Bonney Forge Corporation and the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union, on October 5, 2017, filed antidumping (AD) petitions on forged steel fittings from China, Italy and Taiwan, and a countervailing duty (CVD) petition on forged steel fittings from China.
The U.S. AD law imposes special tariffs to counteract imports that are sold in the United States at less than “normal value.” The U.S. CVD law imposes special tariffs to counteract imports that are sold in the United States with the benefit of foreign government subsidies. For AD/CVD duties to be imposed, the U.S. government must determine not only that dumping and/or subsidies are occurring, but also that there is “material injury” (or threat thereof) by reason of the dumped and/or subsidized imports. Importers are liable for any potential AD/CVD duties imposed. In addition, these investigations could impact purchasers by increasing prices and/or decreasing supply of forged steel fittings.
Scope
The merchandise covered by this investigation is carbon and alloy forged steel fittings, whether unfinished (commonly known as blanks or rough forgings) or finished. Such fittings are made in a variety of shapes including, but not limited to, elbows, tees, crosses, laterals, couplings, reducers, caps, plugs, bushings and unions. Forged steel fittings are covered regardless of end finish, whether threaded, socket-weld or other end connections.
While these fittings are generally manufactured to specifications ASME B16.11, MSS SP-79, and MSS SP-83, ASTM A105, ASTM A350 and ASTM A182, the scope is not limited to fittings made to these specifications.
The term forged is an industry term used to describe a class of products included in applicable standards, and does not reference an exclusive manufacturing process. Forged steel fittings are not manufactured from casting. Pursuant to the applicable standards, fittings may also be machined from bar stock or machined from seamless pipe and tube.
All types of fittings are included in the scope regardless of nominal pipe size (which may or may not be expressed in inches of nominal pipe size), pressure rating (usually, but not necessarily expressed in pounds of pressure, e.g., 2,000 or 2M; 3,000 or 3M; 6,000 or 6M; 9,000 or 9M), wall thickness, and whether or not heat treated.
Excluded from this scope are all fittings entirely made of stainless steel. Also excluded are flanges and butt weld fittings.
Subject carbon and alloy forged steel fittings are normally entered under HTSUS 7307.99.1000, 7307.99.3000, 7307.99.5045, and 7307.99.5060. They also may be entered under HTSUS 7307.92.3010, 7307.92.3030, 7307.92.9000, and 7326.19.0010. The HTSUS subheadings and specifications are provided for convenience and customs purposes; the written description of the scope is dispositive.
Alleged Dumping Margins
The petitioners allege that the following dumping margins exist:
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China: 141.41 percent
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Italy: 47.87 percent
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Taiwan: 109.35 percent
Estimated Schedule of Investigations
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October 5, 2017 – Petition is filed
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October 25, 2017 – DOC initiates investigation
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October 26, 2017 – ITC staff conference
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November 20, 2017 – Deadline for ITC preliminary injury determination
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December 29, 2017 – Deadline for DOC preliminary CVD determination, if not postponed
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March 4, 2018 – Deadline for DOC preliminary CVD determination, if fully postponed
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March 14, 2018 – Deadline for DOC preliminary AD determinations, if not postponed
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May 3, 2018– Deadline for DOC preliminary AD determinations, if fully postponed
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September 17, 2018 – Deadline for DOC final AD determinations, if both preliminary and final AD determination deadlines fully postponed
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November 2, 2018 – Deadline for ITC final injury determination, assuming fully postponed DOC deadlines