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China Steel Cylinders: ITA Announces New AD/CV Investigations

The International Trade Administration has issued a fact sheet announcing the initiation of antidumping and countervailing duty investigations on imports of high pressure steel cylinders from China.

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(High pressure steel cylinders are typically used for storage or transport of compressed or liquefied gas.)

Alleged AD Margins and CV Subsidy Rates

The fact sheet states that the alleged dumping margins for high pressure steel cylinders from China range from 17.04% - 176.25%.

The alleged subsidy rates are not specified, but the fact sheet states that they are above de minimis.

Scope of the AD/CV Investigations

According to the fact sheet, the merchandise covered by the scope of these investigations is seamless steel cylinders designed for storage or transport of compressed or liquefied gas (high pressure steel cylinders).

High pressure steel cylinders are fabricated of chrome alloy steel including, but not limited to, chromium-molybdenum steel or chromium magnesium steel, and have permanently impressed into the steel, either before or after importation, the symbol of a U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration (DOT)-approved high pressure steel cylinder manufacturer, as well as an approved DOT type marking of DOT 3A, 3AX, 3AA, 3AAX, 3B, 3E, 3HT, 3T, or DOT-E (followed by a specific exemption number) in accordance with the requirements of sections 178.36 through 178.68 of Title 49 of the Code of Federal Regulations, or any subsequent amendments thereof. High pressure steel cylinders covered by these investigations have a water capacity up to 450 liters, and a gas capacity ranging from 8 to 702 cubic feet, regardless of corresponding service pressure levels and regardless of physical dimensions, finish or coatings.

Excluded from the scope of these investigations are high pressure steel cylinders manufactured to UN-ISO-9809-1 and 2 specifications and permanently impressed with ISO or UN symbols. Also excluded from these investigations are acetylene cylinders, with or without internal porous mass, and permanently impressed with 8A or 8AL in accordance with DOT regulations.

Merchandise covered by these investigations is classified in the Harmonized Tariff Schedule (HTS) under subheading 7311.00.00.30. Subject merchandise may also enter under HTS subheadings 7311.00.0060 or 7311.00.00.90.

The ITA notes that although the HTS subheadings are provided for convenience and customs purposes, the written description of the merchandise under these investigations is dispositive.

ITC to Make Prelim Injury Determinations by June 27, Etc.

The International Trade Commission is scheduled to make its preliminary injury determinations on or about June 27, 2011.

If the ITC determines that there is a reasonable indication that imports from China are materially injuring, or threatening material injury to, the domestic industry, the investigations will continue, and the ITA will be scheduled to make its preliminary CV and AD determinations in August and October 2011, respectively.

(See future issue of ITT for complete scope of the investigations, and deadlines for quantity and value (Q&V) questionnaires and separate rate applications in the AD investigation, to be published in the Federal Register.

See ITT’s Online Archives or 05/18/11 news, 11051820, for BP summary of the International Trade Commission's announcement of its institution of the companion injury investigation and its scheduling of the preliminary phase.)