News Room - Steel Industry

Posted on 25 Nov 2009

US lowers some duties in China steel pipe case

The U.S. Commerce Department cut some of its duties on Tuesday on steel pipe from China used to transport oil in a case that is part of the largest U.S. trade action against the country.

 

The department said Chinese exporters of the pipe had received subsidies ranging from 10.36 percent to 15.78 percent, down from its preliminary determination in September, which had applied duties ranging from 10.9 percent to 30.69 percent. [ID:nN09355262]

 

The case is one of a dozen domestic trade investigations against products from China, blamed by unions and companies for job losses in the U.S. manufacturing sector.

 

The steel pipe case responds to a complaint from the United Steelworkers union, United States Steel Corp, Maverick Tube Corp, TMK IPSCO, Wheatland Tube Corp and Evraz Rocky Mountain Steel.

 

Imports of the pipe, worth $2.7 billion in 2008, increased more than 350 percent by volume between 2006 and 2008, the Commerce Department said.

 

Zhejiang Jianli Enterprise Co Ltd received the highest duty of 15.78 percent, followed by Wuxi Seamless Pipe Co with a duty of 14.61 percent and Jiangsu Changbao Steel Tube Co with a duty of 11.98 percent.

 

Tianjin Pipe Group Co faces duties of 10.36 percent and all other producers will have duties of 13.20 percent.

 

Imports will be subject to cash deposits or bonds at the border. The case moves next to the U.S. International Trade Commission, which will rule by Jan. 7 whether the imports hurt the U.S. domestic industry.

 

The Commerce Department also has slapped preliminary anti-dumping duties on the pipe ranging up to 99 percent after charges that Chinese companies are selling at less than fair market value.

 

The department will make its final calculation of those duties in March 2010, with the ITC set to vote on the issue in May.