For Immediate Release: November 18, 2008
Contact: Brittany Eck   (202) 482-3809

COMMERCE PRELIMINARILY FINDS UNFAIR SUBSIDIZATION OF TOW BEHIND LAWN GROOMERS FROM CHINA

WASHINGTON - The U.S. Department of Commerce today announced its affirmative preliminary determination in the anti-subsidy, or countervailing duty (CVD), investigation of tow behind lawn groomers from China. Tow behind lawn groomers are designed to be used in the care and maintenance of lawn and turf.

“The United States is committed to enforcing U.S. trade laws to ensure American businesses are treated fairly in the international marketplace,” said Assistant Secretary for Import Administration David Spooner. “The Administration will continue to vigorously enforce our anti-subsidy laws and take appropriate remedies based on the facts presented in each case.”

Commerce preliminarily determined that Chinese exporters have received net countervailable subsidies ranging from 0.95 (de minimis) to 254.52 percent. Mandatory respondents, Princeway Furniture (Dong Guan) Co., Ltd./Princeway Limited (collectively Princeway) and Jiashan Superpower Tools Co., Ltd., received net subsidy or CVD rates of 0.95 (de minimis) and 2.77 percent, respectively.

The following companies did not respond to the Department’s request for information, Maxchief Investments Ltd., Qingdao EA Huabang Instrument Co., Ltd., Qingdao Hundai Tools Co., Ltd., Qingdao Taifa Group Co., Ltd. and World Factory, Inc., and therefore received a net subsidy or CVD rate of 254.52 percent based on adverse facts available. All other Chinese exporters received a net subsidy or CVD rate of 2.77 percent.

As a result of this preliminary determination, Commerce will instruct U.S. Customs and Border Protection to suspend liquidation of entries of subject merchandise and to collect a cash deposit or bond based on these preliminary rates except for all companies except Princeway Furniture (Dong Guan) Co., Ltd./Princeway Limited. Commerce is currently scheduled to issue its final determination in April 2009.

The petitioner for this investigation is Agri-Fab, Inc. from Sullivan, Ill.

Subsidies are financial assistance from foreign governments that benefit the production, manufacture or exportation of goods. For more information about Import Administration, or for the fact sheet on today’s decisions, please visit www.trade.gov/ia.

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