American Iron and Steel Institute President and CEO Thomas J. Gibson -- Statement on Antidumping and Countervailing Duty Investigations of Chinese OCTG Imports

Free and fair trade cannot exist unless all nations play by the rules

Washington, D.C., 4/30/2009 – “The antidumping and countervailing duty investigations into imports of Chinese Oil Country Tubular Goods (OCTG), which the Department of Commerce initiated on April 29th, are not political, as the Chinese Commerce Ministry asserts.  This is the normal and appropriate use of WTO-legal remedies established for a situation where companies and workers find they are being injured by market-distorting practices, such as in the case of OCTG imports that have surged into the U.S. market from China, roughly tripling in volume between 2006 and 2008.  China is able to send these steel imports into the U.S. at below-market values because of generous subsidies provided by the Chinese government to Chinese steel companies.  In 2006, OCTG imports from China totaled 725,000 net tons.  They surged to 2.2 million net tons in 2008.

The U.S. International Trade Commission (ITC) -- an independent, non-partisan federal agency -- held a preliminary injury conference on April 29th, and the ITC is scheduled to make its preliminary injury determination on May 22nd.  We are confident that the ITC will conduct a fair and unbiased review of the facts related to this case and render a judgment in a manner that adheres to United States law and WTO rules.

U.S. laws and WTO rules against unfair trade exist to counter market-distorting practices and to restore conditions of free and fair trade.  This cannot occur unless all parties play by the rules.

Actions to pursue WTO-consistent trade remedies should not be misconstrued as other than what they are:  legitimate procedures agreed upon by all WTO members to help in maintaining free and fair trade in the global marketplace.”

AISI serves as the voice of the North American steel industry in the public policy arena and advances the case for steel in the marketplace as the preferred material of choice.  AISI also plays a lead role in the development and application of new steels and steelmaking technology.  AISI is comprised of 24 member companies, including integrated and electric furnace steelmakers, and 138 associate and affiliate members who are suppliers to our customers of the steel industry.  AISI's member companies represent approximately 75 percent of both U.S. and North American steel capacity.  For more news about steel and its applications, view AISI’s Web site at www.steel.org.

Contact:
Nancy Gravatt
Vice President, Communications
American Iron and Steel Institute
Tel: 202.452.7115