Trade Cases
Commerce Initiates AD/CVD Investigation on Fabricated Structural Steel
Written by Sandy Williams
February 28, 2019
The Commerce Department announced Tuesday that it has initiated 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 those three countries are receiving unfair subsidies.
The investigation was launched following a petition by the American Institute of Steel Construction. The petition alleges that Canada has 44 subsidy programs, China has 25 and Mexico has 19 including subsidies on taxes, grants, loans, export insurance and export programs, among others.
The alleged dumping margins are 30.41 percent for Canada, 222.35 percent for China and 30.58 percent for Mexico.
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 next step will be a preliminary injury determination by the U.S. International Trade Commission by March 21, 2019.
If there is a reasonable indication that imports of fabricated structural steel from Canada, China and/or Mexico materially injure, or threaten material injury to, the domestic industry in the United States, the investigations will continue. Commerce will be scheduled to announce its preliminary CVD determinations on May 2, 2019, and its preliminary AD determinations on July 16, 2019, although these dates may be extended. If the ITC’s determinations are negative, the investigations will be terminated.
Sandy Williams
Read more from Sandy WilliamsLatest in Trade Cases
US pols urge ‘domestically owned’ steel industry
US Sen. Jim Banks (R-Ohio) and Rep. Frank Mrvan (D-Ind.) have written a letter in support of a “domestically owned and operated American steel industry” being vital to national security.
Leibowitz: Trump takes aim at trade with a tariff ‘punt gun’
The tariffs are intended to produce more investment and jobs in US manufacturing. But first, there will be a cosmic change, potentially wiping out millions of jobs in the short run. While administration officials will no doubt cringe at the comparison, it reminds me of the effort to undercut fossil fuels production to address climate change. Led by Democrats, the effort was to destroy fossil fuels so that renewable energy sources would have more space to grow. The result: inflation and electoral defeat in 2024.
Price: Expect new trade shocks as Trump’s ‘reciprocal’ tariff negotiations continue
President Trump cast a wide net with the proposed, reciprocal tariffs. The negotiating stage will be critical to determining the success of his strategy. And for those suffering tariff whiplash, don’t expect the pace of change to slow down just because the reciprocal tariffs are entering a negotiating phase.
SMU Survey: Less support seen for Trump tariff policies
Meanwhile, an increasing number think it's too early to say whether the penalties are going to bring more manufacturing to the US.
CRU: USW seeks exclusion for Canada from Trump’s tariffs
The union is also urging stronger enforcement against countries such as China which break trade rules, and a coordinated Canada-US strategy to protect union jobs across the North America