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FACT SHEET

Preliminary Determinations in the Antidumping Duty Investigations on

Certain Circular Welded Carbon-Quality Line Pipe from

Mexico, the People's Republic of China, and the Republic of Korea

On September 30, the Department of Commerce announced the preliminary determinations in the antidumping duty investigations of certain circular welded carbon-quality line pipe from Mexico, the People's Republic of China (PRC), and the Republic of Korea (Korea).   We preliminarily find that Mexican, Chinese and Korean producers/exporters have sold subject merchandise from in the U.S. market at less than fair value, with margins ranging from 14.93 to 31.34 percent for Mexico, a margin of 73.17 percent for the PRC, and margins ranging from 1.19 (de minimis) to 6.49 percent for Korea.

Upon the publication of the preliminary determinations in the Federal Register, U.S. Customs and Border Protection (Customs) will begin to suspend liquidation of entries of subject merchandise and collect a bond or cash deposit based on the margins above de minimis in the Department's preliminary determinations.

Next Steps:   The Department will consider all submitted comments from interested parties along with record evidence before making its final determinations on or about December 13, 2004, for the PRC, and February 18, 2005, for Mexico and Korea.   If the Department makes final affirmative determinations, and the U.S. International Trade Commission makes final affirmative determinations that imports materially injure, or threaten material injury to, the domestic industry, the Department will issue antidumping duty orders and instruct Customs to collect cash deposits on imports of subject merchandise.

Application of Total Adverse Facts Available in Investigations on Mexican and Chinese Imports:   The preliminary dumping margins of 73.17 percent on imports of subject merchandise from the PRC and 31.34 percent on imports from the Mexican producer/exporter Tuberia Nacional (TUNA) are based on adverse facts available.   In the PRC investigation, none of the mandatory respondent companies participated in the Department's investigation.   In the Mexico investigation, after responding to Section A of the antidumping questionnaire, TUNA informed the Department it would no longer participate in the investigation.

Petitioners:   The petitions requesting these investigations were filed on March 3, 2004, by American Steel Pipe Division of ACIPCO (Alabama), IPSCO Tubulars, Inc. (Iowa), Lone Star Steel Company (Texas), Maverick Tube Corporation (Missouri), Northwest Pipe Company (Oregon), and the Stupp Corporation (Louisiana).

Product Description:   The products covered by these investigations are all circular welded carbon quality steel pipe of a kind used for oil and gas pipelines, not more that 406.4 mm (16 inches) in outside diameter, regardless of wall thickness, surface finish (black, or coated with any coatings compatible with line pipe), and regardless of end finish (plain end, beveled ends for welding, threaded ends or threaded and coupled, as well as any other special end finishes), and regardless of stenciling.   Excluded from this proceeding are line pipe in nominal pipe size outer diameter of 1 1/4 inch and less.

The merchandise subject to these investigations are currently classifiable in the Harmonized Tariff Schedule of the United States (HTSUS) at heading 7306 and subheadings 7306.10.1010, 7306.10.1013, 7306.10.1014, 7306.10.1015, 7306.10.1019, 7306.10.1050, 7306.10.1053, 7306.10.1054, 7306.10.1055, 7306.10.1059, 7306.10.5010, 7306.10.5013, 7306.10.5014, 7306.10.5015, 7306.10.5019, 7306.10.5050, 7306.10.5053, 7306.10.5054, 7306.10.5055, and 7306.10.5059.   The tariff classifications are provided for convenience and customs purposes; however, the written description of the scope of the investigations is dispositive.

Preliminary Dumping Margins:

COUNTRY

MARGIN

MEXICO

 

Hylsa S.A. de CV

14.93%

Tuberia Nacional

31.34%

All Others

14.93%

PEOPLE'S REPUBLIC OF CHINA

 

PRC-Wide

73.17%

REPUBLIC OF KOREA

 

SeAH Steel Corporation, Ltd.

1.19% (de minimis)

Hyundai HYSCO Co., Ltd.

6.49%

All Others

6.49%


Case Calendar:

EVENT

DATE

Petitions Filed

March 3, 2004

Initiation Date

March 23, 2004

ITC Preliminary Determinations

April 19, 2004

ITA Preliminary Determinations

September 29, 2004

ITA Final Determinations

PRC   December 13, 2004
Mexico   February 18, 2005
Korea   February 18, 2005

ITC Final Determinations*

PRC  January 27, 2005
Mexico  April 4, 2005
Korea  April 4, 2005

Signature of Orders**

PRC  February 3, 2005
Mexico  April 11, 2005
Korea  April 11, 2005

* This will take place only in the event of a final affirmative determination from the Department.

**An order will be issued only in the event of final affirmative determinations by both the Department and the ITC.

Import Statistics:

 

2001

2002

2003

MEXICO

Volume (kg)

46,413,120

44,803,173

47,512,091

Value ($US)

$20,875,425

$21,548,388

$25,195,704

PRC

Volume (kg)

2,301,360

16,278,086

22,793,205

Value ($US)

$699,455

$5,061,218

$8,078,677

KOREA

Volume (kg)

11,289,998

51,801,994

96,190,753

Value ($US)

$3,675,298

$15,773,381

$35,290,390

Source: International Trade Commission Trade Database (Dataweb).

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