TRA reconsiders recommendation on imports of Chinese excavators
The TRA has initiated a reconsideration of its recommendation to impose a new anti-dumping measure on imports of certain excavators from China.
The Trade Remedies Authority has initiated a reconsideration of its recommendation to impose a new anti-dumping measure on imports of certain excavators from China.
Reconsiderations are part of the process that parties can use to ask the TRA to look again at its decisions and are in line with the World Trade Organization rules for free and fair trade. You can read more about reconsiderations on the TRA’s website.
The initiation today follows submissions received from LiuGong Group and Caterpillar Group requesting that the TRA reconsider its recommendation.
LiuGong has claimed that battery electric machines should not be included within the definition of the goods and the tariff imposed. It has asked for battery electric machines to be removed from the description of the goods and all related tariffs.
Caterpillar has questioned the TRA’s calculation of the individual anti-dumping amount that was calculated for it as the sampled cooperating overseas exporter to the original investigation. It has asked the TRA to recalculate the injury margin, dumping margin, injury and causal link determination and the form of the anti-dumping measures.
The TRA’s reconsideration will consider the grounds submitted by both applicants as part of one single investigation within the rules set out in the UK’s regulatory framework and the underlying World Trade Organization obligations. It will determine whether the applications received necessitate a different recommendation to that originally given to the Secretary of State for Business and Trade.
At the end of the reconsideration process, the TRA will reach a reconsidered decision either upholding or varying its recommendation and will notify this to the Secretary of State for Business and Trade.
About the TRA’s original recommendation
The TRA’s original anti-dumping investigation, which was undertaken in response to a request from a UK manufacturer, assessed whether excavators imported from China are being dumped and therefore being sold in the UK at unfairly low prices.
The final recommended measure, which was accepted by the Secretary of State for Business and Trade and came into force on 14 May 2024, imposed tariffs on imports of these goods ranging from 18.81% for a sampled exporter to 40.08% for the residual rate. This measure will remain in force throughout the duration of the reconsideration.
Background
- The Trade Remedies Authority is the UK body that investigates whether new trade remedy measures are needed to counter unfair import practices and unforeseen surges of imports.
- The UK trade remedies regime is set by the Taxation (Cross-Border Trade) Act 2018 and the Trade Act 2021, which operationalise the World Trade Organization (WTO) agreements covering trade remedies.
- Reconsiderations are part of the process that parties can use to ask the TRA to look again at its decisions. Many government departments, non-departmental public bodies and other government agencies (including decision-making bodies on taxation and benefits) provide for interested parties to request an internal reconsideration of a decision as part of their standard processes.
- For a reconsideration to be undertaken by the TRA, applicants must meet the following criteria:
- Set out the grounds for their application.
- Explain the outcome they are looking for.
- Demonstrate that they are eligible to apply for a reconsideration of this decision.
- If an application does not meet any or all the three criteria set out above, the TRA will review this and may ultimately reject an application.