U.S. ITC Makes Affirmative Preliminary Injury Determination In Antidumping and Countervailing Duty Case against Imports of Rebar from Mexico and Turkey

Today, the United States International Trade Commission (ITC) preliminarily determined that there is a reasonable indication that imports of steel concrete reinforcing bar (rebar) from Mexico and Turkey have materially injured or threaten the U.S. rebar industry with material injury. 

The ITC determination is in response to a September 4, 2013 petition filed by the Rebar Trade Action Coalition (RTAC), a coalition of producers of rebar in the United States.  The case alleges that unfairly dumped rebar from Mexico and Turkey and subsidized rebar from Turkey are injuring the U.S. industry and threatening the U.S industry with additional injury.

“This ruling confirms the injurious effects that Mexican and Turkish imports of rebar are having on the U.S. industry,” said Alan H. Price, chair of Wiley Rein’s International Trade Practice and lead counsel to the RTAC.  “Imports from these countries have surged into the U.S. marketplace, hurting U.S. producers and workers.”

The ITC’s affirmative preliminary injury determination paves the way for The United States Department of Commerce (Commerce) to continue to move forward with its investigation.  Commerce is expected to issue preliminary antidumping and countervailing duty determinations no later than the first half of next year.  If Commerce finds in favor of the domestic industry, provisional antidumping and countervailing duties will be collected based on the preliminary margins determined by Commerce.

BACKGROUND

Prior to today’s vote, on September 25, 2013, Commerce initiated three separate investigations on imports of rebar from Mexico and Turkey.  Commerce found that there was reason to believe that Mexican producers were dumping rebar into the United States at margins ranging from 48.82% to 66.70% and that Turkish producers were dumping rebar into the United States at margins ranging from 35.01% to 36.99%.  Commerce is also investigating subsidy programs offered by the Turkish government in support of its rebar industry. 

The RTAC petitioned Commerce and the ITC to investigate rebar imports from Mexico and Turkey following a recent surge in imports from both countries, as illustrated below.

In addition, imports have continued to accelerate in 2013, increasing from 652,793 tons in the first 9 months of 2012 to 779,882 tons during the same period in 2013.