Suppliers to the US Beware: Increased Compliance and Enforcement of Antidumping and Countervailing Duties
US tariffs on steel, aluminum, solar panels, and numerous antidumping and countervailing duty (“AD/CVD”) orders on finished and raw input products have put exporters in a bind. On one hand, sourcing and supply chain decisions have become more complex and uncertain. On the other, opportunities have grown for companies in countries that are not subject to certain tariffs or that are able to obtain exclusions from the tariffs. This increased activity in imposing duties also comes with a heightened focus on US import compliance. Companies in the Asia-Pacific region should be aware of the scrutiny that covered imports face and, in particular where a related entity in the US acts as the importer, should ensure that they understand the scope of the AD/CVD orders and applicable duty rates.
Previously Published: BakerMcKenzie