U.S. to Investigate Sugar Imports From Mexico in Trade Dispute

Apr 18, 2014 1:49 pm ET

April 18 (Bloomberg) -- The U.S. Commerce Department will investigate whether imports of sugar from Mexico benefited from subsidies and were sold in the U.S. below cost in violation of international trade rules.

The agency announced the investigation in a statement today, after U.S. sugar farmers last month filed a complaint saying their business is being undercut by unfair competition from Mexican producers.

A finding in favor of U.S. sugar producers may lead to penalties on the imports, valued at $1.1 billion last year.