U.S. mills file against imports of Chinese pipe

WEB EXCLUSIVE

Staff -- Purchasing, 9/1/2005

Seven domestic producers of standard steel pipe are seeking relief from Chinese imports with a Section 421 unfair trade case filing that could result in quotas, tariffs of tariff-rate quotas. Section 421 of the U.S. Trade Act of 1974 specifically deals with Chinese trade issues. It is similar to Section 201, which President Bush used in 2002 to safeguard much of the domestic steel industry. Imports of standard pipe from China have risen from 9,000 tons in 2002 to 266,000 tons in 2004 and nearly 200,000 tons in the first half of 2005. The anti-import petition came from such mills as Ipsco, Maverick Tube, Maruichi American and Wheatland Tube, who claim that in at least some instances Chinese pipe is being sold in the U.S. market below the domestic pipe mills’ cost for raw materials. The U.S. International Trade Commission (ITC) has been asked to determine that Chinese imports have caused "market disruption." An affirmative decision would advance the case to President Bush and the U.S. Trade Representative’s office for additional consideration and, eventually, relief.