CPTI demands certain changes in current pipe duties

CPTI demands certain changes in current pipe duties

The US Committee on Pipe and Tube Imports (CPTI) released a report on the enforcement of duties on pipe and tube imports in the US market. The report indicates that pipe imports, especially from China and Turkey, cause material injury to the US domestic market. The result is many layoffs despite strong demand. In the case of Chinese imports, the Committee says that pipe imports increased five-fold from 2002 to 2004. Accordingly, the Committee indicates that it would support any legislation that penalizes Chinese imports if they continue to injure US domestic industries. Secondly, CPTI mentions its concerns about the enforcement of trade laws in certain cases. The Committee cites examples of recent cases where duty drawback adjustments were granted to Turkish and Thai pipe and tube producers by the Department of Commerce (DOC), even though these producers admitted that they did not use imported steel for the manufacture of pipe and tube products sold in their home market. The Committee points out that in similar cases, the European Union (EU), Canada and Australia denied duty drawback adjustments. The Committee adds that due to mistakes made in enforcing the trade laws, imports from Turkey increased 70% from 2002 through 2004. Although the Committee objects to the enforcement of certain duties on pipe and imports by the DOC and the International Trade Commission (ITC), the Committee welcomes the decision of the DOC and ITC to include all pipe and tube products in the new Steel Import Monitoring and Analysis (SIMA) system, which will be effective until 2009. The Committee also strongly supports preservation of Continued Dumping and Subsidy Offset Act (CDSOA), since it allows money collected from duties to be distributed to the affected companies. On the other hand, CPTI claims that certain measures should be enforced to prevent many contractors from filing false certifications that allow them to use cheaper imported pipes, often from China, in projects that require American pipes. In summary, the CPTI demands adjustments in the enforcement of certain duties on pipe and tube imports with the claim that they cause injury to the US domestic market.