Final U.S. CVD Rules Allow Targeting of Transnational Subsidies

In a final rule to be published on March 25, the U.S. Commerce Department says that "when appropriate," it "will investigate and countervail transnational subsidies (i.e., subsidies provided by a government or public entity in one country that benefit producers or exporters in another country)." This will bring the Commerce Department's practice in line with that of the EU, where the European Commission has considered these subsidies in several cases (its determinations are currently being challenged in both EU courts and the WTO).