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ITA Describes the 3 Exclusions from China Wax Candle AD Order, Retroactively Suspends

The International Trade Administration has issued a message to CBP on its August 2, 2011 broadened scope interpretation for the antidumping duty order on petroleum wax candles from China (A-570-504). While the August 2 notice stated that only 3 candle types were excluded from the AD order, it did not describe the exclusions. ITA has now described them; in addition, it is directing CBP to retroactively suspend liquidation and collect AD duty cash deposits for all conflicting candles.

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(See ITT's Online Archives 11080221 for summary of the ITA's August 2011 notice which broadened the ITA's interpretation of the scope of the order to include most novelty candles, thereby laying the groundwork to resolve more than 600 pending scope determination requests.)

Scope of AD Order on Candles from China

ITA continues to state that the products covered by the order are certain scented or unscented petroleum wax candles made from petroleum wax and having fiber or paper-cored wicks. They are sold in the following shapes: tapers, spirals and straight-sided dinner candles; rounds, columns, pillars, votives; and various wax-filled containers. The products are currently classifiable under the Harmonized Tariff Schedule (HTS) in item number 3406.00.00. The HTS item number is provided for convenience and customs purposes. The written description remains dispositive.

Before August 2, Holiday & Certain Shaped Candles Were Excluded from Order

According to ITA, it previously interpreted the scope of this antidumping duty order as excluding holiday/religious/special occasion-themed ("holiday") candles, and candles in the shapes of identifiable objects.

After that Date, all Candles Were Included Except for 3 Types

Effective August 2, 2011, the date its final scope determination was published in the Federal Register, ITA interpreted the scope of the order as including all petroleum wax candles (regardless of Holiday/religious/special-occasion-theme), except for three types, which are excluded.

The exclusions are for:

1. birthday (and birthday numeral) candles,

2. utility candles, and

3. figurine candles.

ITA Is Now Describing Scope of 3 Excepted Types

The ITA is now describing the scope of these 3 exclusions in a January 5, 2012 message to U.S. Customs and Border Protection as follows:

  1. Birthday and birthday numeral candles. These excluded candles are typically small, thin, pillar-shaped candles that range from 2 inches to 3.5 inches in height, 0.18 inch to 0.25 inch in width, and packaged in quantities of 10 to 24. Birthday numeral candles are those that are in the shape of numbers and typically range from 2 to 4 inches in height.
  2. Utility candles. These excluded candles (also known as "household," "emergency," or "household emergency" candles) are typically white in color, 5 inches long, 0.75 inch in diameter, and packaged in quantities of two or more.
  3. Figurine candles. Excluded figurine candles are those that are in the shape of a human, animal, or deity.

ITA Instructs CBP to Retroactively Suspend Liq/Collect AD Deposits for Conflicting Candles, Etc.

Effective August 2, 2011, ITA is instructing CBP to collect AD cash deposits and suspend liquidation of entries of petroleum wax candles from China, including holiday/religious/special occasion-themed candles, that do not otherwise meet the birthday candle, utility candle or figurine candle exclusions described above.

In addition, ITA states that the clarified scope interpretation supersedes all prior scope rulings that conflict with it, effective August 2, 2011.

ITA contacts: Davina Hashmi (202) 482-0984 and Ron Trentham (202) 482-3577

AD/CVD message # 2005304