American Shrimp Processors Association (ASPA) has filed trade petitions seeking additional antidumping and countervailing duties on imported shrimp. The ASPA aims to combat dumping and alleged illegal subsidies, specifically targeting frozen warmwater shrimp from Ecuador and Indonesia.
The U.S. International Trade Commission (USITC) recently upheld antidumping duties on shrimp from India, China, Thailand, and Vietnam, a move applauded by the ASPA. However, the association claims that the influx of imported shrimp continues to negatively impact the domestic shrimp industry, leading to historically low prices and reduced market share.
U.S. domestic shrimp prices have remained near historic lows in 2023, despite a slight increase in catches in some states as imports rose. The ASPA’s petitions focus on Ecuador, India, Indonesia, and Vietnam, collectively responsible for 90 percent of all imported frozen warmwater shrimp in 2022.
The ASPA alleges that dumping margins, particularly for Ecuador, could be as high as 111 percent. The association also asserts that numerous government subsidy programs in the targeted countries enable shrimp farmers and processors to maintain low prices, putting domestic producers at a competitive disadvantage.
ASPA President Trey Pearson expressed pride in filing the cases on behalf of the industry, citing support from nearly 800 shrimp harvesters representing over half of all domestic landings. The move aligns with ongoing efforts to address the trade imbalance, as seen in a bill introduced by U.S. Senator Bill Cassidy to counter Indian government subsidies.
Trade counsel to the ASPA, Elizabeth Drake, and Eddy Hayes emphasized the necessity of the petitions to counter unfair trade practices. If successful, the imposition of antidumping and countervailing duties is expected to provide relief to the domestic shrimp industry by offsetting the alleged dumping and subsidies, fostering a much-needed market correction.
Source: Seafood Source