The United States International Trade Commission (ITC) today determined that there is a reasonable indication that a U.S. industry is materially injured by reason of imports of carbon and certain alloy steel wire rod from Brazil, Canada, Germany, Trinidad and Tobago, and Turkey that are allegedly subsidized. The Commission also determined that there is a reasonable indication that a U.S. industry is materially injured by reason of imports of these products from Brazil, Canada, Egypt, Germany, Indonesia, Mexico, Moldova, South Africa, Trinidad and Tobago, and Ukraine that are allegedly sold in the United States at less than fair value. The Commission found the imports of these products from Egypt, South Africa, and Venezuela are negligible.

Chairman Stephen Koplan, Vice Chairman Deanna Tanner Okun, and Commissioners Marcia E. Miller, Jennifer A. Hillman, and Dennis M. Devaney voted in the affirmative with respect to Brazil, Canada, Germany, Indonesia, Mexico, Moldova, Trinidad and Tobago, Turkey, and Ukraine. They found that imports of these products from Egypt, South Africa, and Venezuela were negligible. Imports are generally deemed "negligible" if they amounted to less than 3 percent of all such merchandise imported into the United States within the most recent 12-month period for which data are available preceding the filing of the petition. Commissioner Lynn M. Bragg voted in the affirmative with respect to all countries. She specified that her determinations concerning Egypt, South Africa, and Venezuela were based on threat.

As a result of the Commission's affirmative determinations, the U.S. Department of Commerce will continue to conduct its countervailing duty investigations of imports of carbon and certain alloy steel wire rod from Brazil, Canada, Germany, Trinidad and Tobago, and Turkey, with its preliminary countervailing duty determinations due on or about November 26, 2001. The U.S. Department of Commerce will also continue to conduct its antidumping investigations of imports of these products from Brazil, Canada, Germany, Indonesia, Mexico, Moldova, Trinidad and Tobago, and Ukraine, with its preliminary antidumping determinations due on or about February 7, 2002. As a result of the Commission's findings of negligibility concerning Egypt, South Africa, and Venezuela, those cases will end.

The Commission's public report Carbon and Certain Alloy Steel Wire Rod from Brazil, Canada, Egypt, Germany, Indonesia, Mexico, Moldova, South Africa, Trinidad and Tobago, Turkey, Ukraine, and Venezuela (Investigations Nos. 701-TA-417-421 and 731-TA-953-963 (Preliminary), USITC Publication 3456, October 2001) will contain the views of the Commission and information developed during the investigations. Copies of the report are expected to be available after November 12, 2001, by calling 202-205-1809 or from the Office of the Secretary, 500 E Street SW, Washington, DC 20436. Requests may also be faxed to 202-205-2104.

Product Description: The merchandise covered by these investigations is certain hot-rolled products of carbon steel and alloy steel, in coils, of approximately round cross section, 5.00 mm or more, but less than 19.0 mm, in solid cross-sectional diameter. Specifically excluded are steel products possessing the above-noted physical characteristics and meeting the Harmonized Tariff Schedule of the United States (HTSUS) definitions for (a) stainless steel; (b) tool steel; (c) high nickel steel; (d) ball bearing steel; and (e) concrete reinforcing bars and rods. Also excluded are (f) free machining steel products (i.e., products that contain by weight one or more of the following elements: 0.03 percent or more of lead, 0.05 percent or more of bismuth, 0.08 percent or more of sulfur, more than 0.04 percent of phosphorous, more than 0.05 percent of selenium, or more than 0.01 percent of tellurium). All products meeting the physical description of subject merchandise that are not specifically excluded are included in this scope.

Status of Proceedings:

1. Type of investigations: Preliminary antidumping/countervailing duty.
2. Petitioners: Co-Steel Raritan, Inc., Perth Amboy, NJ; GS Industries, Inc., Charlotte, NC;
     Keystone Consolidated Industries, Inc., Dallas, TX; North Star Steel Texas, Inc., Edina, MN.
3. Preliminary investigations instituted by the USITC: August 31, 2001.  
4. Preliminary conference: September 21, 2001.
5. USITC vote: October 12, 2001.
6. USITC determinations to the U.S. Department of Commerce: October 15, 2001.

U.S. Industry:

1. Number of producers: 15.
2. Location of producers' plants: Throughout the United States. 
3. Employment of production and related workers in 2000: 3,233.
4. U.S. producers' U.S. shipments (excluding exports) in 2000: 5.4 million short tons, 
     valued at $1.6 billion.
5. U.S. apparent consumption in 2000: 8.5 million short tons, valued at $2.6 billion.
6. Ratio of subject imports from subject countries to U.S. apparent consumption in 2000:
     by quantity, 30.1 percent; by value, 28.1 percent.

U.S. Imports in 2000:

1. From the subject countries listed above: 2.6 million short tons, valued at $722 million.
2. From other countries: 539 thousand short tons, valued at $213 million.
3. Leading source during 2000: Canada.