Domestic Industry Applauds ITC Decision on Rebar Imports
07/11/2007 - AISI, SMA, and counsel to the Rebar Trade Action Coalition express their appreciation to the U.S. International Trade Commission for its decision to maintain antidumping duties on steel reinforcing bar imports from China, Belarus, Indonesia, Latvia, Moldova, Poland and Ukraine.
The American Iron and Steel Institute (AISI), Steel Manufacturers Association (SMA), and counsel to the Rebar Trade Action Coalition expressed their appreciation to the U.S. International Trade Commission (ITC) for its decision to maintain antidumping duties on steel reinforcing bar imports from China, Belarus, Indonesia, Latvia, Moldova, Poland and Ukraine. The orders have been in place since 2001, and were subject to a five-year sunset review by the ITC.
The ITC made its decision in the sunset review after a full investigation of whether revocation of the orders would likely lead to continuation or recurrence of material injury to the domestic industry. The ITC made a negative determination with regard to Korea, and will revoke that antidumping order.
“We applaud the ITC’s decision,” said Thomas Danjczek, SMA President. “Our trade laws in place are consistent with World Trade Organization rules, and it is vital that the U.S. Government enforces them. U.S. imports of steel continue to remain at alarming levels, and this decision of the ITC will prevent the domestic market from being subjected to additional sharp increases in illegally dumped imports of rebar.”
According to the Census Bureau statistics, the U.S. imported 2.35 million net tons of rebar in 2006, up from 1.29 million net tons the previous year, an increase of approximately 82%. Rebar import levels remain high in 2007, at over 823,000 net tons through the month of May.
“We appreciate the ITC’s decision, which recognizes the further injury that would be caused to America’s highly efficient rebar producers, if current antidumping duties were removed for China and other major foreign suppliers,” said Andrew G. Sharkey III, President and CEO of AISI.
"China has a staggering amount of excess capacity,” said Alan H. Price, counsel to the Rebar Trade Action Coalition, “while the other countries operate as export platforms that have to export to maintain production. Maintaining these orders is critical to the domestic steel industry, and we are pleased that the ITC has recognized the importance of these orders." Mr. Price is a partner with Wiley Rein LLP in Washington, D.C.
SMA and AISI note that their members are among the world’s most efficient steel producers, and are effective competitors against other unsubsidized international producers. The two organizations continue to request the Administration and Congress to bring about pro-competitive changes in the areas of U.S. trade and tax policy, including the elimination of artificial exchange rate distortions, so as to place U.S. producers on an equal footing in the conduct of international trade.
“The imports of rebar are clearly part of a larger problem”, Danjczek added. “In addition to rebar, we have experienced surges in products such as corrosion-resistant flat rolled steel, fence posts, wire rod, and welded and seamless tubular products.”
Together, AISI and SMA represent the interests of virtually all the rebar produced in the United States.
The Rebar Trade Action Coalition also represents the major U.S. producers of rebar, including Nucor, Gerdau Ameristeel, and CMC Steel Group.
