October 2, 2002
News Release 02-090
Invs. Nos. 701-TA-417-419 and 731-TA-953, 954, 956-959, 961, and 962 (Final)

CARBON AND CERTAIN ALLOY STEEL WIRE ROD FROM BRAZIL, CANADA, INDONESIA, MEXICO, MOLDOVA, TRINIDAD AND TOBAGO, AND UKRAINE, BUT NOT GERMANY, INJURES U.S. INDUSTRY, SAYS ITC

The United States International Trade Commission (ITC) today determined that an industry in the United States is materially injured by reason of imports of carbon and certain alloy steel wire rod from Brazil, Canada, Indonesia, Mexico, Moldova, Trinidad and Tobago, and Ukraine that the Department of Commerce has determined are sold in the United States at less than fair value, and those from Brazil and Canada that the Department of Commerce has determined also are subsidized. The Commission further found that imports of these products from Germany were negligible.

Vice Chairman Jennifer A. Hillman and Commissioners Marcia E. Miller and Stephen Koplan voted in the affirmative with respect to Brazil, Canada, Indonesia, Mexico, Moldova, Trinidad and Tobago, and Ukraine; they made a finding of negligibility with respect to Germany. (Imports are generally deemed "negligible" if they amounted to less than 3 percent of all such merchandise imported into the United States within the most recent 12-month period for which data are available preceding the filing of the petition.) Chairman Deanna Tanner Okun voted in the affirmative with respect to Brazil, Canada, Indonesia, Mexico, Moldova, and Ukraine; in the negative with respect to Trinidad and Tobago; and made a finding of negligibility with respect to Germany. Commissioner Lynn M. Bragg made an affirmative threat determination with respect to Germany and affirmative present injury determinations with respect to all other investigations.

The Commerce Department previously made affirmative critical circumstances determinations with regard to imports of these products from Germany, Moldova, and Ukraine. Therefore, the Commissioners who made affirmative injury determinations concerning any of these countries today are required to determine whether the imports are likely to undermine seriously the remedial effect of the antidumping duty orders Commerce will issue. Chairman Okun, Vice Chairman Hillman, and Commissioners Miller and Koplan made negative determinations with regard to critical circumstances in the investigations concerning Moldova and Ukraine. As a result, the antidumping duty orders concerning the imports of these products from these countries will not apply to goods that entered the United States prior to April 10, 2002, the date of publication in the Federal Register of the Department of Commerce's affirmative preliminary determinations. Commissioner Bragg made affirmative determinations with regard to critical circumstances in the investigations concerning Germany, Moldova, and Ukraine.

As a result of the Commission's affirmative determinations, the Department of Commerce will issue countervailing duty orders on imports of this product from Brazil and Canada and antidumping duty orders on imports of this product from Brazil, Canada, Indonesia, Mexico, Moldova, Trinidad and Tobago, and Ukraine. As a result of the Commission's finding of negligibility with respect to Germany, that investigation will end.

The Commission's public report Carbon and Certain Alloy Steel Wire Rod from Brazil, Canada, Germany, Indonesia, Mexico, Moldova, Trinidad and Tobago, and Ukraine (Invs. Nos. 701-TA-417-419 and 731-TA-953, 954, 956-959, 961, and 962 (Final), USITC Publication 3546, October 2002) will contain the views of the Commission and information developed during the investigations.

Copies may be obtained after November 5, 2002, by calling 202-205-1809 or from the Office of the Secretary, 500 E Street SW, Washington, DC 20436. Requests may also be made by fax to 202- 205-2104.


UNITED STATES INTERNATIONAL TRADE COMMISSION
Office of Industries
Washington, DC 20436

Carbon and Certain Alloy Steel Wire Rod
from Brazil, Canada, Germany, Indonesia, Mexico, Moldova, Trinidad and Tobago, and Ukraine
Investigations Nos. 701-TA-417-419 and 731-TA-953-954, 956-959 & 961-962 (Final)

Product Description: The merchandise covered by these investigations is certain hot-rolled products of carbon steel and alloy steel, in coils, of approximately round cross section, 5.00 mm or more, but less than 19.0 mm, in solid cross-sectional diameter. Specifically excluded are steel products possessing the above-noted physical characteristics and meeting the Harmonized Tariff Schedule of the United States (HTSUS) definitions for (a) stainless steel; (b) tool steel; (c) high nickel steel; (d) ball bearing steel; and (e) concrete reinforcing bars and rods. Also excluded are (f) free machining steel products (i.e., products that contain by weight one or more of the following elements: 0.03 percent or more of lead, 0.05 percent or more of bismuth, 0.08 percent or more of sulfur, more than 0.04 percent of phosphorous, more than 0.05 percent of selenium, or more than 0.01 percent of tellurium). Also excluded from the scope are grade 1080 tire cord and tire bead quality wire rod that comport with the specifications, definitions, and applications set forth in Commerce's revised scope language. (See, for example, Commerce's preliminary affirmative determination concerning Germany, 67 FR 17384, April 10, 2002.) All products meeting the physical description of subject merchandise that are not specifically excluded are included in the scope of these investigations.

Status of Proceedings:
1. Types of investigations:  Final phase countervailing duty and antidumping.
2. Petitioners: Co-Steel Raritan, Inc., Perth Amboy, NJ; GS Industries, Inc., Charlotte, NC; 
    Keystone Consolidated Industries, Inc., Dallas, TX; North Star Steel Texas, Inc., Edina, MN.
3. Investigations instituted by USITC: August 31, 2001.
4. Hearing: August 27, 2002.
5. USITC vote: October 2, 2002.
6. USITC notification of Department of Commerce: October 15, 2002.

U.S. Industry:
1. Number of producers: 14.
2. Location of producers' plants: Throughout the United States. 
3. Employment of production and related workers in 2001: (1)
4. U.S. producers' U.S. shipments (excluding exports) in 2001: approximately 4 million short
    tons, valued at approximately $1 billion.
5. U.S. apparent consumption in 2001: approximately 7 million short tons, valued at approximately
    $2 billion.
6. Ratio of subject imports from subject countries to U.S. apparent consumption in 2000: (1)

U.S. Imports in 2001:
1. From subject countries: (1) 
2. From other countries: (1)
3. Leading source during 2001: Canada.

(1) Withheld to avoid disclosure of business proprietary information.

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