WASHINGTON, Sept. 12, 2016 /PRNewswire/ -- The U.S.
Department of Commerce today announced its preliminary
determination that imports of stainless steel sheet and strip from
China are being sold at less than
fair value (or "dumped") in the United States. As a result,
the Commerce Department will instruct U.S. Customs and Border
Protection ("CBP") to begin requiring U.S. importers of stainless
steel sheet and strip from China
to deposit estimated antidumping duties at the time of
importation. Further, based on its previously announced
preliminary affirmative critical circumstances determination, the
Commerce Department will instruct CBP to require U.S. importers to
post security equal to the preliminary antidumping rates on entries
of stainless steel sheet and strip from China that were imported into the United States on or after the date that is
90 days prior to the date of publication in the Federal Register of
the affirmative preliminary antidumping duty determination.
The Commerce Department assigned a preliminary antidumping
margin of 76.64 percent of the value of the imported stainless
steel sheet and strip to Shanxi Taigang Stainless Steel Co., Ltd.,
the sole Chinese respondent that was subject to mandatory
investigation. The Commerce Department established a
preliminary antidumping margin of 63.86 percent for two Chinese
entities with operations that the agency determined are not
controlled by the Government of China and, thus, were preliminarily determined
to be eligible for a company-specific separate rate. In
addition, the Commerce Department established a preliminary
antidumping duty margin of 76.64 percent on imports of stainless
steel sheet and strip from all other Chinese entities.
The Commerce Department's determinations follow the filing, on
February 12, 2016, of antidumping and
countervailing (or subsidy) duty petitions by domestic stainless
steel sheet and strip producers AK Steel Corporation (NYSE: AKS),
Allegheny Ludlum, LLC d/b/a ATI Flat Rolled Products, an Allegheny
Technologies company (NYSE: ATI), North American Stainless, and
Outokumpu USA, LLC. On
July 12, 2016, the Commerce
Department announced its preliminary determination that imports of
stainless steel sheet and strip from China benefit from subsidies bestowed by the
Government of China, with subsidy
margins ranging from 57.30 percent to 193.12 percent of the value
of the imported product. The antidumping margins announced
today by the Commerce Department will generally be applied in
combination with the previously announced subsidy margins
calculated by the agency.
John M. Herrmann, of Kelley, Drye
& Warren LLP, counsel to the domestic stainless steel sheet and
strip industry, stated, "We are very pleased with the
Commerce Department's affirmative preliminary determination that
producers of stainless steel sheet and strip in China are selling their merchandise in
the United States at significant
dumping margins. The requirement that U.S. importers begin to
post estimated antidumping duties on stainless steel sheet and
strip from China – in combination
with the existing requirement that importers post estimated
countervailing duties on such shipments – will help to eliminate
unfair trade and restore a level playing field in the U.S.
market."
The next step in the trade action will be the Commerce
Department's verification of factual information submitted by the
Chinese producer participating in the investigations and the
Government of China. There will then be an opportunity for
parties to submit case and rebuttal briefs to the Commerce
Department and to participate in a hearing. Following these
events, the Commerce Department will issue its final antidumping
and countervailing determinations. The current deadline for
the announcement of these final determinations is in late
November 2016, although the deadline
could be extended until late January 2017.
Stainless steel sheet and strip is a flat-rolled alloy steel
containing, by weight, 1.2 percent or less of carbon and 10.5
percent or more of chromium, with or without other elements.
Stainless steel sheet and strip is used in consumer and industrial
applications where the corrosion resistance, heat resistance, or
design characteristics of stainless steel are required.
The petitioners are represented in these actions by Kathleen W. Cannon, David A. Hartquist, John
M. Herrmann, and Grace W. Kim
of the law firm Kelley Drye & Warren LLP.
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visit:http://www.prnewswire.com/news-releases/us-stainless-steel-sheet-and-strip-producers-encouraged-by-commerce-departments-affirmative-preliminary-determination-in-antidumping-investigation-300326293.html
SOURCE Kelley Drye & Warren
LLP