Preliminary Finding on Wind Towers

Summary#

The Canadian International Trade Tribunal published three short decisions. On June 20, 2023 it found a preliminary indication that certain wind towers from the People’s Republic of China may be dumped or subsidized and harming Canadian industry. On July 14, 2023 and June 7, 2023 it dismissed two complaints from companies that challenged government procurement awards.

What it does#

• For the preliminary inquiry (Preliminary Injury Inquiry PI-2023-001) the Tribunal found there is evidence showing a reasonable indication that the dumping and subsidizing of certain wind towers originating in or exported from the People’s Republic of China have caused, or threaten to cause, injury to the Canadian industry. This finding was made under the Special Import Measures Act.
• In File PR-2023-002 (decision dated July 14, 2023) the Tribunal reviewed a complaint by RollanTech Inc. about procurement WS3851704599 (a new boiler coil for the Clayton boiler on the vessel Martha L. Black). The Tribunal determined the complaint was not valid.
• In File PR-2022-063 (decision dated June 7, 2023) the Tribunal reviewed a complaint by Newland Canada Corporation about procurement W8484-230353/A (accommodations in Brzeg, Poland). The Tribunal determined that complaint was not valid.

Who's affected#

• The domestic manufacturers and installers of wind towers and related parts in Canada.
• Exporters and producers of the wind towers that come from the People’s Republic of China.
• Companies that bid on the two government contracts, specifically RollanTech Inc., Newland Canada Corporation, the successful bidders (including Park Hotel Brzeg in the Newland case), and the contracting departments: Public Works and Government Services Canada (PWGSC) and the Department of National Defence.
• The Department of Fisheries and Oceans because it was the intended user for the boiler part on the Martha L. Black.

Why it matters#

• The wind-tower finding is a preliminary step. It does not impose duties by itself, but it can lead to a formal anti-dumping or countervailing investigation and possible trade remedies that could affect prices and supply for Canadian wind projects.
• The dismissed procurement complaints mean the original contract awards stand. Bidders who lose a procurement challenge may have fewer options to overturn a contract.
• Businesses that sell to government or compete with imported goods should watch for follow-up actions from the Tribunal or from the agencies involved.

For more details the Tribunal’s public registry was listed in the notice.