Author: Paul Ploumis17 Nov 2014 Last updated at 00:53:06 GMT
ALBANY (Scrap Monster): The US Department of Commerce (DOC) has decided to impose hefty duties on wire rods imported from China. The decision was applauded by the American Iron and Steel Institute (AISI). According to DOC, the products from China were dumped into US markets at cheap rates, causing significant damage to domestic wire rod producers in the country.
The decision announced Thursday states that major Chinese exporters will henceforth face anti-dumping (AD) duties of up to 110.25% and anti-subsidy duties ranging from 178.46% to 193.31%. The duty rates will be applicable for imports from major companies including Benxi Steel, Rizhao Steel Wire Co, Hunan Valin Xiangtan Iron & Steel Co and Jiangsu Shagang International Trade Co.
The punitive duties are being imposed based on complaints filed by Arcelor Mittal, Charter Steel, Evraz Pueblo, Gerdau Ameristeel, Keystone Consolidated Industries and Nucor Corporation. These companies had lodged complaints saying that the wire rod products are being sold below the fair price of the products in the market of US and that the Chinese exporters along with the producers are being granted unjust government subsidiaries.
” This decision is a positive step in our ongoing efforts to enhance our industry’s competitiveness and put us on a level playing field. Our steel producers can compete against anyone in the world, if the rules of international trade against dumping and subsidies are enforced”, said Thomas J. Gibson, President and CEO, AISI.
The final decision on the matter by the US International Trade Commission (US ITC) is expected by end-December.