March 19, 2014
ITC Finds Injury from Wire Rod Imports
The U.S. International Trade Commission made a unanimous preliminary determination that foreign producers of carbon and certain alloy steel wire rod are causing injury to U.S. producers. The preliminary injury determination means that the case against producers in China will proceed.
ArcelorMittal USA, Charter Steel, Evraz Pueblo, Gerdau Ameristeel U.S., Keystone Consolidated Industries and Nucor Corp. filed the petition on Jan. 31, charging that unfairly traded imports of wire rod from China were causing material injury to the domestic industry. They also filed a countervailing duty petition alleging that the Chinese government provided significant subsidies to Chinese wire rod producers.
As a result of the commission's affirmative determinations, the U.S. Department of Commerce will continue to investigate Chinese imports of these products, with its preliminary countervailing duty determination due by April 28 and its antidumping duty determinations due by July 10.
"This affirmative decision is an important first step in remedying the devastating injury that the flood of unfairly traded imports of wire rod from China has had on the domestic industry," says Paul Rosenthal of Kelley Drye & Warren LLP, the lead trade counsel to the U.S. petitioners.
Wire rod imports from China surged from 144,000 tons in 2011 to over 600,000 tons in 2013. By 2013, China was the largest source of wire rod imports to the U.S., totaling more than $335 million.