Industry News

PROCOS Responds to Newly Implemented Anti-Dumping Tariffs in the United States

by | Jun 20, 2024

PROCOS, a luxury packaging expert, announces strategic adjustments following the introduction of antidumping tariffs in the United States targeting simple paper bags. This government decision affects a wide range of products within the same category. The product descriptions are so broad that unintended bags are impacted, creating challenges for brands and manufacturers. PROCOS addresses this issue by offering a specific bag excluded from the scope of the new U.S. taxes.

Understanding the Anti-Dumping Measures Implemented in the United States

At the end of May 2023, a petition was filed by a consortium of paper bag producers to alert the government about unfair competition and the dumping effect that the import of these shopping bags posed to the national economy and industry. Nine producing countries were targeted: Cambodia, China, Colombia, India, Malaysia, Portugal, Taiwan, Turkey, and Vietnam. The affected items are machine-made paper bags imported at low prices. The product descriptions are very broad: paper bags with any type of handles, regardless of the type of printing or top edge finish, with a minimum width of 4.5 inches (10.16 cm) and a minimum depth of 2.5 inches (5.08 cm). The lack of more specific targeting is currently putting importing companies of bags, which do not fall under dumping, in difficulty.

PROCOS, serving its clients, reacts and provides solutions: Procos experts have the necessary tools to offer a customized solution for each bag, as close as possible to the original design, or even 100% aligned! These solutions range from adjusting the bag’s dimensions to selecting the materials used, and even making technical modifications in the production process—various elements that Procos can intervene on.

“PROCOS has already started developing alternative solutions, including samples in adapted sizes and modified production processes. We are committed to supporting our clients and partners in navigating these new regulations by providing innovative solutions that comply with the requirements of the U.S. market. A specific bag is already available for concerned brands. Entirely made of FSC® certified paper and compliant with the EUTR, it incorporates the necessary characteristics to be excluded from the scope of the new taxes,” explains Leander Kritikos, founding CEO of PROCOS.

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