U.S. Says Steel Racks Dumped from China, Aided by Countervailable Subsidies

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The U.S. Department of Commerce. qingwa/Adobe Stock

The U.S. Department of Commerce announced late last week that it found evidence of dumping and countervailable subsidization of steel racks from China.

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According to the DOC, imports of the steel racks from China were dumped into the U.S. at less than fair value at rates ranging from 18.06% to 144.50%.

The DOC also determined the steel racks benefited from countervailable subsidies ranging from 1.50% to 102.23%.

According to the Department of Commerce, imports of steel racks from China were valued at $200 million in 2017.

The case is spurred by a petition from the Coalition for Fair Rack Imports filed in June 2018. The coalition’s members are: Bulldog Rack Company (Weirton, West Virginia), Hannibal Industries, Inc. (Los Angeles, California), Husky Rack and Wire (Denver, North Carolina), Ridg-U-Rak, Inc. (North East, Pennsylvania), SpaceRak (Marysville, Michigan), Speedrack Products Group, Ltd. (Sparta, Michigan), Steel King Industries, Inc. (Stevens Point, Wisconsin), Tri-Boro Shelving & Partition Corp. (Farmville, Virginia), and UNARCO Material Handling, Inc. (Springfield, Tennessee).

The U.S. International Trade Commission will make its final determinations in the case by Sept. 3. If the USITC rules in the affirmative, the Department of Commerce will issue anti-dumping and countervailing duty orders.

The DOC applied the 18.06% dumping rate for Nanjing Dongsheng Shelf Manufacturing Co., Ltd., while the China-wide entity was assessed at a 144.50% dumping rate.

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As for countervailing subsidies, the DOC said Nanjing Dongsheng Shelf Manufacturing Co., Ltd. benefited from countervailable subsidies at a rate of 1.50%, while adverse facts available led to a rate of 102.23% for other companies.

From 2016 to 2017, imports of steel racks by tonnage increased 15.7%, up to 371,082 tons in 2017.

Comment (1)

  1. mrssteel says:

    The anti-dumping duty will be the price difference between the landed cost and the price indicated by the Centre, said the order.

    The definitive anti-dumping duty recommended by the Ministry is completely WTO-complaint and cannot be contested by the exporting countries.

    The DGAD concluded that there has been a significant increase in the volume of dumped imports from these nations.

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