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WASHINGTON DC, US: The US Commerce Department preliminarily determined that producers and exporters from China and Austria sold xanthan gum in the US market at less than fair value, signaling that it may impose punitive duties on the products. The US Commerce found the products from China and Austria were sold at dumping margins of 21.69 per cent to 154.07 per cent, and 17.18 per cent respectively. The department is scheduled to make its final determination in May 2013.
Punitive duties would be imposed after both the Commerce and the US International Trade Commission (USITC) make affirmative final rulings. The USITC is expected to make a final decision in May 2013. The petitioner for the investigation is CP Kelco US, Inc based in Atlanta, Georgia, one of the remaining two US producers of xanthan gum.
The US move came at a time when protectionism is reviving in the country amid sluggish economic recovery. It was widely believed that such actions would hurt US-China trade relations that are increasingly critical to global economic recovery.
© Xinhua News
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