U.S. steelmakers demand anti-dumping action on S. Korean welded API line pipes

U.S. steelmakers called for tough anti-dumping action against South Korea welded API line pipes that could effectively block export of the products, a local traders association said Friday.

According to the Korea International Trade Association (KITA), American Cast Iron Pipe Co. and seven other companies sued South Korean steelmakers such as Dongbu Steel, Dongyang Steel Pipe Co. and Hysco for unfairly undercutting prices and for receiving state subsidies.

The U.S. companies also demanded action against line pipe manufacturers from Turkey.

Welded API line pipes are used in oil and gas pipelines and are designed to be bendable and easy to weld.

"They cited export financial support arrangements and short-term loans provided by the Export-Import Bank of Korea and the Korea Development Bank as unfair subsidies and demanded the U.S. government slap countervailing duties on South Korean-made pipes," KITA said.

These companies also said anti-dumping duties ranging from 58.83 percent to 221.54 percent should be levied on South Korean pipes.

As of this year, South Korean companies shipped out 465,747 tons of welded AIP line pipes to the U.S. worth US$355.37 million. Last year they exported 491,764 tons worth $419.18 million.

KITA said the U.S. Department of Commerce will decide within 20 days whether to start a probe into the complaints made, with the U.S. International Trade Commission to make a preliminary injury determination before the end of November.

Source: Yonhap