Possible Resolution of Antidumping Duties on Mexican Tomatoes

Aug 26, 2019 | Food, Law & Regulatory, USDA

Earlier this week the U.S. Commerce Department announced there is a new draft suspension agreement, which will avoid the need for antidumping duties (ADD). Their press release indicated that after a 30-day notice period, a final agreement could be signed on September 19, 2019. At that point, Commerce would suspend the ongoing antidumping investigation without issuing a final determination.

As we had reported this past spring, this stems from an antidumping investigation going back to 1996, which had been suspended for more than two decades. The products in question are all fresh or chilled tomatoes from Mexico. “Processed” tomatoes were not covered by the antidumping case (i.e. canned, dehydrated, dried, juices, sauces, purees, etc.).

Jessica Rifkin, our affiliated Senior Customs Attorney, reminds importers that “refunds of antidumping duties deposited this summer can be requested once the final agreement is signed.”

 Inspections at the Border

This draft agreement includes an inspection mechanism to “prevent the importation of low-quality, poor-condition tomatoes.” While this is new to the agreement, the inspection of imported tomatoes is not a new concept. U.S. Department of Agriculture’s Agricultural Marketing Service (AMS) regulates certain imported fruits and vegetables under Section 8e of the Agricultural Marketing Agreement Act of 1937. This includes inspections at the border to ensure grade and quality standards. The importer of record presents the shipments for inspection and pays any inspection fees.

If you have questions about fresh produce or other imports, contact our team to discuss your options at contact@fdaimports.com.

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