Antidumping Duties (AD/CVD): How They Work in 2026
While Trump tariffs dominate headlines, the longest-running and often the largest US tariffs on specific products are antidumping (AD) and countervailing duties (CVD). These can add anywhere from a few percent to over 400% on top of the regular tariff stack — and they're easy to miss until the CBP demand letter arrives. This guide explains what AD/CVD are, how they're set, how to check if your product is covered, and how to respond.
What antidumping and countervailing duties are
- Antidumping duty (AD) — assessed when a foreign producer sells in the US at "less than fair value" (typically below their home-market price or below cost of production)
- Countervailing duty (CVD) — assessed when a foreign government subsidizes producers in ways that distort competition
Both are remedies designed to offset specific unfair practices, not broad protectionism. They are administered by the Department of Commerce's International Trade Administration (ITA) and the US International Trade Commission (USITC), independently of Section 301 and Section 232.
How an AD/CVD order is created
- Industry petition. US domestic producers file a petition alleging unfair dumping or subsidies.
- Preliminary determinations. ITA investigates dumping/subsidies; USITC investigates injury to domestic industry. Takes ~6 months.
- Provisional measures. If both preliminary findings are affirmative, provisional duties are deposited at the border.
- Final determinations. ITA and USITC finalize their findings within ~12-18 months of the petition.
- Order issued. If both final findings are affirmative, the AD/CVD order goes into effect indefinitely.
- Sunset reviews. Every 5 years, the order is reviewed for continuation or termination.
How rates are calculated
Antidumping margin:
AD margin = (Normal value − US price) / US price × 100
"Normal value" is usually the producer's home-market price. If home-market sales are absent or unreliable, ITA uses third-country prices or constructed value (cost of production + reasonable profit).
Countervailing rate equals the per-unit value of subsidies the foreign government provides.
Rates vary widely by exporter — a producer with high cooperation may receive a "company-specific" lower rate, while non-cooperating producers receive the "all-others" or "adverse facts available" rate, which can be punitively high.
Active AD/CVD orders in 2026 — sample categories
| Product | Country | Typical AD/CVD range |
|---|---|---|
| Solar cells/modules | China | 165%-254% |
| Steel pipe | China, Korea, Taiwan, others | 20%-200% |
| Honey | China, India, Argentina, Brazil, Ukraine, Vietnam | 10%-220% |
| Garlic | China | 376% |
| Wooden cabinets | China | 33%-263% |
| Mattresses | China, several Asian countries | 72%-1,732% (rare extreme) |
| Shrimp | Multiple South Asian sources | 3%-25% |
| Aluminum extrusions | China + many others | 33%-376% |
| Tires | China, Taiwan, Thailand, Vietnam | 10%-110% |
This is a tiny sample. Hundreds of orders are active. If you import any of these, the AD/CVD rate stacks on top of Trump tariffs.
How to check if your product is covered
- ITA's ACCESS portal — search at access.trade.gov by product or country to find active orders
- Your customs broker — should run an AD/CVD check on every new product
- CBP's Cargo Systems Messaging Service (CSMS) — publishes order updates and rate changes
- Trade attorneys — best resource for complex cases or borderline products
The stacking math
For an importer of Chinese aluminum extrusions for $50,000:
| Layer | Rate | Amount |
|---|---|---|
| Base MFN | 5.0% | $2,500 |
| Section 301 China | 25% | $12,500 |
| Section 232 (aluminum) | 50% | $25,000 |
| AD duty | 86% | $43,000 |
| CVD duty | 140% | $70,000 |
| MPF + HMF | — | ~$680 |
| Total duty + fees | — | $153,680 |
Total exposure: roughly 3× the goods value. This is why AD/CVD checks before import are not optional.
How AD/CVD differs from Section 301 / 232
| Feature | AD/CVD | Section 301 | Section 232 |
|---|---|---|---|
| Trigger | Petition + investigation | USTR action | National security |
| Country scope | Specific country/producer | Whole country | Mostly broad |
| Product scope | Narrow (one product family) | List-based | Defined category |
| Rate setting | Calculated dumping/subsidy margin | USTR discretion | Presidential discretion |
| Review cycle | 5 years (sunset) | Periodic USTR review | None statutory |
| Court challenge venue | Court of International Trade | Same | Same, with deference |
Practical strategies for importers
- AD/CVD check before every new product or country. Single most important step.
- Get a written opinion from your broker or trade attorney for any product in a borderline category.
- Track scope rulings. Modifying a product slightly can sometimes move it outside the scope of an order — but verify with a binding scope ruling.
- Source diversification. AD/CVD is country-specific; switching from one country to another can completely avoid the duty.
- Cooperation in administrative reviews. If your supplier is named in a periodic review, cooperation can lead to a lower company-specific rate.
- Don't try to misclassify. AD/CVD evasion is a federal crime with personal liability for company officers.
Frequently asked questions
How do I know if my product is subject to antidumping duty?
Check the ITA's ACCESS portal at access.trade.gov for active AD/CVD orders by product and country. If your product appears, the order rate applies on top of base MFN.
How high can antidumping duties go?
There is no statutory cap. Rates range from a few percent to over 400% in extreme cases. Most fall between 10% and 100%.
Can AD/CVD be challenged?
Yes, at the Court of International Trade. Challenges target the methodology of dumping/subsidy calculations or the injury finding. Limited success rate.
Are AD/CVD permanent?
Subject to sunset review every 5 years. If domestic industry can show continued material injury would result from termination, the order continues.
Does AD/CVD apply to USMCA-qualifying goods?
Yes. AD/CVD is independent of trade preference programs. USMCA does not waive AD/CVD.
What if I get hit with a back-AD/CVD assessment?
Engage a trade attorney immediately. Liquidated entries up to 4 years back can be re-assessed. Penalty plus interest plus the underlying duty.