About the Coalition

The Coalition consists of companies and industry organizations from several American industries, including: steel wire garment hangers, steel threaded rod, honey, uncovered innerspring units, steel nails, shrimp, prestressed concrete steel wire strand, tissue paper, circular welded carbon quality steel line pipe and glycine.

List of Participating Companies: View List

American Spring Wire Company American Spring Wire Company – Bedford Heights, Ohio
Order on prestressed concrete wire strand from China, Brazil, India, Korea, Mexico and Thailand
GEO Specialty Chemicals GEO Specialty Chemicals – Lafayette, Indiana
Order on glycine from India, Japan and South Korea
Insteel Industries Insteel Industries – Mt. Airy, North Carolina
Order on prestressed concrete wire strand from China
JMC Steel Group JMC Steel Group – Beachwood, Ohio
Order on circular welded carbon-quality steel line pipe from China
Leggett & Platt Leggett & Platt, Incorporated – Carthage, Missouri
Order on uncovered innerspring units from China, South Africa and Vietnam
M&B Metal Products M&B Metal Products – Leeds, Alabama
Order on steel wire garment hangers from China
Mid Continent Nail Mid Continent Nail – Poplar Bluff, Missouri
Order on steel nails from China
Seaman Paper Seaman Paper – Otter River, Massachusetts
Order on tissue paper and crepe paper
Southern Shrimp Alliance Southern Shrimp Alliance – Tarpon Springs, Florida
Order on frozen warmwater shrimp and prawn from China, Brazil, India, Thailand and Vietnam
Vulcan Threaded Products Vulcan Threaded Products – Pelham, Alabama
Order on carbon steel threaded rod from China

In September 2009, a group of American manufacturers of steel wire products with Orders (or AD/CVD cases pending) met to discuss the evasion of their Orders, primarily by transshipment of Chinese-manufactured products subject to the Orders through third countries and falsely declaring the country of origin as that third country.

Prior to and after September 2009, these manufacturers have been working actively with U.S. Customs and Border Protection ("Customs") to have their Orders enforced. Collectively, this initial group of manufacturers had compelling evidence of rampant duty evasion - with well over $100 million in lost duties per year in just four industries. There are many more affected industries.

Some of the affected companies hired private investigators in SE Asia to look into the alleged manufacturing facilities listed on bills of lading by these third countries – and found no legitimate operations at the addresses. The companies took this information as well as other examples documenting the evasion of Orders and presented it to Customs. Customs has not informed any of the companies of any follow-up on this information. We have been told these investigations can take years.

Frustrated with our individual attempts to work with Customs and Commerce to have our Orders enforced in the face of this rampant cheating, our companies joined forces and formed The Coalition for Enforcement of Antidumping and Countervailing Duty Orders. The Coalition's purpose is very focused, to highlight and address the growing problem of evasion of U.S. AD/CVD Orders, primarily by transshipment of Chinese-manufactured product subject to these Orders through third countries such as Hong King, Taiwan, Malaysia, Vietnam and Mexico, but also through other fraudulent schemes such as misclassification of the products on customs entry forms.

Members of the Coalition have made several visits to House and Senate offices to discuss this issue since September 2009. We are also working with staff of both the House Ways & Means Committee and the Senate Finance Committee to find ways to address the enforcement problem through policy changes at CBP and Commerce, as well as through legislation.

On August 5, 2010, Sens. Ron Wyden (D-OR) and Olympia Snowe (R-ME) introduced the Enforcing Orders and Reducing Circumvention and Evasion (ENFORCE) Act of 2010. Members of our Coalition worked closely with Sen. Wyden's office in drafting the legislation, and it is designed to directly address the cheating/evasion of existing duty orders.

On November 8, 2010, Sen. Wyden issued a Staff Report detailing an investigation conducted by members of his staff into transshipment practices. The findings highlight both the pervasiveness of the duty evasion problem and the ease of obtaining goods subject to Orders without paying the appropriate duties.

On September 29, 2010, six members of the House of Representatives - Roy Blunt, Spencer Bachus, Sam Graves, Jo Ann Emerson, Todd Akin, and Blaine Luetkemeyer - introduced (non-binding) House Resolution 1681, supporting the effective enforcement of the trade laws and highlighting the illegal schemes we are working to get addressed.

On December 17, 2010, Reps. Linda Sanchez, Mark Critz and Walter Jones introduced a House version of the ENFORCE Act of 2010 – similar to the Senate version, but more narrow in its approach – addressing the duty evasion issue. Sanchez's office coordinated this draft with the staff of the House Ways & Means Committee and the Coalition was able to offer some input on the final contents of the bill.

With the advent of the 112th Congress, the Coalition is looking at next steps for reintroducing House and Senate legislation and educating the appropriate persons on our issue.

In the meantime, we are all still competing against goods brought illegally into the United States. The schemes to deprive the U.S. Government of the appropriate duties and U.S. manufacturers of their well-earned remedy continue to become more and more blatant, and are cheating the U.S. Treasury out of well over $100 million dollars annually, along with significant lost revenues to the U.S. industries producing these products and a loss of American jobs.