Title 19, Customs DutiesRelease 119-110

§1677–2 Calculation of Countervailable Subsidies on Certain Processed Agricultural Products

Title 19 › CHAPTER 4 — TARIFF ACT OF 1930 › SUBTITLE IV — COUNTERVAILING AND ANTIDUMPING DUTIES › Part IV — General Provisions › § 1677–2

Last updated Sep 22, 2026|Official source

Summary

Treat any subsidies given to growers or processors as subsidies for the processed product. This applies when the raw product’s demand mostly depends on demand for the processed item and the processing adds only a small amount of value.

Full Legal Text

Title 19, §1677–2

Customs Duties, Source: USLM XML via OLRC

In the case of an agricultural product processed from a raw agricultural product in which—
(1)the demand for the prior stage product is substantially dependent on the demand for the latter stage product, and
(2)the processing operation adds only limited value to the raw commodity,
countervailable subsidies found to be provided to either producers or processors of the product shall be deemed to be provided with respect to the manufacture, production, or exportation of the processed product.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

1994—Pub. L. 103–465 inserted “countervailable” before “subsidies” in section catchline and concluding provisions. 1988—Pub. L. 100–647 amended section generally. Prior to amendment, section read as follows: “In the case of an agricultural product processed from a raw agricultural product in which (1) the demand for the prior stage product is substantially dependent on the demand for the latter stage product, and (2) the processing operation adds only limited value to the raw commodity, subsidies found to be provided to either producers or processors of the product shall be deemed to be provided with respect to the manufacture, production, or exportation of the processed product.”

Statutory Notes and Related Subsidiaries

Effective Date

of 1994 AmendmentAmendment by Pub. L. 103–465 effective, except as otherwise provided, on the date on which the WTO Agreement enters into force with respect to the United States (Jan. 1, 1995), and applicable with respect to investigations, reviews, and inquiries initiated and petitions filed under specified provisions of this chapter after such date, see section 291 of Pub. L. 103–465, set out as a note under section 1671 of this title.

Effective Date

of 1988 AmendmentAmendment by Pub. L. 100–647 applicable as if such amendment took effect on Aug. 23, 1988, see section 9001(b) of Pub. L. 100–647, set out as an Effective and Termination Dates of 1988

Amendments

note under section 58c of this title.

Reference

Citations & Metadata

Citation

19 U.S.C. § 1677–2

Title 19, Customs Duties

Last Updated

Sep 22, 2026

Release point: 119-110