NEW YORK AK
Steel Corp., Allegheny Technologies Inc. (ATI) and the United
Steelworkers union have filed a trade petition against imports
of grain-oriented electrical steel from Japan, South Korea,
China and four other countries, alleging that the low-priced
material has suppressed margins and deteriorated domestic
The petition concerns
the alleged dumping of imports from Japan, South Korea, China,
the Czech Republic, Germany, Poland and Russia, and subsidies
on imports from China, the parties said in a petition filed
with both the U.S. International Trade Commission (ITC) and the
U.S. Commerce Department Sept. 18.
margins are 168.47 percent for Chinese producers, 57.55 to
217.23 percent for Czech producers, 49.51 to 188.59 percent for
German producers, 38.26 to 171.25 percent for Japanese
producers, 47.81 to 94.85 percent for Polish producers, 18.54
to 81.78 percent for Russian producers and 40.45 to 210.13
percent for South Korean producers.
As the only U.S.
producers of the product, petitioners West Chester, Ohio-based
AK Steel and Pittsburgh-based ATI accounted for all domestic
production in 2012.
The filing is in
response to "large and increasing volumes" of "low-priced
imports" from the subject countries in the past three years,
the petitioners said, adding that imports from the seven
countries accounted for 85 percent of all U.S. imports of
grain-oriented electrical steel by value in 2012.
investigations confirmed our belief that widespread dumping is
being practiced by producers from seven countries. This
violates U.S. laws and (World Trade Organization) rules," ATI
chairman, president and chief executive officer Richard J.
Harshman said. "We respectfully urge the U.S. Department of
Commerce and the U.S. International Trade Commission to grant
speedy and effective relief to remedy the injury to our
business and to support the jobs of our employees."
imports increased to 31,191 tons in 2012 from 29,856 tons in
2010, according to the petition. They continue to increase in
the interim, to 15,095 tons in the first half of 2013 from
14,110 tons in the same year-ago period.
increased, prices also fell. Average unit values for the
cumulative imports fell nearly 14 percent to $2,682 per ton in
2012 from $3,118 per short ton in 2010. Another 9.9 percent
decline was seen in the first half of this year, to $2,479 per
ton, vs. the same 2012 period.
anti-dumping margins found in our investigations reflect the
determination of those companies to capture market share in the
United States by using tactics not permitted under U.S. and
international rules," AK chairman, president, and chief
executive officer James L. Wainscott said in a statement.
Trade action against
subject imports is certainly not new. In 1984, the ITC
initiated a section 201 investigation on imports of certain
carbon and alloy steel products that included grain-oriented
electrical steel. As a result, the product was put under a
volunteer restraint agreement that expired in 1992. In a later
2001 section 201 case, the investigation resulted in a negative
In 1993, the U.S.
industry filed a similar petition against the product from
Italy and Japan, but after several years of court remands,
duties were revoked completely in 2006 (
amm.com, May 10, 2006).
grain-oriented electrical steel has also been made known on the
international front, particularly as the United States and
Chinese government have been in consultations at the WTO since
2010 concerning the Asian nations imposition of duties
against U.S. exports of the material (
amm.com, Aug. 1).
determine if it will initiate the anti-dumping and
countervailing duty investigations within 20 days, and the ITC
will reach a preliminary determination of material injury or
threat of material injury within 45 days.
New York, contributed to this story.