The US launched a probe on Wednesday to consider slapping almost 100 percent tariffs on imported steel pipes from China in a move that could widen a trade spat between the two key powers.
Washington has decided to “initiate antidumping and countervailing duty investigations on imports” of Chinese “seamless” pipes used to convey water, steam, chemicals, oil products and natural gas, the Commerce Department said.
The pipes were allegedly backed by unfair subsidies.
Dumping occurs when a foreign company sells a product in a domestic market at less than normal value. Subsidies are financial assistance from foreign governments that benefit the production, manufacture or exportation of goods.
FIRST TIRES
The Commerce Department’s action came less than a month after US President Barack Obama imposed punitive duties on Chinese-made tires, igniting the first trade spat of his presidency.
An angry Beijing lodged a complaint at the WTO and retaliated by launching a probe into possible unfair trade practices involving imports of US car products and chicken meat.
Beijing charged that Washington’s move violated WTO rules but Obama has denied that it amounted to protectionism.
Last week, the New York Times reported that Washington had imposed tariffs on imports of solar panels, which had become “too sophisticated” to qualify for duty-free import. China is reputedly the world’s biggest solar-panel manufacturer.
The Commerce Department said the move to consider imposing tariffs on steel pipe imports stemmed from a petition from companies such as the United States Steel Corp as well as the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union.
INJURY
A “preliminary injury determination” on the steel pipe probe was expected to be made by the quasi-judicial US International Trade Commission on Nov. 2, the department said.
If imposed, duties could reach 100 percent. According to a fact sheet provided by the department, the “alleged dumping margin” is 98.37 percent.
“If the ITC determines that there is a reasonable indication that imports are materially injuring, or threatening material injury to, the domestic industry, the investigations will continue, and Commerce will be scheduled to make its preliminary CVD [countervailing duty] determination in December 2009 and its preliminary AD [antidumping] determinations in February 2010,” it said.
From 2006 to last year, imports of seamless pipes from China increased more than 131 percent by volume and were valued at an estimated US$382 million last year, the department said.
Also last month, the US made a preliminary decision to impose tariffs as much as 31 percent on another kind of steel pipe imported from China and used mostly in oil and gas wells.
It drew a quick and angry response from Beijing, which called it a “protectionist” step.
MORE VISITORS: The Tourism Administration said that it is seeing positive prospects in its efforts to expand the tourism market in North America and Europe Taiwan has been ranked as the cheapest place in the world to travel to this year, based on a list recommended by NerdWallet. The San Francisco-based personal finance company said that Taiwan topped the list of 16 nations it chose for budget travelers because US tourists do not need visas and travelers can easily have a good meal for less than US$10. A bus ride in Taipei costs just under US$0.50, while subway rides start at US$0.60, the firm said, adding that public transportation in Taiwan is easy to navigate. The firm also called Taiwan a “food lover’s paradise,” citing inexpensive breakfast stalls
TRADE: A mandatory declaration of origin for manufactured goods bound for the US is to take effect on May 7 to block China from exploiting Taiwan’s trade channels All products manufactured in Taiwan and exported to the US must include a signed declaration of origin starting on May 7, the Bureau of Foreign Trade announced yesterday. US President Donald Trump on April 2 imposed a 32 percent tariff on imports from Taiwan, but one week later announced a 90-day pause on its implementation. However, a universal 10 percent tariff was immediately applied to most imports from around the world. On April 12, the Trump administration further exempted computers, smartphones and semiconductors from the new tariffs. In response, President William Lai’s (賴清德) administration has introduced a series of countermeasures to support affected
CROSS-STRAIT: The vast majority of Taiwanese support maintaining the ‘status quo,’ while concern is rising about Beijing’s influence operations More than eight out of 10 Taiwanese reject Beijing’s “one country, two systems” framework for cross-strait relations, according to a survey released by the Mainland Affairs Council (MAC) on Thursday. The MAC’s latest quarterly survey found that 84.4 percent of respondents opposed Beijing’s “one country, two systems” formula for handling cross-strait relations — a figure consistent with past polling. Over the past three years, opposition to the framework has remained high, ranging from a low of 83.6 percent in April 2023 to a peak of 89.6 percent in April last year. In the most recent poll, 82.5 percent also rejected China’s
PLUGGING HOLES: The amendments would bring the legislation in line with systems found in other countries such as Japan and the US, Legislator Chen Kuan-ting said Democratic Progressive Party (DPP) Legislator Chen Kuan-ting (陳冠廷) has proposed amending national security legislation amid a spate of espionage cases. Potential gaps in security vetting procedures for personnel with access to sensitive information prompted him to propose the amendments, which would introduce changes to Article 14 of the Classified National Security Information Protection Act (國家機密保護法), Chen said yesterday. The proposal, which aims to enhance interagency vetting procedures and reduce the risk of classified information leaks, would establish a comprehensive security clearance system in Taiwan, he said. The amendment would require character and loyalty checks for civil servants and intelligence personnel prior to
RSS