The US International Trade Commission has decided that plastic bags imported from Vietnam will be subjected to double duties of anti-dumping and countervailing in the US market.
The commission determined that a US industry is threatened with material injury by imports of polyethylene retail carrier bags or plastic bags from Vietnam, which it claims were subsidized and sold at less than fair value.
In its announcement on April 15, the commission said it would issue anti-dumping and countervailing duty orders on the imports but did not disclose the date.
Last year, the US Department of Commerce had issue a similar ruling saying Vietnamese polyethylene bag exporters sold their products at 52.30-76.11 per cent below normal value in the US and received Vietnamese government subsidies of 1-52.56 percent.
The two US watchdogs also issued similar rulings on imports from Indonesia and Taiwan but exporters from these markets avoided countervailing duties in the US market.
This is the first time that a product exported from Vietnam has been subject to two punitive taxes at the same time and the third product after shrimp and pangasius or tra and basa catfish that has been penalized by US authorities
Ngo Van Thoan, Vietnamese trade counselor in the US, denounced the latest ruling as unfair.
Thoan said Vietnamese exporters had given the department adequate data showing that Vietnam's support for its businesses was in accordance with the rules of the World Trade Organization.
The investigation into this case started on March 31 last year when a petition was filed by US-based companies Hilex Poly Company and Superbag Corporation.