US may slap import duties on Chinese steel pipe

Shanghai, December 25 (Gasgoo.com) The U.S. International Trade Commission (ITC) voted 6-0 on Monday in favor of the U.S. Commerce Department imposing anti-subsidy duties ranging from 35% to 40.% on circular welded steel pipe imports from China, said sina.com yesterday.

This protectionist measure of the United States is intended to offset Chinese government "subsidies" for its steel pipe sector. China has challenged the case at the World Trade Organization (WTO).

The case was brought early this year by the U.S. Steel Corp., a steelworkers union and two Texas pipe manufacturers. The product is used to ship oil and natural gas in pipeline and utility distribution systems.

The Commerce Department set final countervailing duties in November of 40.05% on Liaoning Northern Steel Pipe Co, 35.63 percent on the Huludao group of companies and 37.84% on all other Chinese steel pipe companies.

The ITC vote on Monday clears the way for the Commerce Department to issue its countervailing duty order. The ITC will decide by early February whether to give final approval to the duties or not.

If the U.S. protectionist measure is finally okayed, China's steel pipe exports will be hit heavily.