On July 12, 2023, PURIS Proteins filed antidumping (AD) and countervailing duty (CVD) petitions against Pea Protein from China. Pea Protein is usually sold in powder form and is a food ingredient for foods sold to individuals who are allergic to glutens (e.g., snack bars, plant-based meat products, other gluten-free foods).
The U.S. Department of Commerce (“DOC”) and U.S. International Trade Commission (“ITC”) will conduct investigations to further examine the allegations made in the petition. DOC will investigate whether the named subject imports are being sold to the United States at less than fair value (“dumping”) or benefit from unfair government subsidies. ITC will investigate whether the subject imports are causing “material injury” or “threat of material injury” to the domestic industry. Both agencies must make affirmative findings of injury or threat of injury (ITC) or of dumping or subsidies (DOC) for AD/CVD duties to be imposed on the subject imports.
The proposed scope definition of this case covers high protein content (“HPC”) pea protein, which is a protein derived from peas (including, but not limited to, yellow field peas and green field peas) containing more than 65 percent protein on a dry weight basis. HPC pea protein may also be identified as pea protein concentrate, pea protein isolate, hydrolyzed pea protein, pea peptides, and fermented pea protein. Pea protein, including HPC pea protein, has the Chemical Abstracts Service (“CAS”) registry number 222400-29-5.
The scope covers HPC pea protein in all physical forms, including all liquid (e.g.,solution) and solid (e.g., powder) forms, regardless of packaging.
The scope includes HPC pea protein described above that is blended, combined, or mixed with non-subject pea protein or with other products, including with protein powders, dry beverage blends, and protein fortified beverages. For any such blended, combined, or mixed products, only the HPC pea protein component is covered by the scope of these investigations. HPC pea protein that has been blended, combined, or mixed with other products is included within the scope, regardless of whether the blending, combining, or mixing occurs in third countries.
HPC pea protein otherwise within the scope is covered when blended, combined, or mixed with HPC pea protein from sources not subject to this investigation, though only the subject component of the commingled product is covered by the scope.
A blend, combination, or mixture is excluded from the scope of these investigations if its total HPC pea protein content (regardless of the source or sources) constitutes less than 5 percent of the blend, combination, or mixture on a dry weight basis.
The merchandise covered by the scope is classified under categories 3504.00.1000, 3504.00.5000, and 2106.10.0000 of the Harmonized Tariff Schedule of the United States (“HTSUS”). This merchandise may also enter the U.S. market under HTSUS category 2308.00.9890.
See the full proposed scope definition here.
Alleged AD/CVD Margins
Petitioner calculated estimated dumping margins for China at 23.86% to 291.74%.
Petitioner did not provide specific Chinese subsidy margin calculations.
Named China Exporters/ Producers
Petitioner included a list of companies it believes to be the producers and exporters of the subject merchandise. See the attached list of these producers and exporters here. Many of these Chinese exporters/producers are based in Shandong Province.
Petitioner included a list of companies it believes to be the U.S. importers of the subject merchandise. See the attached list of these U.S. and Canadian importers here.
Estimated Schedule of Investigations
July 12, 2023 – Petitions filed
August 1, 2023 – DOC initiates investigation
August 2, 2023 – ITC Staff Conference
August 26, 2023 – ITC preliminary determination
December 9, 2023 – DOC CVD preliminary determination, assuming an extended deadline. It will be 100/5/23 if the deadline is not extended.
February 7, 2024 – DOC AD preliminary determination (assuming extended deadline) It will be 12/19/23 if the deadline is not extended.
June 21, 2024 – DOC final determination (extended)
August 5, 2024 – ITC final determination (extended)
August 12, 2024 – DOC AD/CVD orders issued (extended)
Companies impacted by these investigations/proceedings will be bound by strict statutory deadlines and thus should begin preparing their defenses as quickly as possible. If your company is involved with this merchandise, please feel free to contact Harris Sliwoski to receive additional information as it becomes available.
Businesses subject to these investigations/proceedings will need to navigate stringent statutory deadlines, necessitating immediate commencement of defense preparation. If your company is involved with merchandise within the scope of these investigations, please feel free to reach out to our international trade team for relevant updates and assistance. We can help you in gaining an informed understanding of the pea protein situation and in formulating a proactive strategy for responding to it.