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US steel mills file for antidumping duties on wire rod from 10 countries

https://www.chemnet.com   Mar 29,2017 Platts
Four US steel producers on Tuesday sought antidumping duties on carbon and alloy wire rod imports from 10 countries -- Belarus, Italy, Russia, South Africa, South Korea, Spain, Turkey, Ukraine, United Arab Emirates and the UK.

Gerdau Long Steel North America, Nucor, Keystone Consolidated Industries and Charter Steel also sought countervailing duty investigations of the wire rod sector in Italy and Turkey, according to a statement from representatives for the companies.

The petitioners allege the Italian and Turkish governments offered countervailable subsidies, including export loans, credit, preferential tax treatment and grants.

The mills allege dumping margins of 179.07%-304.94% for Belarus; 26.36% for Italy; 216.50%-821.40% for Russia; 159.35%-164.08% for South Africa; 41.72%-53.09% for South Korea; 32.64% for Spain; 45.10% for Turkey; 21.64%-61.64% for Ukraine; 69.57% for the UAE; and 88.25% for the UK, according to the statement.

"The substantial increase in low-priced and unfairly-traded carbon and alloy steel wire rod from the [10] subject countries since 2014 has injured American manufacturers and their workers," Paul Rosenthal of Kelley Drye & Warren, counsel for Gerdau, Keystone and Charter Steel, said in the statement. Nucor is being represented by Wiley Rein.

In 2014, the US mills won antidumping duties of 106.19-110.25% and countervailing duties of 178.46-193.31% on Chinese wire rod imports.

"We brought the China case just a couple of years ago. They were a major supplier. Once you address a major supplier it's not all that unusual for others to take advantage of an opportunity in the marketplace," Kathleen Cannon, a Kelley Drye attorney, told S&P Global Platts, adding that the US wire rod mills were "experienced in this arena" of fighting for unfair trade relief.

In addition to China, the US also imposes duties on wire rod imports from Brazil, Indonesia, Mexico, Moldova and Trinidad & Tobago.

The US imported 1.79 million st of steel wire rod in 2016, flat to 2015's level, according to US Department of Commerce data.

With the petition filing, Commerce will determine within 20 days whether it will initiate the antidumping and countervailing duty investigations.

The US International Trade Commission will make its preliminary determination of whether the domestic industry has been materially injured or threatened with material injury within 45 days of the petition filing.

The petitioners expect the investigation will take about a year, with final determinations in the spring of 2018.
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