The coalition alleges that these dumped and subsidized imports have caused and threaten to cause material injury to the U.S. domestic industry, which produces the trailers considered the "lifeblood of American freight,” according to the petition.
“Trade relief is necessary to remedy the injurious effects of unfairly traded van trailer products coming in from Mexico, China, and Canada that are severely hindering the ability of coalition members to compete fairly,” Robert E. DeFrancesco III, counsel to the coalition, said in a statement. “The application of antidumping and countervailing duties will level the playing field and save America’s trailer manufacturing industry.”
The core of the ATMC's complaint centers on a historic surge in trailer imports, particularly leading up to and during the period of investigation (POI). Imports from Mexico, fueled by capacity expansions by Hyundai Translead (#1 on the TBB report) dating back to 2010 and 2016, averaged 56,795 units annually between 2017 and 2024, doubling earlier import rates.
Similarly, imports from Canada surged 147% from 2021 to 2022 after CIMC Refrigerated Trailer Co. Ltd. established a new facility in Ontario. U.S.- based Vanguard National Corp. (#6 for 2024) is majority owned by China's CIMC, the petition notes. Additionally, Utility Trailer (#3) has manufacturing capacity in Mexico, along with its manufacturing plants across the U.S.
All told, these imports peaked in 2022 and 2023, reaching volumes of 67,632 and 72,333 units. The sheer scale of these imports led to a massive market oversupply, as purchasers overstocked on low-priced subject merchandise, according to the petition.
Consequences, continuing harm
The consequence was a sudden and severe contraction in domestic orders, which "cratered" in 2024 and the first half of 2025. This oversupply has depressed demand until the inventory overhang can be absorbed, resulting in fierce competition for the few remaining sales where foreign producers continued to use unfair pricing to gain market share, the filing continues.
The effects on U.S. manufacturers have been severe. U.S. producers’ commercial shipments and capacity utilization rates declined significantly from 2022 through H1 2025. The domestic industry faced an intensifying cost-price squeeze, unable to raise prices commensurate with increasing raw material costs due to the suppressing effect of subject import pricing, the coalition contends. Consequently, operating income and net profits declined over the POI. The workforce also suffered, with a notable reduction in production workers and hours worked accelerating into H1 2025.
The coalition argues that this material injury is compounded by the threat of further harm.
Subject producers, such as Hyundai Translead, are reliant on the U.S. market, with nearly all their production dedicated to U.S. sales. Foreign manufacturers also possess significant unused capacity and are expanding production. The petition cites Manac (#8 in 2024) and its $170 million expansion in Canada and new facilities for Gallegos Trailers in Mexico. This existing and new capacity poses an immediate threat, as foreign producers can quickly redirect production to the U.S. market when demand recovers, perpetuating the injury cycle, according to the coalition petition.
The coalition estimates dumping margins of 223-297%, 363-1,363%, and 209-433% from Canada, China, and Mexico, respectively.
The Commerce Department in 2021 found that CIMC Vehicles dumped chassis from China in the U.S. at a margin of 188%.
And In September, Commerce preliminarily found that CIMC Vehicles dumped chassis from Thailand in the United States at a margin of 46%. In Mexico, the department found that Hyundai Translead dumped sales at a rate of 32.37%. While chassis are a separate trailer segment, the findings suggest that these major producers of transportation equipment strategically use unfair pricing to access the U.S. market, the petition contends.
Look for coverage from the preliminary hearing in the January print edition of Trailer Body Builders.
