The United States International Trade Commission (USITC) today determined that there is a reasonable indication that a U.S. industry is materially injured by reason of imports of certain iron mechanical transfer drive components from Canada and China that are allegedly sold in the United States at less than fair value and subsidized by the government of China. 

All six Commissioners voted in the affirmative.

As a result of the Commission’s affirmative determinations, the U.S. Department of Commerce will continue to conduct its investigations on imports of this product from Canada and China, with its preliminary countervailing duty determination due on or about January 21, 2016, and its preliminary antidumping duty determinations due on or about April 5, 2016. 

The Commission’s public report Certain Iron Mechanical Transfer Drive Components from Canada and China (Investigation Nos. 701-TA-550 and 731-TA-1304-1305 (Preliminary), USITC Publication 4587, December 2015) will contain the views of the Commission and information developed during the investigations.

The report will be available after January 11, 2016.  After that date, 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

Certain Iron Mechanical Transfer Drive Components from Canada and China
Investigation Nos. 701-TA-550 and 731-TA-1304-1305 (Preliminary)

Product Description: The products covered by these investigations are iron mechanical transfer drive components, whether finished or unfinished (i.e., blanks or castings). Subject iron mechanical transfer drive components are in the form of wheels or cylinders with a center bore hole that may have one or more grooves or teeth in their outer circumference that guide or mesh with a flat or ribbed belt or like device. These products are often referred to as sheaves, pulleys, flywheels, flat pulleys, idlers, conveyer pulleys, synchronous sheaves, and timing pulleys. The products covered by these investigations also include bushings, which are iron mechanical transfer drive components in the form of a cylinder that fits into the bore holes of other mechanical transfer drive components to lock them into drive shafts by means of elements such as teeth, bolts, or screws. Iron mechanical transfer drive components subject to these investigations are those not less than 4.00 inches (101 mm) in the maximum nominal outer diameter. For purposes of these investigations, a covered product is of “iron” where the article has a carbon content of 1.7 percent by weight or above, regardless of the presence and amount of additional alloying elements.

Status of Proceedings:
1. Type of investigations:  Preliminary antidumping and countervailing duty.
2. Petitioner:  TB Wood’s Inc.
3. Preliminary investigations instituted by the USITC:  October 28, 2015.
4. Commission’s conference:  November 18, 2015.
5. USITC vote:  December 11, 2015.
6. USITC determinations to the U.S. Department of Commerce:  December 14, 2015.
7. USITC views to the U.S. Department of Commerce:  December 21, 2015.

U.S. Industry:
1. Number of producers in 2014:  Three firms reported production.
2. Location of producers’ plants:  Arkansas, North Carolina, Pennsylvania, and Texas.
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:  $40.6 million.
2. From other countries during 2014:  $54.3 million.
3. Leading sources during 2014:  China, Mexico, and Canada.