Today, the Dept. of Commerce placed import duties on stainless steel sheet and strip from China to counteract Chinese government subsidies.
The countervailing tariffs are initial duties placed on the imports due to a preliminary affirmative investigation showing that there was subsidization by several levels of government in China.
Commerce calculated a preliminary subsidy rate of 57.30% for mandatory respondent Shanxi Taigang Stainless Steel Co. Ltd. Mandatory respondents Ningbo Baoxin Stainless Steel Co., Ltd. (and its cross-owned companies Baosteel Stainless Steel Co., Ltd., Baoshan Iron & Steel Co., Ltd., Baosteel Desheng Stainless Steel Co., Ltd., Baosteel Co., Ltd., Bayi Iron & Steel Co., Ltd., Ningbo Iron & Steel Co., Ltd., Shaoguan Iron & Steel Co., Ltd., Guangdong Shaoguan Iron & Steel Co., Ltd., and Zhanjiang Iron & Steel Co., Ltd.) and Daming International Import Export Co. Ltd. (and its cross-owned company Tianjin Taigang Daming Metal Product Co., Ltd.) either notified Commerce that they would not participate in this investigation or did not, in fact, participate in the investigation.
Heavy Duties on Chinese Stainless
As a result, Commerce calculated a preliminary subsidy rate of 193.12% based on adverse facts available due to the failure of these companies to cooperate in the investigation. All other producers/exporters in China were assigned a preliminary subsidy rate of 57.30%.
U.S. Customs and Border Protection will now require cash deposits of Chinese stainless sheet and strip imports based on these preliminary rates.
All Chinese Exports Affected
Commerce also preliminarily found that critical circumstances exist with respect to all exporters of this merchandise from China. That means Customs will be instructed to impose provisional measures retroactively on entries of stainless steel sheet and strip from all exporters from China, up to 90 days prior to publication of the preliminary determination in the Federal Register.
The petitioners for this investigation are AK Steel Corporation, Allegheny Ludlum, LLC d/b/a ATI Flat Rolled Products, North American Stainless, and Outokumpu Stainless USA, LLC.