Washington, DC …Today, the U.S. International Trade Commission (USITC) determined that revoking the existing antidumping duty orders on frozen warmwater shrimp from Brazil, China, India, Thailand, and Vietnam would be likely to lead to continuation or recurrence of injury to the domestic shrimp industry. As a result of the Commission’s affirmative determination, the existing orders on imports of frozen warmwater shrimp from these countries will remain in place for an additional five years. The Commission voted 5-1 in favor of the domestic industry. “We are grateful that the International Trade Commission supported the U.S. industry in their decision today. The fact that foreign dumping will continue to be addressed means that shrimp harvesters and processors will continue to create new jobs in the Gulf,” said David Veal, Executive Director of the American Shrimp Processors Association (ASPA). “Today’s victory would not have been possible without ASPA’s strong advocacy for fair trade in the American shrimp market.”
“This is a huge victory for the domestic shrimp industry,” added Eddy Hayes, Gulf Counsel to ASPA. “Before imposition of the antidumping orders in 2005, individual shrimp fishermen and processors were struggling to survive. After overcoming two major hurricanes and a massive oil spill, this decision gives this vital Gulf industry a chance to thrive over the long term.”
Prior to the imposition of these orders, domestic prices for shrimp were declining to compete with low-priced imports, forcing domestic shrimpers and processors to sell their products at unsustainable prices. In turn, due to declining revenues, businesses that had been open for generations were either letting employees go or were shutting their doors. Since the orders were imposed, imports have dropped by 20%. Import prices have also stabilized since the imposition of the orders. As a result, domestic shrimp fishermen, processors, and distributors increased production, productivity, wages, and revenues over the past five years. Businesses that may have considered closing five years ago have had the resources to modernize and expand, because they were confident that the price of shrimp would not plummet again with the orders in place.
The USITC instituted these reviews on January 4, 2010 to determine whether revocation of the antidumping duty orders on frozen warmwater shrimp from Brazil, China, India, Thailand, and Vietnam would likely lead to the continuation or recurrence of material injury to a domestic industry, and on April 9, 2010, the Commission determined that it should proceed to full reviews in each of the subject five-year reviews. ASPA participated actively in the reviews to urge that the orders be maintained, and ASPA members testified in favor of continued relief at the USITC’s February 1, 2011 hearing in the case.#####
For more information, please contact:
Eddy Hayes, Legal Counsel, ASPA
David Veal, Executive Director, ASPA