AK Steel Applauds WTO Decision That Chinese Duties Were Unjustified
WEST CHESTER, Ohio, June 15, 2012 /PRNewswire/ -- AK Steel (NYSE: AKS) today applauded the decision of a dispute settlement panel at the World Trade Organization in Geneva that China had no legal basis to impose antidumping and countervailing duties on imports of grain oriented electrical steel from the United States beginning in December 2009.
"The WTO has correctly decided that China's Ministry of Commerce had no justification to impose duties on AK Steel products. China's case was contrary to the WTO rules from the beginning and should never have been pursued," said James L. Wainscott, Chairman, President, and CEO of AK Steel. Mr. Wainscott added, "AK Steel is very grateful to United States Trade Representative Ron Kirk and his staff for working tirelessly on this case to defend the rights of U.S. manufacturers."
In December 2009, China's Ministry of Commerce (MOFCOM) imposed duties on imported electrical steel products. AK Steel is one of the largest and most technologically-advanced global producers of grain-oriented electrical steels, which are helping to meet the world's growing demand for efficient electricity generation, transmission and distribution. The tariffs total approximately 19.5% against AK Steel. The United States requested consultations with the Government of China in September 2010, beginning the WTO dispute settlement process. China may appeal the panel's decision to the WTO Appellate Body. In such event, the tariffs will remain in effect during the pendency of the appeal.
AK Steel produces flat-rolled carbon, stainless and electrical steels, primarily for automotive, infrastructure and manufacturing, construction and electrical power generation and distribution markets. The company employs about 6,200 men and women in Middletown, Mansfield, Coshocton and Zanesville, Ohio; Butler, Pennsylvania; Ashland, Kentucky; Rockport, Indiana; and its corporate headquarters in West Chester, Ohio. Additional information about AK Steel is available on the company's web site at www.aksteel.com.
AK Tube LLC, a wholly-owned subsidiary of AK Steel, employs about 300 men and women in plants in Walbridge, Ohio and Columbus, Indiana. AK Tube produces carbon and stainless electric resistance welded (ERW) tubular steel products for truck, automotive and other markets. Additional information about AK Tube LLC is available on its web site at www.aktube.com.
AK Coal Resources, Inc., another wholly-owned subsidiary of AK Steel, owns or leases metallurgical coal reserves in Somerset County, Pennsylvania. AK Steel also owns 49.9% of Magnetation LLC, a joint venture headquartered in Grand Rapids, Minnesota, which produces iron ore concentrate from previously mined ore reserves.
SOURCE AK Steel