Five nations escape US steel-dumping tariffs
news.ft.com
By Nancy Dunne in Washington and Guy de Jonquières in London
Published: August 27 2002 19:40 | Last Updated: August 27 2002 19:40
The US on Tuesday decided against imposing anti-dumping duties on steel imports from five countries, in a move expected to ease trade tensions with the European Union and other leading trading partners.
The ruling by the US International Trade Commission, an independent bipartisan body, follows widespread international relief at recent decisions by President George W. Bush's administration to exempt many steel imports from the tariffs, of as much as 30 per cent, that it announced in March.
Other countries had feared the commission would uphold demands brought by US producers for anti-dumping duties of up to 60 per cent, erase the benefit of the tariff exemptions and jeopardise the success of diplomatic efforts to resolve the dispute.
However, the commission's members found by a four-to-one vote that the domestic industry had not been "materially injured" by low-cost imports of cold-rolled carbon flat steel products from Australia, India, Japan, Sweden and Thailand. Lawyers representing both sides in the case said they expected the commission also to reject anti-dumping duties when it ruled later this year on cold-rolled flat steel imports from 15 other countries.
The countries are Argentina, Belgium, Brazil, France, Germany, South Korea, the Netherlands, New Zealand, Russia, South Africa, Spain, Taiwan, Turkey and Venezuela. Four of them are also being investigated by the commission for allegedly subsidising steel exports.
Tuesday's decision followed intensive lobbying by US steel importers and consumers and a vigorous campaign in the US media arguing that imposing anti-dumping duties, on top of the steel tariffs, would damage the economy.
Alan Wolff, a lawyer who represents several large US steel producers, called the decision wrong and unjust. But Lewis Leibowitz, counsel to the American Institute for International Steel, a users' group, called it a "rare and welcome piece of good news for US consumers".
The European Commission had no immediate comment but is expected to welcome the decision. The EU and Japan are expected to decide next month whether to press ahead with threatened retaliation against the tariffs.
Such action appears much less likely since the US exempted a quarter of all steel imports - and about half those from the EU - from the tariffs. But the EU, Japan and several other countries are pursuing a challenge to the tariffs in the World Trade Organisation.
Meanwhile, the US Commerce Department said steel imports last month were 5.7 per cent higher than in June and 16.1 per cent above the level a year previously. Much of the increase was accounted for by Russia and Germany, though imports from Turkey and Japan fell. |
