PETR 2017 IN
Certain Polyethylene Terephthalate Resin
Notice of Final Decisions

Ottawa, February 14, 2018

On February 14, 2018, the Canada Border Services Agency (CBSA), pursuant to paragraph 41(1)(a) of the Special Import Measures Act (SIMA), terminated the subsidy investigation in respect of certain polyethylene terephthalate resin (PET resin) exported to Canada from the Sultanate of Oman (Oman) by OCTAL SAOC FZC (Octal), and exported to Canada from the Islamic Republic of Pakistan (Pakistan) by Novatex Limited (Novatex) and originating in or exported from Pakistan by all other exporters, as the amounts of subsidy were insignificant.

On the same day, the CBSA, pursuant to paragraph 41(1)(b) of SIMA, made a final determination of dumping in respect of certain PET resin originating in or exported from the People’s Republic of China (China), the Republic of India (India), Oman and Pakistan, and a final determination of subsidizing in respect of certain PET resin originating in or exported from China and India.

As all exporters of goods originating in or exported from Oman and Pakistan have an insignificant amount of subsidy, the termination of the subsidy investigation in respect of subject goods from these exporters will effectively end the CBSA’s subsidy proceedings in respect of goods from Oman and Pakistan.

The subject goods are usually classified under the following tariff classification numbers:

Prior to January 1, 2017, the subject goods were usually classified under the following tariff classification numbers:

Since January 1, 2017, the subject goods are usually classified under the following tariff classification numbers:

Note that the tariff classification numbers are for convenience of reference only. Refer to the product definition, as found in Appendix 1, for authoritative details regarding the subject goods.

The Canadian International Trade Tribunal (CITT) is continuing its inquiry into the question of injury to the domestic industry and will make an order or finding by March 16, 2018.

Provisional duties will continue to be applied on imports of dumped and subsidized subject goods originating or exported from China, India, Oman and Pakistan until the CITT concludes its inquiry and issues its finding. However, provisional countervailing duties on goods exported from Oman by Octal, and exported from Pakistan by Novatex and originating in or exported from Pakistan by all other exporters, will cease, and all provisional countervailing duties paid or security posted on these goods, will be returned.

Additional information about these dumping and subsidizing investigations is contained in a Statement of Reasons, which will be available within 15 days on the CBSA’s website at: http://www.cbsa-asfc.gc.ca/sima-lmsi/menu-eng.html.

For additional information regarding the application of provisional duties on subject goods imported into Canada, please refer to the following link which contains contact information of CBSA Enforcement officers: http://www.cbsa-asfc.gc.ca/sima-lmsi/contact-eng.html.

Officers' names and contact information:

  • Richard Pragnell: 613-954-0032
  • Valerie Ngai: 613-954-7410

E-mail:

Margins of Dumping and Amounts of Subsidy by Exporter
Country of origin or export Margins of dumping expressed as a percentage of export price Amounts of subsidy expressed as a percentage of export price Amounts of subsidy per metric tonne
China
All Exporters 30.6% 8.7% 537 Renminbi
India
Reliance Industries Limited 22.1% 4.0% 2,288 Indian Rupee
All Other Exporters 30.6% 35.2% 22,877 Indian Rupee
Oman
OCTAL SAOC FZC 7.2% 0.1%* 0.37 Omani Rial
Pakistan
Novatex Limited 5.5% 0.2%* 160 Pakistani Rupee
All other exporters 28.0% 0.1%* 160 Pakistani Rupee

*Pursuant to section 2(1) of the Special Import Measures Act (SIMA), an amount of subsidy of less than 1% of the export price of the goods is insignificant for a developed country and of less than 2% of the export price of the goods for a developing country.

Note: The margins of dumping reported in the table above are the margins determined by the Canada Border Services Agency (CBSA) for purposes of the final determination of dumping. These margins do not reflect the anti-dumping duty to be levied on future importations of dumped goods. In the event of an injury finding by the Canadian International Trade Tribunal, normal values have been provided to the exporters which provided sufficient information for future shipments to Canada and these normal values would come into effect the day after the injury finding. Information regarding normal values of the subject goods should be obtained from the exporter. Imports of subject goods from exporters/producers that did not provide sufficient information to the CBSA during the dumping investigation and who are not listed in the table above will be subject to the All Exporters/All Other Exporters anti-dumping duty rate pursuant to a ministerial specification.

As reported in the table above, the amounts of subsidy (as a percentage of export price) are the amounts determined by the CBSA for purposes of the final determination of subsidizing. These amounts do not reflect the countervailing duty to be levied on future importations of subsidized goods originating in or exported from China and India, which will be based on the specific amounts of subsidy, per metric tonne, converted into Canadian dollars.

Normally, normal values will not be applied retroactively. However, this measure may be applied retroactively in cases where the parties have not advised the CBSA in a timely manner of substantial changes that affect values for SIMA purposes. Therefore, where substantial changes occur in prices, market conditions, costs associated with production and sales of the goods, the onus is on the concerned parties to advise the CBSA.

Please consult the SIMA Self-Assessment Guide for more detailed information explaining how to determine the amount of SIMA duties owing.

Appendix 1

Product Definition

For the purpose of the dumping and subsidizing investigations, the subject goods are defined as:

Polyethylene terephthalate ("PET") resin having an intrinsic viscosity of at least 0.70 deciliters per gram but not more than 0.88 deciliters per gram, including PET resin that contains various additives introduced in the manufacturing process, as well as blends of virgin PET resin and recycled PET containing 50 percent or more virgin PET resin content by weight, originating in or exported from the People’s Republic of China, the Republic of India, the Sultanate of Oman and the Islamic Republic of Pakistan.

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