The Commerce Department has launched antidumping and countervailing duty investigations into the imports of cold-drawn mechanical tubing from China, Germany, Italy, India, South Korea and Switzerland.
The Commerce Department has launched antidumping and countervailing duty investigations into the imports of cold-drawn mechanical tubing from China, Germany, Italy, India, South Korea and Switzerland, according to a statement from the department.
Dumping occurs when a foreign company exports its products to the United States at less than fair market value, while countervailable subsidies are given by foreign governments to their domestic industries contingent on their export performance or use of domestic materials over imports.
The petitioners for these Commerce investigations include ArcelorMittal Tubular Products, Michigan Seamless Tube, PTC Alliance Corp., Webco Industries, and Zekelman Industries.
The estimated dumping margins claimed by the petitioners range from 12 percent to as high as 209.06 percent. Regarding subsidies, Commerce has initiated investigations into 34 separately alleged subsidy programs in China and 32 for India. Subsides are estimated to be above de minimis.
According to Commerce, imports of cold-drawn mechanical tubing in 2016 from China ($29.4 million), Germany ($38.8 million), India ($25 million), Italy ($11.9 million), Korea ($21.3 million) and Switzerland ($26.2 million) were valued at $152.6 million.
Commerce said the investigations will “determine whether Chinese, German, Italian, Indian, Korean, and/or Swiss exporters of cold-drawn mechanical tubing have sold these products below fair value in the United States or, in the case of China and India, received unfair government subsidies.”
The U.S. International Trade Commission (ITC) will issue its preliminary injury determination in these investigations by June 4. If affirmative, the investigations will continue. Commerce is currently scheduled to issue its preliminary countervailing duty determination on July 14 and its preliminary AD determination by Sept. 26.
If Commerce preliminarily finds dumping and/or unfair subsidization, it will instruct Customs and Border Protection to collect cash deposits based on the preliminary antidumping and countervailing duty rates from all U.S. companies importing cold-drawn mechanical tubing from these countries. If either the department or ITC does not find dumping or unfairly traded goods based on subsidization, the investigations will be terminated.
Commerce to investigate dumping of mechanical tubing
