Melamine
USITC Makes Determinations in Five-Year (Sunset) Reviews Concerning Melamine from China
The U.S. International Trade Commission (USITC) today determined that revoking the existing antidumping and countervailing duty orders on imports of melamine from China would be likely to lead to continuation or recurrence of material injury within a reasonably foreseeable time.
As a result of the Commission’s affirmative determinations, the existing orders on imports of this product from China will remain in place.
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.
Today’s action comes under the five-year (sunset) review process required by the Uruguay Round Agreements Act. See the attached page for background on these five-year (sunset) reviews.
The Commission’s public report Melamine from China (Inv. Nos. 701-TA-526 and 731-TA-1262 (Review), USITC Publication 5210, June 2021) will contain the views of the Commission and information developed during the reviews.
The report will be available by July 21, 2021; when available, it may be accessed on the USITC website at: https://www.usitc.gov/commission_publications_library.
BACKGROUND
The Uruguay Round Agreements Act requires the Department of Commerce to revoke an antidumping or countervailing duty order, or terminate a suspension agreement, after five years unless the Department of Commerce and the USITC determine that revoking the order or terminating the suspension agreement would be likely to lead to continuation or recurrence of dumping or subsidies (Commerce) and of material injury (USITC) within a reasonably foreseeable time.
The Commission’s institution notice in five-year reviews requests that interested parties file responses with the Commission concerning the likely effects of revoking the order under review as well as other information. Generally within 95 days from institution, the Commission will determine whether the responses it has received reflect an adequate or inadequate level of interest in a full review. If responses to the USITC’s notice of institution are adequate, or if other circumstances warrant a full review, the Commission conducts a full review, which includes a public hearing and issuance of questionnaires.
The Commission generally does not hold a hearing or conduct further investigative activities in expedited reviews. Commissioners base their injury determination in expedited reviews on the facts available, including the Commission’s prior injury and review determinations, responses received to its notice of institution, data collected by staff in connection with the review, and information provided by the Department of Commerce.
The five-year (sunset) reviews concerning Melamine from China were instituted on November 2, 2020.
On February 5, 2021, the Commission voted to conduct expedited reviews. Commissioners David S. Johanson, Rhonda K. Schmidtlein, Jason E. Kearns, Randolph J. Stayin, and Amy A. Karpel concluded that the domestic group response was adequate and the respondent group responses were inadequate and voted for expedited reviews.
A record of the Commission’s vote to conduct expedited reviews is available from the Office of the Secretary, U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436. Requests may be made by telephone by calling 202-205-1802.
Melamine from China, but not Trinidad and Tobago, Injures U.S. Industry
The United States International Trade Commission (USITC) today determined that a U.S. industry is materially injured by reason of imports of melamine from China that the U.S. Department of Commerce has determined are subsidized and sold in the United States at less than fair value. The Commission further determined that a U.S. industry is not materially injured or threatened with material injury by reason of imports of this product from Trinidad and Tobago.
All six Commissioners voted in the affirmative with respect to China and in the negative with respect to Trinidad and Tobago.
As a result of the USITC’s affirmative determinations, the Department of Commerce will issue antidumping and countervailing duty orders on imports of this product from China. As a result of the Commission’s negative determinations, no orders will be issued on imports of this product from Trinidad and Tobago.
The Commission’s public report Melamine from China and Trinidad and Tobago (Investigation Nos. 701-TA-526-527 and 731-TA-1262-1263 (Final), USITC Publication 4585, December 2015) will contain the views of the Commissioners and information developed during the investigations.
The report will be available by January 6, 2015; when available, it may be accessed on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp.
UNITED STATES INTERNATIONAL TRADE COMMISSION
Office of Industries
Washington, DC 20436
FACTUAL HIGHLIGHTS
Melamine from China and Trinidad and Tobago
Investigation Nos. 701-TA-526-527 and 731-TA-1262-1263 (Final)
Product Description: Melamine is a white crystalline powder with chemical formula C3H6N6 and Chemical Abstracts Service ("CAS") registry number 108-78-1. The primary use for melamine is the production of melamine-formaldehyde resins. These resins are used in the production of laminates, surface coatings, adhesives, molding compounds, paper treatments, and other applications.
Status of Proceedings:
1. Type of investigations: Final antidumping and countervailing duty.
2. Petitioner: Cornerstone Chemical Company, Waggaman, LA.
3. Investigation instituted by USITC: November 12, 2014.
4. USITC hearing: November 3, 2015.
5. USITC vote: December 2, 2015.
6. USITC determinations and views due to Commerce: December 16, 2015.
U.S. Industry:
1. Number of producers in 2014: One.
2. Location of producer's plant: Louisiana.
3. Employment of production and related workers in 2014: [1]
4. Apparent U.S. consumption in 2014: 1
5. Ratio of the value of total U.S. imports to total U.S. consumption in 2014: 1
U.S. Imports:
1. From the subject countries during 2014: $35.0 million.
2. From other countries during 2014: $18.1 million.
3. Leading sources during 2014: Trinidad and Tobago, China, the Netherlands, and Germany (in terms of total value).
[1] Withheld to avoid disclosure of business proprietary information.
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