Pea protein import rulings from China

Summary#

The Canada Border Services Agency used the Special Import Measures Act to end some investigations and to make final findings about pea protein imports from China. The agency stopped dumping or subsidy cases for a few named exporters but found dumping/subsidizing for other Chinese exporters; the Canadian International Trade Tribunal (CITT) will decide on injury by November 19, 2024.

What it does#

• Terminates the dumping investigation for these Chinese exporters because the goods were found not to be dumped:
  • Shandong Jianyuan Bioengineering Co., Ltd.
  • Yantai Shuangta Food Co., Ltd.
  • Yantai Oriental Protein Tech Co., Ltd.
  • Yantai Yiyuan Biological Engineering Co., Ltd.
• Makes a final determination of dumping for all other exporters of pea protein from China whose investigations were not terminated.
• Terminates the subsidy investigation for Yantai T.Full Biotech Co., Ltd. because the subsidy amount was found to be insignificant.
• Makes a final determination of subsidizing for all other Chinese exporters still under investigation.
• Keeps provisional duties in place on the subject goods from China until the CITT issues its injury decision.
• Stops provisional duties on imports that relate to the exporters for which the CBSA terminated the investigation; any provisional duties paid or security posted for those imports will be refunded as appropriate.
• Notes the tariff classifications usually used for these goods: 3504.00.90.00 and 2106.10.00.00.
• Says a Statement of Reasons will be published on the CBSA website within 15 days of the decisions. The Customs Act will govern accounting and payment rules if duties are applied.

Who's affected#

• Importers of pea protein from China. They may already be paying provisional duties or could face duties later.
• The named Chinese exporters listed above. Investigations against some were ended; others remain subject to duties.
• Canadian pea protein producers and processors who compete with or use imported pea protein. The CITT’s injury decision could change competition and pricing.
• Customs brokers and businesses that handle import paperwork and security for these shipments.
• It is unclear from the notice exactly which other Chinese exporters are covered by the final determinations; those exporters and their customers would also be affected.

Why it matters#

• If the CITT finds that dumping or subsidizing caused injury, antidumping and/or countervailing duties could apply to future imports. That can raise costs for importers and for companies that use pea protein in food and industrial products.
• Some importers will get refunds where investigations were terminated. Others must keep paying provisional duties until the tribunal decides.
• The decision is part of an ongoing trade-remedy process. It affects cross-border trade in a common food ingredient and could influence prices and supply for manufacturers and consumers.