Today, U.S. Secretary of Commerce Wilbur Ross announced the affirmative final determination in the countervailing duty (CVD) investigation of stainless steel flanges from China, finding that exporters from China received countervailable subsidies of 174.73 percent.  

“President Trump made it clear from the beginning that we will vigorously administer our trade laws to provide U.S. industry with relief from unfair trade practices,” said Secretary Ross. “Today’s decision follows an open and transparent investigation in accordance with the applicable laws, regulations, and administrative practices that ensured a full and fair review of the facts.”

As a result of these decisions, the Commerce Department will instruct U.S. Customs and Border Protection to collect cash deposits from importers of stainless steel flanges from Chinabased on these final rates.

In 2016, imports of stainless steel flanges from China and India were valued at an estimated $16.3 million and $32.1 million, respectively.

The petitioners are the Coalition of American Flange Producers and its individual members: Core Pipe Products, Inc. (Carol Stream, IL) and Maass Flange Corporation (Houston, TX).

Enforcement of U.S. trade law is a prime focus of the Trump administration.  From January 20, 2017, through April 4, 2018, the Commerce Department has initiated 102 antidumping and countervailing duty investigations – a 96 percent increase from the same period in 2016-2017.

The CVD law provides U.S. businesses and workers with an internationally accepted mechanism to seek relief from the harmful effects of unfair subsidization of imports into the United States.  The Commerce Department currently maintains 428antidumping duty and CVD orders which provide relief to American companies and industries impacted by unfair trade.

The U.S. International Trade Commission (ITC) is conductingan investigation to determine whether or not the domestic industry is harmed by imports of stainless steel flanges from China.  The ITC is currently scheduled to make its final injury determination on or before May 21, 2018.

If the ITC makes an affirmative final injury determination, Commerce will issue a CVD order.  If the ITC makes a negative final determination of injury, the investigation will be terminated and no order will be issued.

Click HERE for a fact sheet on today’s decisions.

The U.S. Department of Commerce’s Enforcement and Compliance unit within the International Trade Administration is responsible for vigorously enforcing U.S. trade laws and does so through an impartial, transparent process that abides by international rules and is based solely on factual evidence. 

Imports from companies that receive unfair subsidies from their governments in the form of grants, loans, equity infusions, tax breaks and production inputs are subject to “countervailing duties” aimed at directly countering those subsidies.