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US sets preliminary duties on food additive from China, Austria

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The U.S. Commerce Department on Friday said it had set preliminary duties ranging up to 154 percent…
The U.S. Commerce Department on Friday said it had set preliminary duties ranging up to 154 percent on imports of a food additive and thickening agent from China and Austria to offset what it said were unfairly low prices.

The ruling is a victory for CP Kelco, a family-owned Atlanta-based company which filed a petition last year asking for anti-dumping duties on Xanthan gum from the two countries.

Xanthan gum is used as a thickening agent in products like salad dressing and cosmetics.

The United States imported $25 million of the good from Austria and $64 million from China in 2011.

The Commerce Department set a preliminary duty of 17.18 percent on imports from Austria and duties ranging from 21.69 to 154.07 percent on imports from China.

The department will issue final duty determinations in May.

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