Conclusion of normal value review: Refined sugar (SUG 2022 UP1)

Ottawa, February 21, 2023

The Canada Border Services Agency (CBSA) has today concluded a normal value review of refined sugar, refined from sugar cane or sugar beets, in granulated, liquid and powdered form (refined sugar) exported from the United States to Canada by United Food Group Inc. (United).

The review follows an appeal filed by an importer and is part of the CBSA’s enforcement of the Canadian International Trade Tribunal’s (CITT) order issued on August 6, 2021, respecting the dumping of refined sugar from the United States, Denmark, Germany, the Netherlands and the United Kingdom and amounts of subsidy of refined sugar from the European Union, 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 order are contained in Appendix 1 (subject goods).

Period of investigation

The period of investigation (POI) and the profitability analysis period (PAP) for the normal value review were from May 1, 2021 to October 31, 2022.

Normal value review process

At the initiation of the normal value review, the CBSA sent requests for information (RFIs) to United to solicit information on the costs and selling prices of subject goods and like goods for purposes of providing normal values for goods exported to Canada by United. The CBSA received a response to the dumping RFI from United, the exporter of the subject goods. However, the company that produced the goods exported to Canada by United did not respond to the CBSA’s RFI. As such, subject goods will be subject to a ministerial specification. For information on the amount of the ministerial specification please see the CBSA’s Measures in force.

The CBSA did not receive any case arguments or reply submissions following the January 24, 2023 close of record.

Normal value for future shipments

Exporters that are not the manufacturer of the subject goods (e.g. trading companies, vendors, etc.) will receive normal values only to the extent that their supplier(s)/manufacturer(s) provide sufficient information to permit the determination of normal values and export prices.

As the producer of the subject goods did not provide a response to the RFI, normal values for subject goods exported to Canada by United and released by the CBSA will be determined pursuant to a ministerial specification under subsection 29(1) of SIMA. Accordingly, normal values for subject goods exported by United will be determined by advancing the export price of the goods by 180%.

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 exporters 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

• Telephone:
• Rebecca Akuoko-Asibey: 343-553-1411

Email: simaregistry-depotlmsi@cbsa-asfc.gc.ca

Appendix 1: Product definition

Exclusions as of November 6, 1995

1. Co-crystallized products—For greater clarity, these products are comprised of sugar syrups or liquid sucrose blends and one or more non-sucrose ingredients combined through a co-crystallization process to form a dry solid structure in granulated or powder form
2. Pearl sugar—For greater clarity, pearl sugar is hard granulated sugar, pellet-formed by subjecting sugar syrup to intense heat. The pellet, which is the size of a pea, is shaped like a football. It is coarser than coarse sugar, i.e. confectioners' sugar
3. Bottler's floc-free beet sugar: Imported by McNeil Consumer Products Company for use in pharmaceutical preparations
4. Lyle's Golden Syrup: Produced by Tate & Lyle PLC
5. Lyle's Pouring Syrup: Produced by Tate & Lyle PLC
6. Daddy brand wrapped sugar dominoes in 1-kg boxes—For greater clarity, these are sugar cubes which are wrapped in illustrated paper wrappings, each of which contains two sugar cubes
7. Daddy brand wrapped sugar cubes in 5-kg boxes containing 960 portions—For greater clarity, each portion contains two sugar cubes which are wrapped in illustrated paper wrappings
8. Saint Louis brand pre-cut brown cane sugar lumps in 1-kg boxes—For greater clarity, these are rough-shaped sugar lumps comprised of brown cane sugar
9. Daddy brand shaped white sugar pieces in 500-g boxes—For greater clarity, these sugar pieces are pre-cut into diamond, heart, spade and club shapes
10. Daddy brand brown or blond "Vergeoise" sugar in 500-g cases
11. Comptoir du Sud brand brown and white sugar pieces in 1-kg and 500-g boxes
12. Daddy brand brown coffee sugar in 500-g box packets—For greater clarity, this is a large granule brown sugar
13. Demerara sugar cubes: Produced by Tate & Lyle PLC
14. Amber sugar crystals: Produced by Tate & Lyle PLC. For greater clarity, these are large sugar crystals in varying shades of brown
15. Low-colour liquid sucrose with a colour no higher than 10 maximum ICUMSA (International Commission for Uniform Methods of Sugar Analysis) colour units and distiller's grade liquid sucrose imported by Gilbey Canada Inc. for use as ingredients in its production process

Additional exclusions as of November 3, 2000

16. Bottler's floc-free beet sugar imported for use in pharmaceutical preparations where it is established by the importer that floc-free beet sugar from Canadian sources does not meet the applicable product specifications
17. Golden, pouring and other table syrups imported in retail-ready packaging in containers not exceeding 3 litres
18. Subject to the exception below, specialty wrapped sugar cubes, each individual wrapping containing not more than 3 sugar cubes, imported in retail-ready packages not exceeding 5 kg in weight. This exclusion does not include generic wrapped white sugar cubes (i.e. where the illustration consists of primarily a trade-mark, trade name, company name or other commercial identification as opposed to a unique illustration)
19. Pre-cut specialty shaped sugar pieces, imported in retail-ready packaging, in packages not exceeding 1 kg in weight—For greater clarity, these include diamond-, heart-, spade- and club-shaped sugar but do not include cube- or domino- (i.e. rectangular) shaped sugar
20. Rough-shaped lumps and pieces, in lumps or pieces weighing between 3 and 10 grams on average, imported in retail-ready packaging, in individual packages not exceeding 1 kg in weight
21. Very large crystal sugar, in crystals exceeding 0.05 g in weight on average, imported in retail-ready packaging, in individual packages not exceeding 1 kg in weight
22. Specialty sugar cubes and dominoes (i.e. rectangles), made from demerara, brown, yellow or any other non-white sugar, imported in retail-ready packaging, in packages not exceeding 1 kg in weight—For greater clarity, this does not include any sugar cube or domino made from white granulated sugar
23. Low-colour liquid sucrose with a colour no higher than 10 ICUMSA (International Commission for Uniform Methods of Sugar Analysis) colour units and distiller's grade liquid sucrose imported for use in the production of distilled spirits where it is established by the importer that low-colour liquid sucrose and distiller's grade liquid sucrose from Canadian sources do not meet the applicable product specifications
24. Organic sugar meeting the requirements of the Canadian General Standards Board standard No. CAN/CGSB-32.310-99 (Organic Agriculture), the U.S. Federal Organic Foods Production Act of 1990 or any rules adopted under that act, or the European Union EN2092/94 (Organic Regulation), where it is accompanied by a transaction certificate affirming compliance with the standard signed by an ISO Guide 65 accredited certifying authority

Additional exclusion as of November 2, 2005

25. Individually wrapped rectangular cane sugar tablets

Additional exclusion as of October 30, 2015

26. Specialty-coloured decorative sugar crystals in granulated form combined with carnauba wax and food colouring matter, imported in small retail-ready containers not exceeding 16 oz. for use exclusively as a superficial decoration in baked goods (such as pies, cakes, pastries, muffins, cookies, etc.) and other prepared foods

Tariff classification numbers

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

1. 1701.91.10.00
2. 1701.91.90.21
3. 1701.91.90.29
4. 1701.91.90.91
5. 1701.91.90.99
6. 1701.99.10.00
7. 1701.99.90.20
8. 1701.99.90.30
9. 1701.99.90.90
10. 1702.90.11.00
11. 1702.90.12.00
12. 1702.90.13.00
13. 1702.90.14.00
14. 1702.90.15.00
15. 1702.90.16.00
16. 1702.90.17.00
17. 1702.90.18.00
18. 1702.90.69.00
19. 1702.90.89.10

This listing of tariff classification numbers is for convenience of reference only. Refer to the product definition for authoritative details regarding the subject goods.