ADCVD Fresh Tomatoes from Mexico
History of ADCVD on Fresh Mexican Tomatoes
In 2013, an Suspension agreement was reached with the major producers/exporters to ensure that prices would be revised to eliminate the injurious effects of exports of fresh tomatoes on domestic producers. The 2013 agreement was itself a modification of a 2008 Suspension Agreement on Fresh Tomatoes from Mexico (see Suspension of Antidumping Investigation: Fresh Tomatoes from Mexico, 73 FR 4831 (January 28, 2008) (2008 Agreement)).
In January 2018, Commerce re-opened negotiations with the Mexican signatories but a deal was not reached. In November 2018, the Florida Tomato Exchange (FTE) requested Commerce end the Agreement and resume the antidumping investigation. This action was supported by members of Congress.
Hence, on February 6, 2019, Commerce Secretary Wilbur Ross announced
"We have heard the concerns of the American tomato producing industry and are taking action today to ensure they are protected from unfair trading practices. . . . The Trump Administration will continue to use every tool in our toolbox to ensure trade is free, fair, and reciprocal."
Commerce notice as of February 6 2019, is that it will now formally withdraw from the 2013 Suspension Agreement as of May 7, 2019.
(Under Section VI.B of the Agreement, which states that “[t]he signatories or the Department may withdraw from this Agreement upon ninety days written notice to the other party.”)
After that, the ADCVD investigation will continue forward.
Importers and exporters needing counsel should contact Matt Nakachi at 415-498-0070.
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