WASHINGTON, Nov. 12 /PRNewswire-USNewswire/ -- On February 28, 2009 the United States Department of Commerce ("Commerce") published an antidumping duty order against small diameter graphite electrodes from the People's Republic of China ("China"). Reported U.S. imports of dumped small diameter graphite electrodes from China had reached nearly 14,000 metric tons in 2007, prior to the antidumping duty investigation. Recent information has raised domestic industry concerns that Chinese exporters are relying on illegal means to avoid the reach of the antidumping duty order on Chinese electrodes. U.S. producers have announced that they are carefully monitoring all imported graphite electrodes and will seek the help of Commerce and U.S. Customs & Border Protection ("Customs") to ensure effective enforcement of the antidumping order as necessary.

Several schemes are reportedly being used to evade the antidumping duty order. Earlier this year, the domestic industry filed a request with Customs to investigate a number of circumvention schemes, including misclassification of the product and the country of origin. Recently the domestic industry has become aware that U.S. importers of Chinese product have claimed the country of origin of small diameter graphite electrodes as "Korea" despite naming a Chinese producer as the shipper on relevant shipping documentation. With no known production of graphite electrodes in Korea, there is no other reasonable explanation for any subject product originating from Korea other than the fact that these imports have been misclassified to evade antidumping payments.

"We have seen these sorts of schemes before, many of which may amount to customs fraud," said David A. Hartquist, counsel for the domestic industry. "The domestic industry will work directly with Customs and Commerce to halt any such circumvention efforts. We have found both Customs and Commerce to be proactive in their enforcement efforts to preserve the integrity of U.S. antidumping laws, and we strongly support these efforts."

Small diameter graphite electrodes, 16 inches or under in diameter, are produced from various grades of petroleum coke and are used in ladle metallurgy and specialty furnace applications in industries including foundries, smelters, and steel refining operations. Graphite electrodes act as conductors of electricity in furnaces and generate heat to produce steel and other materials.

The successful petitioners are Superior Graphite Company and SGL Carbon LLC. They are represented in this investigation by David A. Hartquist, head of the International Trade and Customs Practice at Kelley Drye & Warren, LLP.

SOURCE Superior Graphite Company