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New AD/CV Duties Requested on Steel Propane Cylinders From Taiwan, Thailand and China

Two U.S. manufacturers filed a petition on May 21 with the Commerce Department and the International Trade Commission requesting new antidumping duties on steel propane cylinders from China, Taiwan and Thailand, and new countervailing duties on steel propane cylinders from China. Commerce will now decide whether to begin AD/CVD investigations on steel propane cylinders that could eventually result in the assessment of AD/CV duties. The petition was filed by two U.S. manufacturers, Worthington Industries and Manchester Tank & Equipment Co.

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The earliest date that liquidation could be suspended and countervailing duty cash deposits required in connection with these investigations is June 11, 2018, a news alert from law firm Grunfeld Desiderio said. For antidumping duties, it's July 31, 2018. Both of these estimates presume a finding of "critical circumstances" and retroactive suspension of liquidation 90 days prior to Commerce's preliminary determination with no extensions of Commerce's deadlines.

Proposed Scope

The petition proposes the following scope for the investigations:

The merchandise covered by these petitions is steel cylinders for compressed or liquefied propane gas ("Steel Propane Cylinders") meeting the requirements of or produced to meet the requirements of, U.S. Department of Transportation ("USDOT") Specifications 48, 4BA, or 4BW, or Transport Canada Specification 4BM, 4BAM, or 4BWM, or United Nations pressure receptacle standard ISO 4706. Steel Propane Cylinders range from 2.5 pound nominal gas capacity (approximate 4-6 pound tare weight) to 42 pound nominal gas capacity (approximate 28-32 pound tare weight, or approximate 100 pound water capacity). Steel Propane Cylinders may be certified to these specifications either before or after importation. Steel Propane Cylinders have two or fewer ports and may be imported assembled or unassembled (i.e., welded or brazed before or after importation), with or without out all components (including collars, valves, gauges, tanks, foot rings, and overfill prevention devices), and coated or uncoated. Also included within the scope are parts of steel propane cylinders, unfinished propane cylinders, collars, and foot rings for steel propane cylinders.

These petitions also cover Steel Propane Cylinders that meet, are produced to meet, or are certified as meeting, other U.S. or Canadian government, international, or industry standards (including, for example, American Society of Mechanical Engineers ("ASME"), or American National Standard Institute ("ANSI")), if they also meet, are produced to meet, or are certified as meeting USDOT Specification 48, 4BA, or 4BW, or Transport Canada Specification 4BM, 4BAM, or 4BWM, or a United Nations pressure receptacle standard ISO 4706.

Subject merchandise also includes Steel Propane Cylinders that have been further processed in a third country, including but not limited to, attachment of collars, foot rings, or handles by welding or brazing, heat treatment, painting, testing, certification, or any other processing that would not otherwise remove the merchandise from the scope of the petitions if performed in the country of manufacture of the in-scope Steel Propane Cylinders.

Specifically excluded are seamless steel propane cylinders and propane cylinders made from stainless steel (i.e., steel containing at least 10.5 percent chromium by weight and less than 1.2 percent carbon by weight), aluminum, or composite fiber material.

The merchandise subject to these orders is properly classified under statistical reporting numbers 7311.00.0060 and 7311.00.0090 of the Harmonized Tariff Schedule of the United States (HTSUS). Although the HTSUS statistical reporting numbers are provided for convenience and customs purposes, the written description of the merchandise 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. Comments are due on or about June 10.

Email ITTNews@warren-news.com for a copy of the petition.