Canadian wheat imports subsidized, dumped in U.S.


WASHINGTON – Imports of certain durum wheat and hard red spring wheat from Canada were subsidized and dumped on the U.S. market, the U.S. Department of Commerce has ruled.

Margins. In an Aug. 29 final affirmative determination the department said that dumping margins were 8.26 percent for durum wheat imports and 8.87 percent for red spring wheat imports and net subsidy rates were 5.29 percent for both kinds of wheat.

Imposition of antidumping duties requires final affirmative determinations both from the Commerce Department that dumping occurred and from the U.S. International Trade Commission that the imports injured or threatened U.S. industry.

Similarly, imposition of countervailing duties requires final rulings both from commerce that subsidies were paid and from the commission on injury.

Final determination. The commission’s final determinations are expected by Oct. 14.

In the meantime U.S. customs officials will collect a cash deposit or bond on any subject imports equal to the estimated dumping margins and net subsidy rates. The money would be returned in the event of a negative determination.

Dumping is the import of goods at a price below the home-market or a third-country price or below the cost of production.

Margins. A dumping margin represents by how much the fair-value price exceeds the dumped price.

A subsidy is a grant conferred on a producer by a government.

Between July 2001 and June 2002 combined U.S. imports of hard red spring and durum wheat varieties from Canada amounted to $290.1 million.


Up-to-date agriculture news in your inbox!