The U.S. International Trade Commission (ITC) has finally determined that the imports of Chinese golf cart manufacturers harmed business for their stateside counterparts, making way for a suite of trade remedies.
Just over a year ago, the American Personal Transportation Vehicle Manufacturers Coalition, an industrial partnership that includes locally based Club Car and E-Z-Go, filed its initial petition with the Department of Commerce against Chinese makers of low-speed personal transportation vehicles (LSPTVs), alleging the Chinese government subsidized its nation’s LSPTV producers to import their vehicles in the U.S. especially cheap, hurting the market for U.S. manufacturers.
This sparked investigations by both Commerce and the ITC, which resulted in preliminary findings, announced in August and November of last year and January of this year, prompting Commerce to impose countervailing duties—anti-subsidy taxes on imported goods — and antidumping of up to 515% on the Chinese vehicles. The preliminary findings by Commerce announced in January of this year also led to the application of a mitigating tax, called antidumping duties, to make up for the difference between the prices and values of the vehicles.
Last month Commerce concluded its investigations with the determination that Chinese low-speed transports sold the U.S. are indeed being unfairly traded. Antidumping (AD) orders ranging from 119% to 478% are to be imposed on Chinese LSPTV imports, along with countervailing duties (CVD) between 31% and 679%.
“The determination announced today will help to protect the health of a uniquely American industry and the livelihoods of thousands of American workers who build golf cars, low-speed vehicles, and personal-transportation vehicles to serve customers around the world,” said Textron president Rob Scholl. “We appreciate the hard work of the U.S. International Trade Commission and its staff in investigating and adjudicating this important matter.”
The CVD and AD orders are to stay in place for no less than five years, once they’re ordered, subject to a yearly administrative review process that could possibly increase the rates.
Skyler Q. Andrews is a staff reporter covering business for The Augusta Press. Reach him at skyler@theaugustapress.com.
