GB 2018 RI
Certain Gypsum Board
Notice of Conclusion of Re-investigation

Ottawa, July 18, 2018

The Canada Border Services Agency (CBSA) has today concluded a re-investigation to update the normal values and export prices respecting certain gypsum board originating in or exported from the United States of America, imported into Canada for use or consumption in the provinces of British Columbia, Alberta, Saskatchewan, and Manitoba, as well as the Yukon and Northwest Territories (Western Canada), in accordance with the Special Import Measures Act (SIMA).

The re-investigation was initiated on February 12, 2018, as part of the ongoing enforcement of the Canadian International Trade Tribunal’s (CITT) injury finding issued on January 4, 2017.

The product definitions as well as additional product information and the applicable tariff classification numbers of the goods subject to the CITT’s findings are contained in Appendix 1 (subject goods).

At the initiation of the re-investigation, the CBSA sent Requests for Information (RFI) to all known and potential importers and exporters and to the Western Canadian producer to solicit information on the costs and selling prices of subject and like goods. The information was requested for purposes of updating the normal values and export prices for subject goods imported into Canada.

Specific normal values for future shipments of certain gypsum board have been determined for all exporters that submitted a complete response to the Dumping RFI, to the Supplemental RFIs and for whom the desk and/or on-site verification was considered reliable.

The exporters that have received specific normal values effective July 18, 2018 are:

Exporter
Certain Teed Gypsum and Ceiling USA, Inc.
Georgia-Pacific Gypsum LLC
United States Gypsum Company

For all other exporters of subject goods originating in or exported from the United States of America, normal values will be determined by ministerial specification. The normal values for future shipments determined by ministerial specification are calculated by advancing the export price of the goods by 324.1%, pursuant to section 29 of SIMA.

During the course of the re-investigation, representations, case arguments and reply submissions were received on behalf of counsel for the Western Canadian producer, importers, and exporters. Issues raised in these filings included: deficiencies and inaccuracies respecting the importer and exporter submissions, reliability testing of the export prices and the application of section 25 of SIMA, cost allocation methods, trade level adjustments, retroactive duty assessment due to market changes or failure to raise prices in Canada, and the impact of the Remission Order on imports of subject goods. The information submitted in these documents were given due consideration by the CBSA prior to the conclusion of the re-investigation.

The normal values will be effective for subject goods released from the CBSA on or after July 18, 2018, and will remain effective until such a date that the CBSA updates the normal values or the CITT rescinds a finding. The updated normal values determined in this re-investigation do not have an effect on the reference values determined pursuant to the Gypsum Board Products Anti-dumping Duty Remission Order, 2017, issued by the Governor General in Council, on recommendation of the Minister of Finance on February 24, 2017.

In addition, the normal values determined on the basis of the current re-investigation will be applied to any entries of subject goods under appeal that have yet to be re-determined at the time of the conclusion of this re-investigation.

Please note that exporters with normal values are required to promptly inform the CBSA in writing of changes to domestic prices, costs, market conditions or terms of sale associated with the production and sales of the goods. Where the CBSA considers such changes to be significant, the normal values and export prices will be updated to reflect current conditions. All parties are cautioned that where there are increases in domestic prices, and/or costs as noted above, the export price should be increased accordingly to ensure that any sale made to Canada is not only above the normal value but at or above selling prices and full costs and profit of the goods in the exporter’s domestic market. If exporters do not properly notify the CBSA of any such changes, do not adjust export prices accordingly, or do not provide the information required to make any necessary adjustments to normal values and export prices, retroactive assessments of anti-dumping or countervailing duties may be warranted.

Importers are reminded that it is their responsibility to calculate and declare their anti-dumping and countervailing duty liability. If importers are using the services of a customs broker to clear importations, the brokerage firm should be advised that the goods are subject to SIMA measures and be provided with sufficient information necessary to clear the shipments. In order to determine their anti-dumping and countervailing duty liability, importers should contact their suppliers who can provide information on normal values and amounts of subsidy. Under limited circumstances, the CBSA may make this information available to importers. Please refer to Memorandum D14-1-2, Disclosure of Normal Values Export Prices, and Amounts of Subsidy established under the Special Import Measures Act, for more information.

The Customs Act applies, with any modifications that the circumstances require, with respect to the accounting and payment of anti-dumping and countervailing duties. As such, failure to pay duties within the prescribed time will result in the application of the interest provisions of the Act.

Should the importer disagree with the determination made on any importation of goods, a request for re-determination may be filed with the Director General, Trade and Anti-dumping Programs Directorate, 11th Floor, 100 Metcalfe St., Ottawa, Ontario K1A 0L8. Such a request must be received within 90 days from the making of the determination, in the form and manner outlined in Memorandum D14-1-3, Re-determinations and Appeals under the Special Import Measures Act.

Officers' names and contact information:

  • Matthew Lerette: 613-954-7398
  • Khatira Akbari: 613-952-0532

E-mail:

Appendix 1

Product Definition

The subject goods are defined as:

“Gypsum board, sheet, or panel (“gypsum board”) originating in or exported from the United States of America, imported into Canada for use or consumption in the provinces of British Columbia, Alberta, Saskatchewan, and Manitoba, as well as the Yukon and Northwest Territories, composed primarily of a gypsum core and faced or reinforced with paper or paperboard, including gypsum board meeting or supplied to meet ASTM C 1396 or ASTM C 1396M or equivalent standards, regardless of end use, edge-finish, thickness, width, or length, excluding (a) gypsum board made to a width of 54 inches (1,371.6 mm); (b) gypsum board measuring 1 inch (25.4 mm) in thickness and 24 inches (609.6 mm) in width regardless of length (commonly referred to and used as "paper-faced shaft liner"); (c) gypsum board meeting ASTM C 1177 or ASTM C 1177M (commonly referred to and used primarily as “glass fiber re-enforced sheathing board” but also sometimes used for internal applications for high mold/moisture resistant applications); (d) double layered glued paper-faced gypsum board (commonly referred to and used as "acoustic board"); and (e) gypsum board meeting ISO16000-23 for sorption of formaldehyde. All dimensions are plus or minus allowable tolerances in applicable standards.”

Tariff Classification Number

In the Customs Tariff 2017, the subject goods were usually classified under the following tariff classification number:

  1. 6809.11.00.00

According to the Customs Tariff 2018, the subject goods are usually classified under the following tariff classification numbers:

  1. 6809.11.00.19
  2. 6809.11.00.90

The tariff classification numbers are for convenience of reference only. Refer to the product definition for authoritative details regarding the subject goods.

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