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Collated Staples: New AD/CVD Investigations Deadlines & Scope

The Commerce Department issued notices in the Federal Register on its recently initiated antidumping duty investigations on collated steel staples from China, South Korea and Taiwan (A-570-112, A-580-901, A-583-866), and countervailing duty investigation on collated steel staples from China (C-570-113). The CV duty investigation covers entries Jan. 1, 2018, through Dec. 31, 2018. The AD duty investigations on South Korea and Taiwan cover entries April 1, 2018, through March 31, 2019, and the AD duty investigation on China covers entries Oct. 1, 2018, through March 31, 2019.

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The International Trade Commission will conduct a concurrent investigation to determine whether imports of dumped and illegally subsidized collated steel staples are injuring U.S. industry. If the ITC finds no injury in its preliminary injury determination, due July 22, the investigations will immediately end. If Commerce finds dumping or illegal subsidization in the preliminary determinations of these investigations, currently due in August for CV duties and November for AD duties, it will set AD and/or CV duty cash deposit requirements for imports of merchandise subject to the investigation. If both Commerce and the ITC reach affirmative final determinations, Commerce will issue orders making duties permanent and beginning a process of annual administrative reviews to set final assessments of AD/CV duties on importers and potentially change AD/CV duty cash deposit rates.

If duties are imposed, producers and exporters subject to the AD duty investigation on collated steel staples from China who do not demonstrate independence from government control and request eligibility for a "separate rate" will be assigned the antidumping duty "China-wide rate," which can reach more than 200 percent for some products. Separate rate applications from Chinese producers and exporters will be available (here), and are due on or about Aug. 2.

AD/CVD Respondent Selection

Commerce will base respondent selection in the AD duty investigations on South Korea and Taiwan, and the CV duty investigation on China, on CBP import data. The agency sends quantity and value questionnaires to each potential respondent to the AD duty investigation on China, and will base respondent selection in that investigation on the responses it receives. Chinese exporters that don't get a quantity and value questionnaire can still submit one. Quantity and value questionnaires are available on the Commerce website. Responses are due July 11.

Scope of the AD/CVD Investigations

The merchandise covered by the scope of these investigations is certain collated steel staples. Certain collated steel staples subject to these investigations are made from steel wire having a nominal diameter from 0.0355 inch to 0.0830 inch, inclusive, and have a nominal leg length from 0.25 inch to 3.0 inches, inclusive, and a nominal crown width from 0.187 inch to 1.125 inch, inclusive.

Certain collated steel staples may be manufactured from any type of steel, and are included in the scope of the investigations regardless of whether they are uncoated or coated, and regardless of the type or number of coatings, including but not limited to coatings to inhibit corrosion.

Certain collated steel staples may be collated using any material or combination of materials, including but not limited to adhesive, glue, and adhesive film or adhesive or paper tape.

Certain collated steel staples are generally made to American Society for Testing and Materials (ASTM) specification ASTM F1667-18a, but can also be made to other specifications.

Excluded from the scope of these investigations are any carton-closing staples covered by the scope of the existing antidumping duty order on Carton-Closing Staples from the People’s Republic of China. See Carton-Closing Staples From the People’s Republic of China: Antidumping Duty Order, 83 FR 20792 (May 8, 2018).

Certain collated steel staples subject to these investigations are currently classifiable under subheading 8305.20.0000 of the Harmonized Tariff Schedule of the United States (HTSUS).

While the HTSUS subheading and ASTM specification are provided for convenience and for customs purposes, the written description of the subject merchandise is dispositive.

Comments on the scope of these investigations are due by July 16.

Investigations Timetable

EventCV DutyAD Duty
Petitions filed06/06/1906/06/19
DOC initiation date06/26/1906/26/19
ITC prelim determinations*07/22/1907/22/19
DOC prelim determinations†08/30/1911/13/19
DOC final determinations†11/13/1901/27/20
ITC final determinations‡12/30/1903/12/20
Issuance of orders+01/06/2003/19/20

*If the ITC makes a negative determination of injury, the investigations are terminated.

†These deadlines may be extended under the governing statute.

‡This will take place only in the event of Commerce Department final affirmative determinations.

+This will take place only in the event of Commerce and ITC final affirmative determinations.

The Commerce Department fact sheet on the initiation of these investigations is (here). See 1906060028 for a summary of the petition requesting these investigations.

(Federal Register 07/03/19)