Breaking News
Commerce Department Issues Preliminary Affirmative Antidumping Duty Determination on Chinese Low-Speed Personal Transportation Vehicles, Wiley Rein LLP Reports
January 24, 2025
Washington, DC – Today, the U.S. Department of Commerce (Commerce) announced its preliminary finding that Chinese producers have sold low-speed personal transportation vehicles (LSPTVs) into the United States at less than fair value, violating U.S. international trade laws. Commerce calculated affirmative antidumping duties ranging from 127.35% to 478.09%. The American Transportation Vehicle Manufacturers Coalition (Coalition) – a coalition of leading U.S. producers of LSPTVs, namely Club Car LLC and Textron Specialized Vehicles Inc., which manufacture E-Z-GO® and Cushman® vehicles – commends Commerce for its hard work on this investigation and for the agency’s decision to impose these duties, which are vital for the domestic industry and its workers.
Today’s determination establishes the preliminary duty margins in the dumping portion of this investigation. Following the publication of Commerce’s preliminary determination in the Federal Register in approximately one week, Commerce will instruct U.S. Customs and Border Protection (Customs) to begin suspending liquidation and collecting preliminary antidumping duties (in the form of cash deposits) on entries of LSPTVs from China. These duties will be added to the preliminary subsidy duties already in place on Chinese imports, which range from 22% to 515%.
In its decision, Commerce also made a preliminary determination of critical circumstances finding that imports of Chinese LSPTVs are rapidly surging into the U.S. market. As a result, preliminary antidumping duties will be imposed retroactively on all imports of Chinese LSPTVs that entered the United States within 90 days prior to the preliminary determination.
This is a preliminary determination only, and dumping margins may increase when Commerce reaches its final determination. Commerce’s final antidumping duty determination will be aligned with the agency’s final countervailing duty determination, which is expected to be issued in June 2025.
“The U.S. Department of Commerce’s decision further levels the playing field for American manufacturers and ultimately our customers,” said Mark Wagner, President and CEO of Club Car LLC. “This action is a win for our hardworking employees and helps return fairness to our industry.”
“We appreciate the findings of the U.S. Department of Commerce and its actions to help protect our U.S. manufacturers,” said Rob Scholl, President and CEO of Textron Specialized Vehicles Inc. “We are committed to investing in American manufacturing and to our workforce of dedicated employees at our facilities in Augusta, Ga. and across the country. The actions announced today will help safeguard those workers from the impacts of the unfair trade practices of state-subsidized Chinese producers.”
“Today’s preliminary finding of unfair and illegal dumping by Chinese producers is another key step in remedying the significant harm these companies have caused the U.S. industry,” said Robert E. DeFrancesco, trade counsel to the Coalition and a partner in the International Trade Practice at Wiley. “The level of dumping shown by this determination demonstrates that Chinese producers are not competing fairly in the U.S. market, and Commerce’s imposition of these duties will allow domestic manufacturers to compete on a more level playing field.”
The duties that will be imposed following today’s determination are assessed on the importer of record of the subject merchandise. Duty evasion, absorption, and circumvention are illegal and closely monitored by Customs, in conjunction with Commerce.
For complete article visit: Wiley Law
About Club Car
With over 60 years of experience of innovation and design in producing small-wheel vehicles, Club Car is a leading manufacturer of gas and electric golf, utility and personal transportation vehicles. Since 1958, the Club Car product portfolio has grown to include much more than golf cars, now encompassing vehicles for commercial and consumer markets, all built with an uncompromised desire for superior safety, quality, and performance. As a global leader in sustainability and electrification, the Club Car Vehicle Group includes luxury electric vehicle brand, Garia, and lightweight electric utility vehicle brand, Melex. Garia and Melex product portfolios share similar characteristics of reliability, thoughtful design, and proven performance. Club Car Vehicle Group is proud to be at the forefront of environmentally responsible Zero Emission Vehicle (ZEV) technologies.