US Finds Dumping and Subsidization of Silicon Metal Imports - Global Trade Magazine
  May 18th, 2018 | Written by

US Finds Dumping and Subsidization of Silicon Metal Imports

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  • Commerce determined exporters from Australia, Brazil, and Norway sold silicon metal in the US at less than fair value.
  • Commerce determined that Australia, Brazil, and Kazakhstan are providing subsidies to producers of silicon metal.
  • Ross: “The US will not sit back and watch as its domestic businesses are destroyed by unfair subsidies and dumping.”

US Secretary of Commerce Wilbur Ross has announced the affirmative final determinations in the antidumping duty (AD) and countervailing duty (CVD) investigations of imports of silicon metal from Australia and Brazil, an AD investigation of silicon metal imports from Norway, and a CVD investigation of silicon metal imports from Kazakhstan.

The Commerce Department determined that exporters from Australia, Brazil, and Norway have sold silicon metal in the United States at 41.73 – 51.28 percent, 68.97 – 134.92 percent, and 3.22 percent less than fair value, respectively. Commerce also determined that Australia, Brazil, and Kazakhstan are providing countervailable subsidies to its producers of silicon metal at rates ranging from 14.78 percent, 2.44 – 52.51 percent, and 100.00 percent, respectively.

“The United States will no longer sit back and watch as its domestic businesses are destroyed by unfair foreign government subsidies and dumping,” said Secretary Ross. “We will continue to take action on behalf of US industry to defend American businesses, workers, and communities adversely impacted by unfair imports.”

In 2016, imports of silicon metal from Australia, Brazil, Kazakhstan, and Norway were valued at an estimated $33.9 million, $60.0 million, $17.5 million, and $26.1 million, respectively.

The petitioner is Globe Specialty Metals, Inc. Its production facilities are located in Alabama, New York, Ohio, and West Virginia.

The AD and CVD laws provide US businesses and workers with an internationally accepted mechanism to seek relief from the harmful effects of dumping unfairly priced and unfairly subsidized imports into the United States. Foreign companies that price their products in the US market below the cost of production or below prices in their home markets are subject to AD duties. Foreign companies that receive financial assistance from foreign governments that benefits the production of goods from foreign companies and is limited to specific enterprises or industries, or is contingent either upon export performance or upon the use of domestic goods over imported goods, are subject to CVD duties.

If the US International Trade Commission (ITC) makes affirmative final injury determinations, Commerce will issue AD and CVD orders. If the ITC makes negative final determinations of injury, the investigations will be terminated and no orders will be issued.