International Trade Commission Makes Affirmative Final Determinations in Large Diameter Welded Pipe from Canada, Korea, Greece, and Turkey, Wiley Rein Reports
WASHINGTON, April 2, 2019 /PRNewswire/ -- In a victory for U.S. pipe producers and their workers, the U.S. International Trade Commission (ITC) today made affirmative final determinations in the antidumping (AD) and countervailing duty (CVD) investigations on large diameter welded pipe (LDWP) from Canada, Greece, Korea, and Turkey. The ITC found that U.S. LDWP producers have been materially injured by unfairly traded imports of LDWP from these countries, paving the way for the imposition of AD/CVD orders, which will stay in place for at least five years.
The ITC made affirmative final determinations with regard to line pipe from the following countries with a vote of 4-1:
- Canada (AD)
- Greece (AD)
- Korea (AD and CVD)
- Turkey (AD)
The ITC also made a unanimous affirmative determination with regard to structural pipe from the following countries:
- Canada (AD)
- Korea (AD and CVD)
- Turkey (AD and CVD)
The ITC voted in the negative with regard to line pipe from Turkey (CVD) and structural pipe from Greece (AD), given the small import volumes involved, and also with regard to stainless steel pipe, which was not a primary focus of the case. These affirmative final determinations follow closely behind the ITC's December 2018 affirmative finding of material injury with respect to Chinese line pipe and structural pipe, and Indian line pipe.
"We are pleased that the Commission validated our claims that unfairly dumped and subsidized imports are harming our business and workers," said Jason Norris, President of Dura-Bond Industries. "This decision should keep foreign producers from flooding our markets and will also be subject to annual reviews at Commerce to make sure dumping is not occurring."
"This decision confirms that the domestic LDWP industry has been injured by unfairly traded LDWP from all six countries under investigation and that trade relief is needed," said Timothy C. Brightbill, partner in Wiley Rein's International Trade Practice, and counsel to the American Line Pipe Producers Association (ALPPA). "The domestic industry commends the ITC for sending a strong message that unfair trade will not be tolerated."
The Commerce Department already has imposed the following final margins on LDWP from the countries under investigation:
- Canada: 12.32% (AD)
- China: 132.63% (AD); 198.49% (CVD)
- Greece: 9.96% (AD)
- India: 50.55% (AD); 541.15% (CVD)
- Korea: 7.03% to 20.39% (AD); de minimis to 27.42% (CVD)
- Turkey: 2.57% to 5.11% (AD); de minimis to 3.72% (CVD)
Commerce is expected to issue AD/CVD orders on Canadian, Greek, Korean, and Turkey LDWP on April 12, 2019. Commerce has already imposed AD/CVD orders on Chinese and Indian LDWP.
Notably, these duties can increase in the administrative reviews of the LDWP orders; any increase would be borne by the importer of record and apply retroactively to all imports that entered during the review period. These duties may not be absorbed by the foreign producer or any affiliated importer but must be passed to the unaffiliated purchaser.
The ITC determination follows a January 2018 petition filed by ALPPA, alleging that unfairly dumped LDWP from Canada, China, Greece, India, Korea, and Turkey and subsidized LDWP from China, India, Korea, and Turkey is injuring the U.S. industry and threatening the industry with additional injury. The members of ALPPA include American Cast Iron Pipe Company, Berg Spiral Pipe Corp./Berg Steel Pipe Corp., Dura-Bond Industries, and Stupp Corporation. U.S. pipe producers Greens Bayou Pipe Mill, JSW Steel (USA) Inc., Skyline Steel, Trinity Products LLC, and Welspun Tubular, LLC1 also joined the petitions.
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1 Welspun did not join in the AD/CVD petitions against LDWP from India.
CONTACT: Timothy C. Brightbill
American Line Pipe Producers Assn.
202-719-3138 | [email protected]
SOURCE Wiley Rein LLP
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