New Trade Case on Imports of Certain Pea Protein from China
New U.S. antidumping (“AD”) and countervailing duty (“CVD”) petitions were filed on July 11 by PURIS Proteins, LLC (“PURIS” or “Petitioner”) against imports of certain pea protein from China.
The merchandise covered by these petitions consists of certain pea proteins with a protein content higher than 65 percent on a dry weight basis, which is referred to as high protein content (or “HPC”) pea protein. HPC pea protein is a plant-based protein commonly sold in powder form. It is generally marketed as an alternative to animal protein that can be consumed directly or used as an ingredient for the manufacture of numerous items, including snack bars, plant-based meat products, nutritional drinks, sauces, and seasonings, among others. Minor variations in physical characteristics of HPC pea protein may exist within the scope, such as whether or not derived from organic peas, the particle size of the pea protein, pH levels, percentage of protein content (above 65 percent), and moisture levels. Please see below for the full text of the proposed scope for the investigations.
The Department of Commerce (“DOC”) and the International Trade Commission (“ITC”) will conduct the investigations. Within the next 45 days, the ITC will determine if there is a reasonable indication that the imports are injuring or threatening to injure the U.S. industry. If the ITC finds that this standard is met, the cases will move to the DOC, which will calculate the preliminary AD and CVD duty margins.
The DOC’s preliminary determinations are currently expected by Oct. 4, 2023 (CVD) and Dec. 18, 2023 (AD). On the date of publication of DOC’s preliminary determinations, importers will be required to deposit the calculated duties upon the products’ entry into the U.S. market. Importers should also be aware that entries may be subject to AD/CVD cash deposits 90 days before the DOC preliminary determinations if the DOC and ITC issue a finding of “critical circumstances,” meaning that imports increased by at least 15 percent following the filing of the petition compared to a similar period (typically three months) before the petition.
There are strict statutory deadlines associated with these proceedings and affected companies are advised to prepare as soon as possible. If this product is of interest to you, please let us know so that we can provide you with additional information as it becomes available. A schedule of approximate key dates is attached below.
The following are key facts about this trade case:
Petitioner: PURIS Proteins, LLC
Foreign Producers/Exporters and US Importers: Please contact us for a listing of individual companies named in the petition.
AD/CVD margins: Petitioner alleged the following AD/CVD margins:
- AD: calculated dumping margins between 23.86 to 291.74 percent, ad valorem;
- CVD: countervailing duty margins above de minimis;
Merchandise covered by the scope of the case:
The proposed scope of these investigations describes the imported merchandise as:
- The product within the scope of these investigations is high protein content (“HPC”) pea protein, which is a protein derived from peas (including, but not limited to, yellow field peas and green field peas) and which contains more than 65 percent protein on a dry weight basis. HPC pea protein may also be identified as, for example, pea protein concentrate, pea protein isolate, hydrolyzed pea protein, pea peptides, and fermented pea protein. Pea protein, including HPC pea protein, has the Chemical Abstracts Service (“CAS”) registry number 222400-29-5.
- The scope covers HPC pea protein in all physical forms, including all liquid (e.g., solution) and solid (e.g., powder) forms, regardless of packaging.
- The scope includes HPC pea protein described above that is blended, combined, or mixed with non-subject pea protein or with other products, including, but not limited to, protein powders, dry beverage blends, and protein fortified beverages. For any such blended, combined, or mixed products, only the HPC pea protein component is covered by the scope of these investigations. HPC pea protein that has been blended, combined, or mixed with other products is included within the scope, regardless of whether the blending, combining, or mixing occurs in third countries.
- HPC pea protein that is otherwise within the scope is covered when commingled (i.e., blended, combined, or mixed) with HPC pea protein from sources not subject to this investigation. Only the subject component of the commingled product is covered by the scope.
- A blend, combination, or mixture is excluded from the scope if the total HPC pea protein content of the blend, combination, or mixture (regardless of the source or sources) comprises less than 5 percent of the blend, combination, or mixture on a dry weight basis.
- The merchandise covered by the scope are currently classified under Harmonized Tariff Schedule of the United States (“HTSUS”) categories 3504.00.1000, 3504.00.5000, and 2106.10.0000. Such merchandise may also enter the U.S. market under HTSUS category 2308.00.9890. Although HTSUS categories and the CAS registry number are provided for convenience and customs purposes, the written description of the scope of the investigation is dispositive.
If you have any questions regarding the content of this alert, please contact Mark Ludwikowski (firstname.lastname@example.org; 202-640-6680), Kevin Williams (email@example.com; 312-985-5907), Will Sjoberg (firstname.lastname@example.org; 202-772-0924), Aristeo Lopez (email@example.com; 202-552-2366), Kelsey Christensen (firstname.lastname@example.org; 202-640-6670), Sally Alghazali (email@example.com; 202-572-8676), or other members of Clark Hill’s International Trade Business Unit.
The views and opinions expressed in the article represent the views of the author and not necessarily the official view of Clark Hill PLC. Nothing in this article constitutes professional legal advice nor is it intended to be a substitute for professional legal advice.
|Approximate Key Dates*
|Antidumping Duty Investigation|
|Event||No. of Days||Date of Action|
|ITC Preliminary Investigations**|
|Request to appear at hearing||18||7/31/2023|
|ITC Preliminary Determination||45||8/25/2023|
|DOC Preliminary AD Determination||160||12/18/2023|
|DOC Final AD Determination||235||3/4/2024|
|ITC Final Investigations|
|ITC Final AD Determination||280||4/16/2024|
|DOC Final Investigations|
|DOC AD Publication of Order||287||4/23/2024|
|Countervailing Duty Investigation|
|Event||No. of Days||Date of Action|
|ITC Determination of Reasonable Indication of Injury||45||8/25/2023|
|DOC Preliminary CVD Determination||85||10/4/2023|
|Submission of factual information||95||10/16/2023|
|Request for a hearing||122||11/13/2023|
|DOC Final CVD Determination||160||12/18/2023|
|ITC Final CVD Determination||205||2/1/2024|
|DOC CVD Publication of Order||212||2/8/2024|
* Deadlines are approximate and may change. When a deadline falls on a weekend or Federal holiday, deadlines will be extended to the next business day, as reflected in the above.
** The ITC preliminary dates may change slightly when the ITC publishes its notice of institution in the Federal Register. When the notice is published, parties will have seven days to file an entry of appearance at the ITC and apply for access to confidential information through counsel under Administrative Protective Order.
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