Notice of initiation of a normal value review: Refined sugar (SUG 2022 UP1)

Ottawa, December 12, 2022

The Canada Border Services Agency (CBSA) has today initiated a normal value review of refined sugar, refined from sugar cane or sugar beets, in granulated, liquid and powdered form (refined sugar), exported from the United States by United Food Group Inc. (United).

The review follows an appeal filed by an importer and is part of the CBSA’s enforcement of the Canadian International Trade Tribunal’s (CITT) order issued on August 6, 2021, respecting the dumping of refined sugar from the United States, Denmark, Germany, the Netherlands and the United Kingdom and amounts of subsidy of refined sugar from the European Union, in accordance with the Special Import Measures Act (SIMA).

The product definition and the applicable tariff classification numbers of the goods subject to the CITT finding are contained in Appendix 1 (subject goods).

The deadline for United to provide a complete and accurate response to the CBSA’s dumping request for information (RFI) is January 17, 2023. The exporter will be considered cooperative if the requested information is complete, submitted on time and the exporter permits verification of the data.

The schedule for this review is now available. The CBSA will close the record for this normal value review at any time during the proceeding, without advanced notice, once it has been determined that sufficient information has been received to make a decision. Therefore, interested parties are encouraged to provide any and all information that they feel is relevant to this review to the CBSA as early as possible. The CBSA will update the website to announce that the record has been closed. Interested parties will have seven days from the close of the record to file case arguments concerning the normal value review and 14 days from the close of the record to file reply submissions in respect of the case arguments.

The normal values determined as part of this review will apply to subject goods released from the CBSA on or after the date of the conclusion of the normal value review and may be applied to any requests for re-determination that have not been processed prior to the conclusion of the review, regardless of the date that the requests were received.

Please note that exporters are required to promptly inform the CBSA in writing of changes to domestic prices, costs, market conditions or terms and channels of sale associated with the production and sales of the goods. All parties are cautioned that where there are increases in domestic prices, and/or costs as noted above, the export price for sales to Canada should be increased accordingly to ensure that any sale made to Canada is not only above the normal value but at or above selling prices and full costs and profit of the goods in the exporter’s domestic market.

In situations where related parties are involved, companies are cautioned that they must increase resale pricing to their unrelated customers in Canada in order to avoid secondary dumping. If it is determined that the company has raised its selling prices in Canada to levels necessary to eliminate all secondary dumping, the export prices will be calculated under section 24 of SIMA. Price reviews will continue to be conducted to ensure that an appropriate selling price is maintained in the Canadian market. However, if as a result of a review, a company is found to be in a secondary dumping situation, anti-dumping duties may be assessed retroactively.

Contact us

• Telephone:
• Rebecca Akuoko-Asibey: 343-553-1411

Email: simaregistry-depotlmsi@cbsa-asfc.gc.ca

Appendix 1: Product definition

Exclusions as of November 6, 1995

1. Co-crystallized products—For greater clarity, these products are comprised of sugar syrups or liquid sucrose blends and one or more non-sucrose ingredients combined through a co-crystallization process to form a dry solid structure in granulated or powder form
2. Pearl sugar—For greater clarity, pearl sugar is hard granulated sugar, pellet-formed by subjecting sugar syrup to intense heat. The pellet, which is the size of a pea, is shaped like a football. It is coarser than coarse sugar, i.e. confectioners' sugar
3. Bottler's floc-free beet sugar: Imported by McNeil Consumer Products Company for use in pharmaceutical preparations
4. Lyle's Golden Syrup: Produced by Tate & Lyle PLC
5. Lyle's Pouring Syrup: Produced by Tate & Lyle PLC
6. Daddy brand wrapped sugar dominoes in 1-kg boxes—For greater clarity, these are sugar cubes which are wrapped in illustrated paper wrappings, each of which contains two sugar cubes
7. Daddy brand wrapped sugar cubes in 5-kg boxes containing 960 portions—For greater clarity, each portion contains two sugar cubes which are wrapped in illustrated paper wrappings
8. Saint Louis brand pre-cut brown cane sugar lumps in 1-kg boxes—For greater clarity, these are rough-shaped sugar lumps comprised of brown cane sugar
9. Daddy brand shaped white sugar pieces in 500-g boxes—For greater clarity, these sugar pieces are pre-cut into diamond, heart, spade and club shapes
10. Daddy brand brown or blond "Vergeoise" sugar in 500-g cases
11. Comptoir du Sud brand brown and white sugar pieces in 1-kg and 500-g boxes
12. Daddy brand brown coffee sugar in 500-g box packets—For greater clarity, this is a large granule brown sugar
13. Demerara sugar cubes: Produced by Tate & Lyle PLC
14. Amber sugar crystals: Produced by Tate & Lyle PLC. For greater clarity, these are large sugar crystals in varying shades of brown
15. Low-colour liquid sucrose with a colour no higher than 10 maximum ICUMSA (International Commission for Uniform Methods of Sugar Analysis) colour units and distiller's grade liquid sucrose imported by Gilbey Canada Inc. for use as ingredients in its production process

Additional exclusions as of November 3, 2000

16. Bottler's floc-free beet sugar imported for use in pharmaceutical preparations where it is established by the importer that floc-free beet sugar from Canadian sources does not meet the applicable product specifications
17. Golden, pouring and other table syrups imported in retail-ready packaging in containers not exceeding 3 litres
18. Subject to the exception below, specialty wrapped sugar cubes, each individual wrapping containing not more than 3 sugar cubes, imported in retail-ready packages not exceeding 5 kg in weight. This exclusion does not include generic wrapped white sugar cubes (i.e. where the illustration consists of primarily a trade-mark, trade name, company name or other commercial identification as opposed to a unique illustration)
19. Pre-cut specialty shaped sugar pieces, imported in retail-ready packaging, in packages not exceeding 1 kg in weight—For greater clarity, these include diamond-, heart-, spade- and club-shaped sugar but do not include cube- or domino- (i.e. rectangular) shaped sugar
20. Rough-shaped lumps and pieces, in lumps or pieces weighing between 3 and 10 grams on average, imported in retail-ready packaging, in individual packages not exceeding 1 kg in weight
21. Very large crystal sugar, in crystals exceeding 0.05 g in weight on average, imported in retail-ready packaging, in individual packages not exceeding 1 kg in weight
22. Specialty sugar cubes and dominoes (i.e. rectangles), made from demerara, brown, yellow or any other non-white sugar, imported in retail-ready packaging, in packages not exceeding 1 kg in weight—For greater clarity, this does not include any sugar cube or domino made from white granulated sugar
23. Low-colour liquid sucrose with a colour no higher than 10 ICUMSA (International Commission for Uniform Methods of Sugar Analysis) colour units and distiller's grade liquid sucrose imported for use in the production of distilled spirits where it is established by the importer that low-colour liquid sucrose and distiller's grade liquid sucrose from Canadian sources do not meet the applicable product specifications
24. Organic sugar meeting the requirements of the Canadian General Standards Board standard No. CAN/CGSB-32.310-99 (Organic Agriculture), the U.S. Federal Organic Foods Production Act of 1990 or any rules adopted under that act, or the European Union EN2092/94 (Organic Regulation), where it is accompanied by a transaction certificate affirming compliance with the standard signed by an ISO Guide 65 accredited certifying authority

Additional exclusion as of November 2, 2005

25. Individually wrapped rectangular cane sugar tablets

Additional exclusion as of October 30, 2015

26. Specialty-coloured decorative sugar crystals in granulated form combined with carnauba wax and food colouring matter, imported in small retail-ready containers not exceeding 16 oz. for use exclusively as a superficial decoration in baked goods (such as pies, cakes, pastries, muffins, cookies, etc.) and other prepared foods

Tariff classification numbers

The subject goods are normally classified under the following tariff classification numbers:

1. 1701.91.10.00
2. 1701.91.90.21
3. 1701.91.90.29
4. 1701.91.90.91
5. 1701.91.90.99
6. 1701.99.10.00
7. 1701.99.90.20
8. 1701.99.90.30
9. 1701.99.90.90
10. 1702.90.11.00
11. 1702.90.12.00
12. 1702.90.13.00
13. 1702.90.14.00
14. 1702.90.15.00
15. 1702.90.16.00
16. 1702.90.17.00
17. 1702.90.18.00
18. 1702.90.69.00
19. 1702.90.89.10

This listing of tariff classification numbers is for convenience of reference only. Refer to the product definition for authoritative details regarding the subject goods.