Senate Passes AD/CV New Shipper Review Amendment Act
On November 16, 2005, the Senate passed S. 695, the New Shipper Review Amendment Act of 2005, without amendment, regarding antidumping (AD) and countervailing (CV) duty new shipper reviews. S. 695 would:
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Suspend bonding privileges during AD/CV new shipper reviews. S. 695 would suspend for three years from the date of enactment, 19 USC 1675(a)(2)(B)(iii), which requires the International Trade Administration (ITA), at the time the AD or CV duty new shipper review is initiated, to direct U.S. Customs and Border Protection (CBP) to allow, at the option of the importer, the posting, until the completion of the review, of a bond or security in lieu of an AD/CV cash deposit for each entry of the subject merchandise.
(According to the Congressional Research Service, new shipper reviews establish an individual weighted average dumping margin or an individual CV duty rate (as the case may be) for a new exporter or producer that (1) did not export the merchandise that was the subject of an AD or CV duty order to the U.S. during the period of investigation; and (2) was not affiliated with any exporter or producer who did.)
Require report to Congress on extension of the suspension beyond three year period, etc. Not later than two years after the date of enactment, S. 695 would require the Secretary of Commerce, in consultation with the Secretary of the Treasury, U.S. Trade Representative, and CBP Commissioner, to report to specified Congressional committees on:
- recommendations on whether the suspension of the effectiveness of 19 USC 1675(a)(2)(B)(iii) should be extended beyond three years; and
- assessments of the effectiveness of any administrative measures that have been implemented to address the difficulties giving rise to the suspension, including problems in assuring the collection of AD duties on imports from new shippers, administrative burdens imposed on the Department of Commerce by new shipper reviews, and the use of the bonding privilege by exporters from new shippers to circumvent the effect of AD duty orders.
S. 695 as passed by the Senate, is substantially similar to parts of H.R. 3283, the U.S. Trade Rights Enforcement Act, which was passed by the House on July 27, 2005. (See ITT's Online Archives or 07/29/05 news, 05072910, for BP summary of the House passage of H.R. 3283.)
(Although the Senate has passed S. 695, it is not in effect. Generally, in order for a bill to be implemented, identical versions of that bill must be passed by both the House and Senate and then the bill must be approved (enacted) by the President.)
S. 695, as passed by the Senate, available at http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname=109_cong_bills&docid=f:s695es.txt.pdf.