February 26, 2018
NAEGA continues to lead and administer a Special Interest Group (SIG) of interested companies wishing to participate in a joint response to China’s self-initiated anti-dumping and countervailing duty (AD/CVD) case on U.S. sorghum imports. The SIG is cooperating with the U.S. Grains Council and National Sorghum Producers to provide for timely, consistent and coordinated responses and information sharing. Currently, the SIG is circulating a Common Interest Agreement (CIA) that will allow further participation and coordination between industry during this case. Agreeing to this CIA is a prerequisite to participating in the SIG.
All exporters who are interested in participating in the SIG should immediately contact Ryan (firstname.lastname@example.org) in order be included in this effort.
Background: This action comes against the backdrop of a number trade cases currently underway or recently completed between the U.S. and China, including steel, washing machines, solar panels and intellectual property.
On Sunday, February 4 the Ministry of Commerce of the People's Republic of China self-initiated trade remedy actions on imported sorghum originating in the United States. The actions by the Bureau of Trade Relief are detailed in Notice 2018 No. 12 re: Article 18 of the "Anti-Dumping Regulations of the People's Republic of China” and the "Anti-subsidy Regulations of the People's Republic of China". Preliminary duties have been identified and are expected to be applied in a few months. The Ministry will now investigate over the next year whether the U.S. government subsidizes sorghum farmers, allowing exporters to sell into the Chinese market at a loss.
Now that the February 24 registration deadline has passed, the NAEGA led SIG will meet to determine next steps and a coordinated defense within the parameters of the common interest agreement.