The Commerce Commission agrees that foreign imports have hurt the U.S. steel industry

The US International Trade Commission has announced a preliminary finding that imports of corrosion-resistant steel from China, India, Italy, South Korea and Taiwan have affected the US steel industry.

In a unanimous vote, the six commissioners „determined that there is a fair indication that the US industry is threatened with material injury.”

The US steel industry – the steel makers

The move comes about a month after major US steel producers filed a petition. At the Department of Commerce and the US International Trade Commission. To apply anti-dumping duties or duties against steel imports from these countries.

The petitioners include Steel Dynamics, Inc., AK Steel Corp., ArcelorMittal USA, California Steel Industries, Nucor Corporation and US Steel.

Almost all of these companies have ties to Iron Range Minnesota. Geologically, the Minnesota Iron Range includes four large iron deposits. They either buy iron ore pellets or own rolling mills and mines. The companies claim that this increase in steel imports below the market price has reduced demand, in some cases. In this way they forced the closing of the rolling mills, which led to layoffs at the Minnesota operations.

They claim that imports of corrosion-resistant steel sheets increased by 85% – 1,500,000 – 2,750,000 tons – between 2012 and 2014 from the five countries that are the subject of the petition. In addition, the countries increased the tonnage of imports by more than 30 percent. From 600,000 tons to 800,000 tons. In the first quarter of 2015, more than doubling their share between 2012 and the end of March 2015.

„We are pleased that the ITC has confirmed that the flood of unfairly traded imports of corrosion-resistant steel sheet has significantly affected our exports, prices and profitability,” said Mark D. Millett, Chief Executive Officer of Steel Dynamics. „SDI believes in fair trade, but the US has become a dumping ground for the world’s steel excess capacity.”

The Commerce Department is expected to publish preliminary conclusions in countervailing duty cases by August 27 and in anti-dumping cases by November 10.

US International Trade Commission

It is an independent federal, quasi-judicial agency with extensive investigative responsibilities in trade matters. The agency investigates the effects of dumped imports and subsidies on domestic industries and conducts safeguard investigations worldwide. The commission also pronounces itself in cases of imports that would have violated intellectual property rights.

Article source: http://www.duluthnewstribune.com/business/3799725-trade-commission-agrees-foreign-steel-was-dumped-us

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