The U.S. International Trade Commission (ITC) has agreed to advance a petition by Corteva Agribusiness to place anti-dumping and countervailing duties on imports of 2,4-Dichlorophenoxyacetic acid, more commonly referred to as “2,4-D,” from China and India.
Corteva, the only U.S. manufacturer of 2,4-D, alleges that highly subsidized imports are being dumped into the U.S. at less than fair market value, while cutting into the company’s U.S. market share for the herbicide, since 2021.
In its ruling on Friday, the ITC said it “determined there is a reasonable indication that a U.S. industry is materially injured by reason of imports of ‘2,4-D’ from China and India that are allegedly sold in the United States at less than fair value and subsidized by the governments of China and India.”
During a public hearing on the petition, the National Corn Growers Association (NCGA) leadership expressed opposition to imposing tariffs, saying they would negatively impact farmers.
“We are disappointed that ITC did not listen to the feedback from farmers about how harmful these tariffs could be to rural America,” said Minnesota farmer and NCGA President Harold Wolle in a press release. “Corn prices are already low and input costs have been rising. This decision will only compound our problems.”
Wolle referenced the U.S. Department of Agriculture projection for record-high farm production cash expenses for 2024. At the same time, crop values are declining. USDA projects total cash receipts for crops in 2024 will be 11.7% lower than 2022.
“The National Corn Growers Association has advocated for a 0% duty on 2,4-D,” Wolle, association president, told AgriTalk Host Chip Flory on Tuesday. The complete AgriTalk discussion is available here:
Looking Ahead
As a result of the Commission’s affirmative determinations on the 2,4-D case, the U.S. Department of Commerce will continue its investigations of imports of 2,4-D from China and India, according to a press release.
Preliminary countervailing duty determinations are due on or about June 27, and preliminary antidumping duty determinations are due on or about September 10, 2024.
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