are contained in Appendix 1 (subject goods).
Period of investigation
For this review, the Period of Investigation (POI) was from December 1, 2021 to May 31, 2022 and the Profitability Analysis Period (PAP) was from December 1, 2021 to May 31, 2022.
Normal value review process
At the initiation of this review, on June 29, 2022, the CBSA sent Requests for Information (RFIs) to Newfast and to other parties involved in the transactions in order to solicit information on the costs and selling prices of subject goods and like goods. The information was requested for purposes of determining normal values and export prices applicable to subject goods exported to Canada.
The responses to the CBSA’s RFI and Supplemental RFI were received accordingly from Newfast.
The CBSA did not receive any case briefs or reply submissions from interested parties with respect to this review. All the information submitted on the record was considered for the conclusion of this review.
Normal values for future shipments
Newfast did not have any domestic sales of like goods during the PAP to determine normal values in accordance with section 15 of SIMA.
Newfast provided sufficient cost of production and administrative, selling and all other costs to determine normal values pursuant to paragraph 19(b) of SIMA. However, the CBSA was unable to determine an amount for profits under paragraph 11(1)(b) of the Special Import Measures Regulations.
As such, normal values were determined pursuant to section 29 of SIMA using a method similar to that of paragraph 19(b), based on the aggregate of cost of production of the goods, a reasonable amount for administrative, selling and all other costs, and a reasonable amount for profits determined by ministerial specification.
Normal values for future shipments of fasteners have been determined for Newfast. These normal values are effective today, November 18, 2022.
For the subject goods exported by Newfast to Canada, export prices are determined in accordance with section 24 of SIMA.
The normal values and export prices determined as a result of this review may be applied to any requests for re-determination of importations of subject goods that have not been processed prior to the conclusion of this review, regardless of the date that the requests were received. The normal values and export prices determined as a result of this review may be applied retroactively where the conditions described below are met.
Exporter responsibility
Please note that exporters with normal values are required to promptly inform the CBSA in writing of changes to domestic prices, costs, market conditions or terms of sale associated with the production and sales of the goods. If there are changes to the exporter’s domestic prices, costs, market conditions or terms of sale associated with the production and sales of the goods, and where the CBSA considers such changes to be significant, the normal values and export prices will be updated to reflect current conditions. All parties are cautioned that where there are increases in domestic prices, and/or costs as noted above, the export price should be increased accordingly to ensure that any sale made to Canada is not only above the normal value but at or above selling prices and full costs and profit of the goods in the exporter’s domestic market. If exporters do not properly notify the CBSA of any such changes, do not adjust export prices accordingly, or do not provide the information required to make any necessary adjustments to normal values and export prices, retroactive assessments will be applied where such action is warranted.
Importer responsibility
Importers are reminded that it is their responsibility to calculate and declare their anti-dumping duty liability. If importers are using the services of a customs broker to clear importations, the brokerage firm should be advised that the goods are subject to SIMA measures and be provided with sufficient information necessary to clear the shipments. To determine their anti-dumping liability, importers should contact the exporter(s) to obtain the applicable normal values. For further information on this matter, refer to Memorandum D14-1-2, Disclosure of Normal Values, Export Prices, and Amounts of Subsidy Established under the Special Import Measures Act.
The Customs Act (Act) applies, with any modifications that the circumstances require, with respect to the accounting and payment of anti-dumping duties. As such, failure to pay the duties within the prescribed time will result in the application of the interest provisions of the Act.
Should the importer disagree with the determination made on any importation of goods, a request for re-determination may be filed. For more information on how to file a request for re-determination, please refer to the Guide for appealing a duty assessment.
Contact us
SIMA Registry and Disclosure Unit
Trade and Anti-dumping Programs Directorate
Canada Border Services Agency
11-100 Metcalfe St
Ottawa ON K1A 0L8
- Telephone:Manshun Tong: 343-553-1727
- Email: [email protected]