US ITC terminates AD investigation on carbon steel WR from three countries

US ITC terminates AD investigation on carbon steel WR from three countries

In a stunning development, the US International Trade Commission (ITC) made a negative preliminary determination in the antidumping investigation of carbon and certain alloy steel wire rod from China, Germany and Turkey. By an unanimous vote the commissioners determined that there was "no reasonable indication" that rod imports of these countries are causing or threaten to cause "material injury" to the domestic rod industry. Consequently, this particular investigation has been terminated. For many observers the ruling has come as a surprise at this particular stage. Even though representatives of the wire industry had presented a very convincing case during the public hearing December 3 in Washington, the majority of ITC commissioners almost always vote for injury at the preliminary stage. But the petitioners must have had a weak case indeed because the unanimous vote is another surprise. Many wire rod importers have made arrangements to cover their needs without Turkey, China and Germany in the picture. Obviously, this scenario will change again. The consequences of this ruling and market reaction will transpire more clearly after the holidays.