U.S. producers of cold-rolled steel file petition against eight countries
The antidumping petitions charge that unfairly traded imports of cold-rolled steel from Brazil, China, India, Japan, South Korea, Netherlands, Russia, and the United Kingdom are causing material injury to AK Steel and the domestic steel industry.
The counter-vailing duty petitions charge that significant subsidies have been provided to the foreign producers by the governments of Brazil, China, India, South Korea, and Russia.
AK Steel produces cold-rolled steel for various customer applications, including appliances, automotive products, containers, and construction. Cold-rolled steel comprised approximately 20 percent of the company’s shipments in 2014.
AK Steel was joined in filing the petitions by Arcelor Mittal USA LLC, Nucor Corporation, Steel Dynamics, Inc. and United States Steel Corporation. The petitions were filed with the United States Department of Commerce and the United States International Trade Commission (USITC).
The eight countries covered by the antidumping petitions and the dumping margins alleged by AK Steel and the domestic industry are Brazil , China, India, Japan, South Korea, the Netherlands, Russia, and the United Kingdom.
The petitions also allege that the foreign producers benefit from numerous counter-vailable subsidies. The petitions were filed in response to large and increasing volumes of low-priced imports of cold-rolled steel from the subject countries over the past three years that have injured AK Steel and other U.S. producers.
Imports of cold-rolled steel from the eight countries targeted by this case increased by 120% between 2012 and 2014, from 798,000 tons to 1.75 million tons. These imports increased further in January – May of 2015 as compared to the same period in 2014, from 548,835 to 790,361 tons. In 2014, these countries exported more than $1.2 billion of cold-rolled steel to the United States.
The petitions allege that producers in the subject countries have injured AK Steel and others in the domestic industry by selling their products at unfairly low prices that significantly undercut the prices of U.S. producers.
As a result, imports of cold-rolled steel have captured an increasing share of the U.S. market at the direct expense of AK Steel and the U.S. industry. The price declines that U.S. producers have suffered are likely to continue if duties are not imposed to level the playing field. ■