WASHINGTON – Today, Congressman David Valadao (CA-22) joined Congressman Jimmy Panetta (CA-19) to reintroduce the China Trade Cheating Restitution Act. This bipartisan, bicameral legislation ensures domestic garlic, honey, and crawfish producers are paid the duties already collected by the U.S. Customs and Border Protection Agency (CBP) for China’s unfair trading practices meant to drive U.S. producers out of the market. CBP still owes garlic producers, 90% of which is grown in California, an additional $10.5 million in retroactive duty payments. Senate Majority Leader John Thune (R-SD) and Senators Chuck Grassley (R-IA) and Tine Smith (D-MN) introduced the companion bill in the Senate.

“Central Valley producers are the backbone of our nation’s domestic garlic supply, but China’s practice of dumping garlic into the U.S. market has unfairly impacted competition,” said Congressman Valadao. “Since 2000, Customs and Border Protection has collected duties on these imports as required by law, yet our growers still haven’t received the payments they’re owed. This bipartisan, bicameral bill ensures domestic producers finally receive those funds and gives them a fair chance to compete in the domestic market.”

"The federal government has failed to pay the required restitution to impacted producers from the dumping duties it collected on Chinese garlic imports," said Congressman Panetta. "This bipartisan bill would right that wrong by requiring CBP to pay all collected duties and interest to those in our agricultural sector who deserve it.  By passing this legislation, we can push the federal government to fulfill its responsibilities, to not only to prevent dumping by China, but also to provide the proper remedy to our garlic growers and producers."

Background:

For years, Chinese agricultural producers have purposely exported products far below the cost of production to drive domestic producers out of the market—a practice commonly known as “dumping.” In 2000, Congress passed the Continued Dumping and Subsidy Offset Act, which instructed CBP to pay all collected anti-dumping duties and accrued interest to the U.S. producers impacted by this harmful practice. Due to a range of delays, many producers still haven’t seen the interest they are owed on the anti-dumping duties CBP collected. The China Trade Cheating Restitution Act ensures CBP pays out the remaining anti-dumping duties to producers who haven’t been paid between 2000 – 2014.

Read the full bill here.

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