September 25, 2019 | Industry Insights

Fresh Tomatoes from Mexico: A Suspension Agreement was Signed – Now What?

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A signing ceremony for the Suspension Agreement occurred on Thursday, September 19. That agreement takes effect upon signing by Commerce and the Signatories.  The suspension agreement imposes new procedures on tomatoes imported from Mexico. Tomatoes imported from signatories will not require the 17.56% antidumping duty deposit, however liquidation will still be suspended.


Here are 4 Things to Know About the Suspension Agreement:

  1. The signing triggers a 20 day window where interested parties may request the US International Trade Commission to review if the agreement completely eliminates the injurious effect of dumping. The review takes no more than 75 days.  Should the USITC’s conclusion be negative, then the antidumping duty investigation will, once again, resume like it did on May 7, 2019, as if no suspension agreement were in place. Should the USITC’s conclusion be affirmative, or no review is requested, then the antidumping duty investigation will be suspended, liquidation suspension will be lifted, and CBP will be instructed to liquidate entries at 0% ADD margins.
  2. When entries become eligible for liquidation, importers and their Customs brokers should be monitoring these entries for liquidation. If they do not liquidate, the customs broker should be contacting CBP to request liquidations.
  3. In general, Roanoke Trade’s underwriters will waive the standard waiting period for review of collateral release for these importer’s bonds. Each importer will be reviewed individually to determine when collateral may be released. We anticipate that qualified importers will receive refunds earlier than the normal waiting period.
  4. We believe that continuous import bonds may be reviewed for a possible reduction. Contact your Roanoke Trade bond service representative for a bond sufficiency report to help determine when the bond can be reduced.

Please don’t hesitate to contact your local Roanoke Trade bond team with any questions you may have about this suspension agreement, especially when they involve the importation of merchandise subject to ADD/CVD.

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