Trade Cases
Pipe import duties sunset for Brazil, kept for six other countries
Written by Laura Miller
December 11, 2023
The International Trade Commission (ITC) made its final injury determination in a sunset review of import duties on circular welded pipe from a handful of countries.
While the duties will remain in place for another five years for six countries, the duties are being revoked for Brazil.
The agency found that revoking the existing antidumping and countervailing duties (ADs and CVDs) on the pipe imports from India, Mexico, South Korea, Taiwan, Thailand, and Turkey would likely continue injuring the domestic industry. As a result, those duties will remain on the books for at least another five years.
Earlier this year, the US Department of Commerce found that allowing the duties to expire would lead to the continuation of dumping at margins of 87.83% for India, 1.2% for Mexico, 1.2% for South Korea, 3.91-27.65% for Taiwan, 15.6% for Thailand, and 23.12% for Turkey.
For Brazil, Commerce determined dumping margins of 103.38% would likely persist if the duties were continued.
Despite Commerce’s findings for Brazil, the ITC found that allowing the country’s AD import duties on circular pipe and tube to sunset would not likely injure the domestic industry within a reasonably foreseeable time. Therefore, the duties are being revoked.
The ITC will issue a public report on its findings late in January.
Sunsetting duties on Brazilian steel is now a trend
Allowing import duties on Brazilian steel to sunset while at the same time maintaining duties for other countries has become a trend in recent years.
The ITC allowed duties on Brazilian steel plate to expire earlier this year. And in October 2022, it permitted duties on Brazilian hot-rolled coil to also expire.
This is notable because it could allow the South American country to become a more important sheet, plate, and welded tube supplier to the US market, especially since Brazil does not face a 25% Section 232 tariff. Brazil is instead limited by its Section 232 quota.
Laura Miller
Read more from Laura MillerLatest in Trade Cases
Fitch warns more tariffs will pressure global commodity markets
“New commodity-specific tariffs, mainly on steel and aluminum products, could widen price differentials and divert trade flows,” the credit agency forewarned.
Commerce increases import duties on Korean galv, plate
The Commerce Department is raising the import duties on imports of corrosion-resistant sheet and cut-to-length plate from Korea.
Leibowitz on trade: Why is protectionism so popular?
The world has had a few shocks recently. The CEO of a major health insurance company was gunned down in Manhattan. The 50-year Assad dynasty in Syria was pushed out less than two weeks after rebels started an offensive. And President-elect Trump is promising tariffs on everything a month before he takes office. But one shock has been taking place for a lot longer than the last few weeks. The 70-year consensus on trade hasn’t just been challenged. It’s been repudiated.
Ternium chief say Mexico tariffs ‘irrational’
Vedoya said the proposed tariffs are "an irrational measure that would harm both their own industry and ours."
Price on Trade: Trump tariffs are no negotiating tool – and could come at lightning speed
We focused on trade actions the second Trump administration might take in a prior column. Since then, we have learned more about the individuals who will be leading these efforts. Recent nominations reinforce the president-elect’s statements that tariffs will feature prominently in the second administration and that trade actions will be unveiled at lightning speed.