The US Commerce Department ruled on Tuesday that China and four other countries have been receiving subsidies for their shrimp product exports to the US.
The ruling applies to shrimp imports from China, India, Ecuador, Malaysia and Vietnam. The US International Trade Commission will evaluate whether the alleged subsidies have threatened shrimp businesses in America, and if proven, tariffs of up to $1.7 billion will be imposed on shrimp imports from the five countries.
Prior to the ruling, China had voiced objections, saying anti-subsidy tariffs would go against the rules of the World Trade Organization.
The US imported 1.18 billion pounds (531 million kg) of shrimp, with 118 million pounds domestic output last year, according to Urner Barry, a food industry research agency.
