Coalition Of American Producers Files Trade Claims Against Foreign Producers Of Forged Steel Fluid End Blocks

CLEVELAND, Dec. 19, 2019 /PRNewswire/ -- Today, the FEB Fair Trade Coalition, whose members include the Forging Industry Association (FIA), Ellwood Group, and Finkl Steel, filed petitions asking the U.S. International Trade Commission (ITC) and the U.S. Commerce Department to investigate claims that forged steel fluid end blocks (FEBs) from China, Germany, India, and Italy are being illegally subsidized and that FEB imports from Germany, India, and Italy are being illegally dumped into the U.S. market.  According to the petitions, the alleged margins of dumping range from 12.82 percent to 77.24 percent.

As a result of these unfair trade practices, FEB imports from these countries have surged by more than 600 percent since 2016 and are harming American manufacturers and workers.  Fluid end blocks are typically used in the manufacture or service of hydraulic pumps for drilling or shale fracturing in the oil and gas industry.  The pump's "fluid end" produces the pumping process, whereas the "power end" converts the rotation of the drive shaft to the reciprocating motion of the pistons.

"The Forging Industry Association supports enforcement of the U.S. trade laws to combat illegal dumping and subsidization that harms American forgers," said James Warren, President & CEO of the Forging Industry Association (FIA), a trade association that is a member of the petitioning coalition.  Mr. Warren further explained that "American FEB producers such as Ellwood Group and Finkl Steel have world class forging technology and production efficiency, and they have been instrumental in supporting America's energy independence.  But the ability of American FEB manufacturers to compete is being undercut by subsidized and dumped imports.  This trade action is necessary to ensure that American FEB manufacturers can compete on a level playing field."

The U.S. Commerce Department is expected to decide whether to initiate its AD and CVD investigations within 20 days.  The ITC's preliminary determination is expected by early February, and if that determination is affirmative, Commerce is expected to make its preliminary determinations by the summer of 2020.  Final determinations are expected no later than February 2021.

SOURCE FEB Fair Trade Coalition