Domestic Companies Ask for More AD/CV Duties on Oil Country Tubular Goods
A group of U.S. companies filed petitions July 2 requesting antidumping duties on oil country tubular goods (OCTG) from India, Philippines, Saudi Arabia, South Korea, Taiwan, Thailand, Turkey, Ukraine and Vietnam and countervailing duties on oil country tubular goods from India and Turkey, alleging unfairly traded imports are injuring domestic industry. U.S. Steel, Vallourec Star, TMK IPSCO, Energex, Northwest Pipe Company, Tejas Tubular Products, Welded Tube Company, Boomerang Tube, and Maverick Tube Corporation alleged that undersold and illegally subsidized imports from those countries are causing injury to U.S. industry.
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The Commerce Department first put antidumping duties on oil country tubular goods from South Korea in 1995, but those duties were ended in a 2007 sunset review. In 2002, domestic industry requested additional antidumping and countervailing duties on oil country tubular goods from Austria, Brazil, China, France, India, Indonesia, Romania, South Africa, Spain, Turkey, Ukraine, and Venezuela, but those investigations ended because the ITC found no injury to U.S. industry. Domestic industry later succeeded in putting antidumping duties and countervailing duties on oil country tubular goods from China in 2009.
Despite the effectiveness of the duties on OCTG from China, after which the imports “virtually disappeared” from the U.S. market, the industry has for the past several years been buffeted by OCTG from India, Korea, Philippines, Saudi Arabia, Taiwan, Thailand, Turkey, Ukraine and Vietnam, the petition said. Imports from those countries grew by almost 111 percent from 2010 to 2012, the petition said. This expansion was accomplished by selling the goods at “extremely low prices,” it said. Domestic market share fell despite high demand, and U.S. profit margins decreased, the petition said.
Proposed Scope
“Certain oil country tubular goods ("OCTG"), which are hollow steel products of circular cross-section, including well casing and tubing, of iron (other than cast iron) or steel (both carbon and alloy), whether seamless or welded, regardless of end finish (e.g. , whether or not plain end, threaded, or threaded and coupled) whether or not conforming to American Petroleum Institute ("API") or non-API specifications, whether finished (including limited service OCTG products) or unfinished (including green tubes and limited service OCTG products), whether or not thread protectors are attached. The scope of the investigation also covers OCTG coupling stock.
“Excluded from the scope of the investigation are: casing or tubing containing 10.5 percent or more by weight of chromium; drill pipe; unattached couplings; and unattached thread protectors.
“The merchandise subject to the investigation is currently classified in the Harmonized Tariff Schedule of the United States ("HTSUS") under item numbers: 7304.29.10.10, 7304.29.10.20, 7304.29.10.30, 7304.29.10.40, 7304.29.10.50, 7304.29.10.60, 7304.29.10.80, 7304.29.20.10, 7304.29.20.20, 7304.29.20.30, 7304.29.20.40, 7304.29.20.50, 7304.29.20.60, 7304.29.20.80, 7304.29.31.10, 7304.29.31.20, 7304.29.31.30, 7304.29.31.40, 7304.29.31.50, 7304.29.31.60, 7304.29.31.80, 7304.29.41.10, 7304.29.41.20, 7304.29.41.30, 7304.29.41.40, 7304.29.41.50, 7304.29.41.60, 7304.29.41.80, 7304.29.50.15, 7304.29.50.30, 7304.29.50.45, 7304.29.50.60, 7304.29.50.75, 7304.29.61.15, 7304.29.61.30, 7304.29.61.45, 7304.29.61.60, 7304.29.61.75, 7305.20.20.00, 7305.20.40.00, 7305.20.60.00, 7305.20.80.00, 7306.29.10.30, 7306.29.10.90, 7306.29.20.00, 7306.29.31.00, 7306.29.41.00, 7306.29.60.10, 7306.29.60.50, 7306.29.81.10, and 7306.29.81.50.
“The OCTG coupling stock covered by the investigation may also enter under the following HTSUS item numbers: 7304.39.00.24, 7304.39.00.28, 7304.39.00.32, 7304.39.00.36, 7304.39.00.40, 7304.39.00.44, 7304.39.00.48, 7304.39.00.52, 7304.39.00.56, 7304.39.00.62, 7304.39.00.68, 7304.39.00.72, 7304.39.00.76, 7304.39.00.80, 7304.59.60.00, 7304.59.80.15, 7304.59.80.20, 7304.59.80.25, 7304.59.80.30, 7304.59.80.35, 7304.59.80.40, 7304.59.80.45, 7304.59.80.50, 7304.59.80.55, 7304.59.80.60, 7304.59.80.65, 7304.59.80.70, and 7304.59.80.80.
“The HTSUS subheadings above are provided for convenience and customs purposes only. The written description of the scope of the investigation is dispositive.”
Commerce Accepting Comments on Petition Support
The Commerce Department is accepting comments on domestic industry support for the petitions to determine whether the petitions meet the dual requirements of support by domestic producers or workers accounting for (1) at least 25% of the total production of the domestic like product and (2) more than 50% of the production of the domestic-like product produced by that portion of the industry expressing support for, or opposition to, the petition. If the petitions meet these requirements, among others, Commerce will initiate antidumping and countervailing duty investigations on OCTG from India, Korea, Philippines, Saudi Arabia, Taiwan, Thailand, Turkey, Ukraine and Vietnam. Comments are due by about July 22.
Email ITTNews@warren-news.com for a copy of the petition.