AISI Decries Ruling On China's NME Status For Duties

 

 

Steel Business Briefing
http://www.steelbb.com/us/

December 22, 2011

The U.S. has lost one of its primary defenses against subsidized imports, according to the American Iron and Steel Institute.

On Monday, a U.S. Court of Appeals ruled that the U.S. Department of Commerce cannot impose countervailing duties (CVDs) against non-market economies like China. The ruling was based on the court’s interpretation of two laws that would limit CVDs to market economies only.

Unless the department appeals the ruling, existing CVDs would have to be revoked, Steel Business Briefing understands.

    “AISI is gravely concerned with this erroneous court decision, which will cost valuable American jobs at a time when we need to be creating jobs, not eliminating them,” said AISI CEO Thomas Gibson in a statement. “With over 20 Chinese products currently subject to countervailing duties – duties that were imposed only after a comprehensive investigation – this ruling gives Chinese producers and exports a license to unfairly attack the US market with the full resources of the Chinese government.”

China is currently subject to at least seven CVDs on tubular products, with some duty rates as high as 616%.