U.S. Producers of Carbon Steel Flanges File Trade Petitions Against India, Spain and Italy

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Two leading producers of carbon steel flanges, Weldbend Corporation (“Weldbend”) and Boltex Mfg. Co. (“Boltex”), today filed petitions with the U.S. Department of Commerce (“DOC”) and U.S. International Trade Commision (“ITC”) charging that unfairly priced and subsidized imports of carbon steel flanges from India, Spain and Italy are causing material injury to the domestic industry.

The antidumping and countervailing petitions seek the enforcement and compliance of Indian, Spanish and Italian manufacturers with U.S. and international trade laws. Boltex and Weldbend charge that unfairly traded imports of carbon steel flanges from India, Spain, and Italy are causing material injury to the American industry of carbon steel flanges, as these foreign producers are selling their products in the American market at prices that are less than their fair value and are thereby significantly undercutting American market prices.

The countervailing duty petition also alleges that the Indian government has given significant subsidies to the Indian carbon steel flanges industry – to the severe detriment of American jobs and manufacturing.
“Together with Boltex, we are filing these petitions on behalf of American producers to offset the unfair advantage that Indian, Italian and Spanish producers have gained through actions that are in contravention of the law,” said James J. Coulas, Jr, owner and president of Weldbend Corporation.
“The prices at which these foreign-made flanges are coming into the U.S. market are unbelievably low, and they are consistently undercutting us. We can compete with anyone, as long as that competition takes place on a level playing field. However, it’s impossible for these flanges to be considered fairly priced,” said Frank Bernobich, president and chairman of the board of Boltex
American manufacturers have been increasingly injured by the unfair competition occurring in the U.S. carbon steel flanges market and American manufacturing jobs are being lost as a result.
The Subject Merchandise
The products covered by the petitions, carbon steel flanges, are forged rings of steel designed to join two sections of a piping system or to start a piping system from a pressure vessel, valve, or any other integrally flanged assembly.
The Procedure
The ITC generally initiates its investigations within days of filing a petition, while the DOC should initiate its antidumping and countervailing duty investigations within 20 days of filing of the domestic industry’s petition. The ITC’s preliminary injury determination is expected on August 15, 2016, and the DOC is anticipated to issue its preliminary countervailing duty determination by late September and its preliminary antidumping determinations by early December. After the issuance of DOC’s preliminary determinations, importers of covered Indian, Spanish and Italian carbon steel flanges will be required to make cash deposits in the amount of the DOC’s preliminary antidumping and countervailing duty margins. A final determination is expected within 75 days from the preliminary determinations.