Today, the US Department of Commerce announced the initiation of new antidumping duty (AD) and countervailing duty (CVD) investigations to determine whether fabricated structural steel from Canada, China, and Mexico is being sold in the United States at less than fair value and to find if producers in Canada, China, and Mexico are receiving unfair subsidies.
These antidumping duty and countervailing duty investigations were initiated based on petitions filed by American Institute of Steel Construction Full Member Subgroup (Chicago, IL) on February 4, 2019.
The alleged dumping margins are 30.41 percent for Canada, 222.35 percent for China, and 30.58 percent for Mexico.
In the CVD investigation, the DOC will determine whether Canadian, Chinese, and Mexican producers of fabricated structural steel are receiving unfair government subsidies. There are 44 subsidy programs alleged for Canada, including tax programs, grant programs, loan programs, export insurance programs, and equity programs. There are 26 subsidy programs alleged for China, including tax programs, grant programs, debt restructuring programs, export subsidy programs, as well as the provision of goods and services for less than adequate remuneration. There are 19 subsidy programs alleged for Mexico, including grant programs, tax programs, export programs, and loan programs.
In 2017, imports of fabricated structural steel from Canada, China, and Mexico were valued at an estimated $658.3 million, $841.7 million, and $406.6 million, respectively.
The ITC will make its preliminary determinations on or before March 21, 2019. If the ITC preliminarily determines that there is injury or threat of injury, then the DOC’s investigations will continue, with the preliminary CVD determinations scheduled for May 1, 2019, and preliminary AD determinations scheduled for July 15, 2019, unless these deadlines are extended.
Final determinations by the DOC in these cases are scheduled for July 15, 2019, for the CVD investigations, and September 30, 2019, for the AD investigations, but those dates may be extended. If the DOC finds that products are not being dumped and/or unfairly subsidized, or the ITC finds in its final determinations there is no harm to the U.S. industry, then the investigations will be terminated and no duties will be applied.