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Aug. 21, 2013

OCTG Antidumping Cases Move Forward
 
The International Trade Commission has voted to allow antidumping and countervailing duty investigations to move forward on certain OCTG products from India, the Philippines, Saudi Arabia, South Korea, Taiwan, Thailand, Turkey, Ukraine and Vietnam.

The American Iron and Steel Institute supports the affirmative preliminary injury vote. "We are very pleased that the ITC has taken this significant first step in making a preliminary determination that these imports are causing material injury to the domestic steel industry," says Thomas Gibson, president and CEO of Washington-based AISI. "The U.S. laws against unfair trade exist to counter market-distorting practices, like dumping and subsidies, and to restore conditions of fair trade."

Imports from the named countries have increased by 111 percent in the past few years to 1.8 million tons. In the first quarter of this year, 425,987 net tons of imports entered the market from the subject countries.

While domestic steelmakers laud the vote, the American Institute for International Steel questions the need for such trade measures. The Falls Church, Va.-based group represents foreign mills.

"While AIIS acknowledges that some overly aggressive suppliers had created an inventory overhang in the U.S. market, the domestic OCTG industry is profitable, investing and growing its capacity in response to increased oil and gas drilling in the U.S. This decision by the ITC can be expected to disrupt longstanding supply relationships and reflects an abusive use of the trade laws. With a profitable and growing industry in the U.S., along with growing demand for OCTG from all sources, domestic and imported, this is not an industry that needs trade protection," says David Phelps, president of AIIS.

Industry petitioners include: Boomerang Tube; Energex Tube, a division of JMC Steel Group; Maverick Tube Corp.; Northwest Pipe Co.; Tejas Tubular Products; TMK IPSCO; United States Steel Corp.; Vallourec Star, L.P.; and Welded Tube USA, Inc.

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