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Practice Areas

Honey Mislabeled to Avoid AD Duties Seized

Tuesday, May 10, 2016
Sandler, Travis & Rosenberg Trade Report

U.S. Immigration and Customs Enforcement’s Homeland Security Investigations reports that it recently seized nearly 60 tons of bulk honey falsely declared as originating from Vietnam to evade antidumping duties on Chinese-origin honey. HSI states that it was notified of the suspect honey by a domestic packer after laboratory reports provided to the packer appeared fraudulently altered. A subsequent lab analysis by U.S. Customs and Border Protection determined that the honey had a greater than 99 percent probability match with Chinese-origin honey. HSI is now trying to determine where in the supply chain the private lab reports were altered.

AD duties on honey from China were first imposed in December 2001 and now amount to $2.63 per net kilogram. Federal authorities have been investigating allegations of circumvention of these duties through transshipment, mislabeling and other means for many years. To date, nine individuals have been convicted in a series of global schemes that evaded nearly $260 million in AD duties and that also involved honey containing antibiotics prohibited in food.

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