July 7, 1999
News Release 99-096
Invs. Nos. 701-TA-380-382 and 731-TA-797-804 (F)

CERTAIN STAINLESS STEEL SHEET AND STRIP FROM FRANCE, GERMANY, ITALY, JAPAN, MEXICO, THE REPUBLIC OF KOREA, TAIWAN, AND THE UNITED KINGDOM INJURES U.S. INDUSTRY, SAYS ITC

The United States International Trade Commission (ITC) today made its final countervailing duty and antidumping duty determinations regarding imports of certain stainless steel sheet and strip from France, Germany, Italy, Japan, Mexico, the Republic of Korea, Taiwan, and the United Kingdom.

The Commission made affirmative determinations that an industry in the United States is materially injured by reason of imports of certain stainless steel sheet and strip from France, Germany, Italy, Japan, Mexico, the Republic of Korea, Taiwan, and the United Kingdom that the Department of Commerce has determined are sold in the United States at less than fair value, and those from France, Italy, and the Republic of Korea that the Department of Commerce has determined are also subsidized.

Chairman Lynn M. Bragg, Vice Chairman Marcia E. Miller, and Commissioners Carol T. Crawford, Jennifer A. Hillman, and Stephen Koplan voted in the affirmative. Commissioner Thelma J. Askey voted in the negative.

As a result of the Commission's affirmative determinations, the U.S. Department of Commerce will direct the U.S. Customs Service to impose antidumping duties on imports of certain stainless steel sheet and strip from France, Germany, Italy, Japan, Mexico, the Republic of Korea, Taiwan, and the United Kingdom, as well as countervailing duties on imports of these products from France, Italy, and the Republic of Korea.

The Commerce Department previously made affirmative critical circumstances determinations with regard to certain imports from Japan and Korea. Therefore, the Commissioners who made affirmative injury determinations today are required to determine whether those imports are likely to undermine seriously the remedial effect of the antidumping duty orders Commerce will issue. Chairman Bragg, Vice Chairman Miller, and Commissioners Crawford, Hillman, and Koplan made negative determinations concerning critical circumstances with respect to these imports. As a result, the antidumping orders concerning these imports will not apply to goods that entered the United States prior to January 4, 1999, the date of the Department of Commerce's affirmative preliminary determination.

The Commission's public report Certain Stainless Steel Sheet and Strip from France, Germany, Italy, Japan, Mexico, the Republic of Korea, Taiwan, and the United Kingdom (Investigations Nos. 701-TA- 380-382 and 731-TA-797-804 (Final), USITC Publication 3208, July 1999) will contain the views of the Commission and information developed during the investigations.

Copies may be obtained after August 9, 1999, by calling 202-205-1809 or from the Office of the Secretary, 500 E Street SW, Washington, DC 20436. Requests may also be made by fax to 202-205-2104.


UNITED STATES INTERNATIONAL TRADE COMMISSION
Office of Industries
Washington, D.C. 20436

FACTUAL HIGHLIGHTS

Certain Stainless Steel Sheet and Strip from France, Germany, Italy, Japan, Korea, Mexico, Taiwan and the United Kingdom
Investigations Nos. 701-TA-380-382 and 731-TA-797-804 (Final)

Product Description: Certain stainless steel sheet and strip is flat-rolled product in coils that contains, by weight, 1.2 percent or less of carbon and 10.5 percent or more of chromium, with or without other elements. The subject merchandise is greater than 0.37 inch (9.5 mm) in width and less than 0.19 inch (4.75 mm) in thickness, and is annealed (or otherwise heat treated) and pickled (or otherwise descaled). Stainless steel sheet and strip in coils may be further processed (e.g., cold-rolled, polished, aluminized, coated, etc.) provided that it maintains the specific dimensions of sheet and strip following such processing. Black band (not annealed or pickled), cut-to-length sheet and strip, plate, flat wire, razor blade steel, flapper valve steel, suspension foil, certain stainless steel foil for automotive catalytic converters, permanent magnet alloy stainless steel strip, certain electrical resistance alloy steel, certain martensitic precipitation-hardenable stainless steel, and three specialty stainless steels used in certain industrial blades and surgical and medical instruments are excluded from the scope of these investigations.

Status of Proceedings:
     1.   Types of investigations: Final antidumping and countervailing duty.
     2.   Petitioners (1): Allegheny Ludlum Corp., Armco, Inc., J&L Specialty Steel, Inc., 
          Washington Steel Division of Bethlehem Steel Corp., the United Steelworkers
          of America, AFL-CIO/CLC, Butler Armco Independent Union, and Zanesville 
          Armco Independent Organization, Inc. 
     3.   Investigation instituted by USITC: June 10, 1998.
     4.   USITC hearing: May 25, 1999.
     5.   USITC vote: July 7, 1999.
     6.   USITC determinations due to Department of Commerce: July 19, 1999.

U.S. Industry:
     1.   Number of domestic producers in 1998: 13.
     2.   Location of producers' plants: Production facilities are primarily located in Connecticut, Indiana,
          Kentucky, Michigan, Ohio, and Pennsylvania.
     3.   Employment of production and related workers in 1998: 8,154.
     4.   U.S. producers' shipments in 1998: 1,463,681 short tons.
     5.   U.S. consumption in 1998: 1,747,442 short tons.
     6.   Ratio of quantity of subject imports to U.S. consumption in 1998: 15.9 percent.

U.S. Imports:
     1.   Quantity of subject imports of certain stainless steel sheet and strip in 1998: 288,971 short tons.
     2.   Value of subject imports of certain stainless steel sheet and strip in 1998: $404,870,000.
     3.   Leading sources of imports in 1997 (by quantity): Mexico, Japan.

(1) Armco, Inc., Butler Armco Independent Union, and Zanesville Armco Independent Organization, Inc. are not petitioners in the antidumping investigation related to Mexico, and J&L Specialty Steel, Inc. is not a petitioner in the countervailing duty and antidumping investigations related to France.

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