At a Glance
- A group of domestic producers of polypropylene corrugated boxes filed antidumping and/or countervailing duty petitions on polypropylene corrugated boxes from China and Vietnam.
- Investigations related to these petitions could result in increased prices and/or decreased supply of polypropylene corrugated boxes.
- The U.S. Department of Commerce is expected to begin investigations on April 7, 2025.
On March 18, 2025, antidumping (AD) and/or countervailing duty (CVD) petitions were filed on polypropylene corrugated boxes from China (AD & CVD) and Vietnam (AD only). The petitions were filed by CoolSeal USA Inc., Inteplast Group Corporation, SeCa Plastic Packaging, and Technology Container Corp. (“petitioners”).
The U.S. AD law imposes special tariffs to counteract imports that are sold in the United States at less than “normal value.” The U.S. CVD law imposes special tariffs to counteract imports that are sold in the United States with the benefit of foreign government subsidies. For AD/CVD duties to be imposed, the U.S. government must determine not only that dumping and/or subsidization is occurring, but also that there is “material injury” (or threat thereof) by reason of the dumped and/or subsidized imports. Importers are liable for any potential AD/CVD duties imposed. In addition, these investigations could impact purchasers by increasing prices and/or decreasing supply of polypropylene corrugated boxes.
Scope
Please note that this section was not written by our authors but is taken verbatim from the petition.
The merchandise covered by these investigations is Polypropylene Corrugated Boxes (“PCBs”). PCBs are boxes, totes, or other containers made of corrugated polypropylene sheets, also known as polypropylene hollow core sheets, polypropylene twin wall sheets, or multi wall sheets. Such polypropylene sheets are typically produced using a continuous extrusion process from a plastic resin consisting of 50 percent or more polypropylene.
PCBs are covered by the scope irrespective of the particular mix of polypropylene homo-polymer, polypropylene co-polymer, recycled or virgin polypropylene, or ancillary chemicals such as electrostatic agents or flame retardants. PCBs are formed by corrugated polypropylene sheets cut to discrete lengths, scored for folding edges, and die-cut into specific box formats. PCBs may be printed with ink or digital designs. PCBs may enter the United States in folded form or may enter unfolded and later be constructed to form a box shape with a bottom wall and side walls. Unfolded and constructed PCBs may have manufacturers’ joints to retain their final shape.
The subject merchandise includes PCBs with or without handles, with or without lids or tops, with or without reinforcing wire, and whether in a one-piece or multi-piece configuration.
The products subject to the investigations are currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under statistical reporting number 3923.10.9000. Although the HTSUS statistical reporting number is provided for convenience and customs purposes, the written description of the merchandise is dispositive.
Estimated Dumping Margins
The Petitioner alleges dumping margins for the countries as follows:
- China: 74.63% to 83.49%
- Vietnam: 40.85%
The Petitioner also alleges subsidies with respect to imports from China, although the petition does not quantify the alleged net subsidy margin.
Estimated Schedule of Investigations
The following is an estimated schedule of investigations by the U.S. Department of Commerce (DOC) and the U.S. International Trade Commission (ITC):
Legal clerk Lucy Zhang contributed to this update.
