Congressman Davis Applauds Commerce Department Decision to Levy Countervailing Duties Against China

Press Release

CONGRESSMAN DAVIS APPLAUDS COMMERCE DEPARTMENT DECISION TO LEVY COUNTERVAILING DUTIES AGAINST CHINA

Today, the U.S. Commerce Department announced that it is extending countervailing duties against a non-market economy as a remedy for unfair domestic subsidies for the first time in 23 years. U.S. Representative Artur Davis (D-Ala.) along with U.S. Representative Phil English (R-Pa.) introduced H.R. 1229, the Nonmarket Economy Trade Remedy Act of 2007 in February to provide clarifying guidelines on countervailing duty policy.

While the Department of Commerce elected to issue countervailing duties in this instance, Congressman Davis hopes that swift enactment of H.R. 1229 will provide clearer standards that are less subject to arbitrary considerations.

"The Administration's decision today to apply countervailing duties in this case is a positive development. It signals a departure from an arbitrary application of our trade laws that no longer make sense. However, it is still imperative that Congress pass countervailing duty legislation that Congressman English and I have introduced in order that our policy regarding subsidies is made crystal clear.

"It is my hope that the Ways and Means Committee will move this legislation soon after we return to Washington in mid-April, and that there will be a strong bi-partisan endorsement of stronger penalties for these types of actions by non-market economies including China."

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