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U.S. Sugar Producers File Antidumping, Subsidy Cases Against Mexico

By Phillip Hayes, The American Sugar Alliance Apr 14, 2014

America’s sugar producers today asked the United States government to take corrective action against Mexico’s sugar industry for dumping subsidized sugar onto the U.S. market and inflicting harm on U.S. growers and taxpayers.

The antidumping and countervailing duty petitions filed with the U.S. International Trade Commission and U.S. Department of Commerce allege that the Mexican industry has shipped sugar to the United States at dumping margins of 45 percent or more and has received substantial subsidies from Mexican federal and state governments.

All told, these actions will cost U.S. sugar producers nearly $1 billion in net income for the 2013/2014 crop year, according to the filings.

The North American Free Trade Agreement (NAFTA) “gives Mexico the right to export sugar to the United States on a tariff-free and quota-free basis—but that does not give the Mexican industry the right to export its surplus to the U.S. market at dumped prices, nor does it permit the [Mexican government] to subsidize its sugar industry without regard to the impact of those subsidies on U.S. producers,” the petitions read.

Read Full Article on The American Sugar Alliance »