ITC Finds South Korean Dumping of OCTG Pipe: Alliance for American Manufacturing (AAM) Statement.
By a vote of 5-0, the International Trade Commission (ITC) today followed a July 11 Commerce Department determination that South Korean companies are dumping Oil Country Tubular Goods (OCTG) into the U.S. market. OCTG pipe is a high-value steel product used in the extraction of oil and natural gas that plays a critical role in America’s quest to become energy independent.
Said Alliance for American Manufacturing (AAM) President Scott Paul:
“The ITC made the right call today; steelworkers and manufacturers have clearly suffered. We hope this decision will boost the prospects for steel jobs and companies in this important market serving America’s energy independence efforts.
“It’s a shame that so much damage has to be done before America’s workers and companies can secure a level playing field. That needs to change, and it’s one thing AAM will be working toward as we move forward. Thanks go out to the tens of thousands of citizens who leant their voice to the #SOSJobs campaign and to all the public officials who took a strong stand for American jobs.”
The OCTG case has been closely watched by members of both the U.S. House and Senate who were concerned by alarming surges of dumped OCTG pipe from South Korea and eight other countries. Domestic steel producers and their workers had argued that South Korean imports, which represent more than half of all OCTG imports, were being shipped to the U.S. market at prices below fair value and in deceptive ways designed to circumvent international trade laws. South Korea has no domestic market for OCTG pipe.
With today’s vote, the ITC determined that OCTG producers and their workers had been injured, or are threatened with injury, as a result of illegal dumping and/or subsidization by South Korea, India, Turkey, Ukraine, Vietnam, and Taiwan.
Earlier this year, AAM organized #SaveOurSteelJobs rallies nationwide to highlight the importance of steelmaking to the U.S. economy. Events were held in Lorain, OH; Granite City, IL; Munhall, PA; Lone Star, TX; Fairfield, AL; and, Virginia, MN, with workers demanding a level playing field and full enforcement of the nation’s trade laws – an issue that continues to be a problem for many manufacturing sectors.
Past history shows that strong trade enforcement can yield positive results. In 2008, antidumping duties were used to halt a surge of dumped OCTG products from China. Domestic industry was given an opportunity to recover, subsequently making almost $1.6 billion in capital expenditures between 2010 and 2012, and employing thousands of dedicated American workers in the process.