Steelmakers could face punitive action from the United States
after it ruled yesterday that "subsidized" steel pipe imports from
China are hurting its industry.
The charge is the result of a countervailing and anti-dumping
investigation launched by the US against Chinese steel-pipe makers
in June.
The US International Trade Commission said: "There is a
reasonable indication that an industry in the United States is
materially injured, or threatened with material injury, by reason
of imports from China of circular welded carbon-quality steel
pipe".
It claims the Chinese products receive government subsidies and
are sold in the US at less than fair value.
The Chinese Ministry of Commerce declined to comment yesterday.
But when the investigation was launched in June it said China was
strongly opposed to the probe.
Steel pipe imported from South Korea, Mexico and Turkey is also
subject to the US charge.
The US commerce department will continue the investigation and
is scheduled to make preliminary rulings on the "margin of subsidy
and dumping" on September 20 and December 4.
The US industry claims Chinese steelmakers have been subsidized
by the government for years.
It has filed several anti-dumping or dual complaints
(anti-dumping and countervailing) with the US government against
Chinese manufacturers this year.
But local steelmakers and exporters refute the charge. They say
the US claims are groundless and the steel industry has developed
out of China's market economy rather than with the help of
government subsidies.
The China Chamber of Commerce of Metals, Minerals and Chemicals
Importers and Exporters also said the US had given US$100 billion
in long-term subsidies to its industry over the past three to four
decades.
(China Daily August 16, 2007)
