Corrosion Inhibitors from China Injure U.S. Industry, Says USITC

February 23, 2021
News Release 21-026
Inv. No(s). 701-TA-638 and 731-TA-1473 (Final)
Contact: Peg O'Laughlin, 202-205-1819

The United States International Trade Commission (USITC) today determined that a U.S. industry is materially injured by reason of imports of corrosion inhibitors from China that the U.S. Department of Commerce (Commerce) has determined are subsidized and sold in the United States at less than fair value.

Chair Jason E. Kearns, Vice Chair Randolph J. Stayin, and Commissioners David S. Johanson, Rhonda K. Schmidtlein, and Amy A. Karpel voted in the affirmative. 

As a result of the Commission’s affirmative determinations, Commerce will issue antidumping and countervailing duty orders on imports of this product from China.

The Commission’s public report Corrosion Inhibitors from China (Inv. Nos. 701-TA-638 and 731-TA-1473 (Final), USITC Publication 5169, March 2021) will contain the views of the Commission and information developed during the investigation.

The report will be available by March 30, 2021; when available, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.

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UNITED STATES INTERNATIONAL TRADE COMMISSION
Washington, DC 20436

FACTUAL HIGHLIGHTS

Corrosion Inhibitors from China
Investigation Nos. 701-TA-638 and 731‐TA‐1473 (Final) 

Product Description:  Corrosion inhibitors covered in these investigations are used to protect elements and metal alloys, including copper, copper alloys, zinc, cobalt, silver, aluminum, and steel from corrosion, a natural process that converts a refined metal into a more chemically stable form (e.g., an oxide, hydroxide, or sulfide). Specifically, the scope includes tolyltriazole and benzotriazole of all grades and forms, including the sodium salt forms. Included are mixtures of tolyltriazole, benzotriazole, and their salt forms amongst themselves or with other products, provided that the tolyltriazole and benzotriazole comprise at least 5 percent of the mixture on a dry weight basis. For such combined products, only the tolyltriazole/sodium tolyltriazole and benzotriazole/sodium benzotriazole component is covered by the scope. Excluded is a tolyltriazole or benzotriazole combination or mixture that is transformed through a chemical reaction into another product, such that, for example, the tolyltriazole or benzotriazole can no longer be separated from the other products through a distillation or other process. Corrosion inhibitors are typically used for corrosion protection in a variety of applications, such as industrial water treatment, automotive fluids, metalworking fluids, aircraft and runway de-icers, lubricants, direct treatment, cleaners, circuit boards, inks, and coatings.    

Status of Proceedings:

1.   Type of investigation:  Final phase antidumping duty and countervailing duty investigations.
2.   Petitioner:  Wincom, Inc., Blue Ash, OH.
3.   USITC Institution Date:  Wednesday, February 5, 2020.
4.   USITC Hearing Date:  Thursday, January 21, 2021.
5.   USITC Vote Date:  Tuesday, February 23, 2021.
6.   USITC Views to Commerce:  Tuesday, March 11, 2021.

U.S. Industry in 2019:

1.   Number of U.S. producers:  3.
2.   Location of producers’ plants:  South Carolina, Texas, and Ohio.
3.   Production and related workers:  ^[1]
4.   U.S. producers’ U.S. shipments:  ¹
5.   Apparent U.S. consumption:  ¹
6.   Ratio of subject imports to apparent U.S. consumption:  ¹

U.S. Imports in 2019:

1.   Subject imports:  $19.8 million.
2.   Nonsubject imports:  $2.0 million.
3.   Leading import sources:  China.