Certain Concrete Reinforcing Bar
Ottawa, June 29, 2016
The Canada Border Services Agency(CBSA) has today concluded a re-investigation of the normal values and export prices respecting certain concrete reinforcing bar originating in or exported from the People’s Republic of China (China), the Republic of Korea and the Republic of Turkey and the amount of subsidy respecting certain concrete reinforcing bar originating in or exported from China, in accordance with the Special Import Measures Act (SIMA).
The re-investigation was initiated on February 9, 2016, as part of the ongoing enforcement of the Canadian International Trade Tribunal’s (CITT) finding of threat of injury issued on January 9, 2015.
The subject goods are described as:
“Hot-rolled deformed steel concrete reinforcing bar in straight lengths or coils, commonly identified as rebar, in various diameters up to and including 56.4 millimeters, in various finishes, excluding plain round bar and fabricated rebar products, originating in or exported from the People’s Republic of China, Republic of Korea and the Republic of Turkey.”
“10-mm-diameter (10M) rebar produced to meet the requirements of CSA G30 18.09 (or equivalent standards) and coated to meet the requirements of epoxy standard ASTM A775/A 775M 04a (or equivalent standards) in lengths from 1 foot (30.48 cm) up to and including 8 feet (243.84 cm).”
The subject goods are usually classified under the following 10-digit HS classification numbers:
At the initiation of the re-investigation, the CBSA sent a dumping Request for Information (RFI) to each known potential importer and exporter of subject goods to solicit information on the costs and selling prices of subject and like goods. The information was requested for purposes of updating the normal values and export prices for subject goods imported into Canada. A subsidy RFI was also sent to all exporters in China and to the Government of China (GOC). The information was requested for purposes of updating the amount of subsidy for subject goods from China.
With respect to China, information available to the CBSA at the start of the re-investigation indicated that there was reason to believe that section 20 conditions exist in the long products steel industry sector in China. Section 20 of SIMA is applicable where, in the opinion of the CBSA, domestic prices are substantially determined by the government and there is sufficient reason to believe that they are not substantially the same as they would be if they were determined in a competitive market.
Accordingly, a section 20 inquiry was initiated and the CBSA sent a section 20 RFI to the Government of China (GOC) and to all known Chinese producers/exporters to examine this matter. During this same period, the CBSA continued to research and review publicly available information concerning the status of the Chinese steel industry.
While the GOC and exporters in China were welcome to submit information in respect of the Chinese steel industry, neither the GOC nor the producers/exporters from China co-operated in this re-investigation.
At the conclusion of the section 20 inquiry, information on the administrative record revealed that section 20 conditions continue to exist in the long products steel industry sector in China. As a result, on June 29, 2016, the CBSA formed the opinion that the conditions of section 20 apply to the industry sector under investigation in China.
In the course of the re-investigation, no response to the Importer RFI was received. Responses to the Exporter Dumping RFI were submitted by Çolakoğlu Metalurji A.Ş. (Colakoglu) and Habaş Sınai ve Tıbbi Gazlar İstihsal Endüstrisi A.S. (“Habas”). The response submitted by Colakoglu was considered complete and the exporter has been provided with specific normal values effective June 29, 2016. The CBSA sent supplemental RFIs to Habas where deficiencies in its RFI response were noted. Habas did not address those deficiencies. Therefore, the response submitted by Habas was considered to be incomplete, and normal values will be based on the export price of the goods advanced by 41% pursuant to section 29 of SIMA.
Given that no other exporters or producers in neither the Republic of Turkey, nor any exporters or producers in the Republic of Korea or China provided a response to the CBSA’s dumping RFI, normal values for all other exporters will be based on the export price of the goods advanced by 41% pursuant to section 29 of SIMA.
Given that neither the Government of China, nor any exporters or producers in China provided a complete response to the CBSA’s subsidy RFI, amounts of subsidy for all exporters from China will be determined in accordance with a ministerial specification pursuant to subsection 30.4(2) of SIMA and is equal to 469 Chinese Renminbi per metric tonne.
Case Briefs and Reply Briefs were submitted on behalf of Arcelor Mittal LCNA and Alta Steel Inc., on behalf of Gerdau Longsteel North America, and on behalf of Colakoglu and Habas. The CBSA considered these arguments prior to the conclusion of the re-investigation.
The normal values and amount of subsidy will be effective for the subject goods released from the CBSA on or after June 29, 2016, and will remain effective until such a date that the CBSA concludes a subsequent re-investigation or the CITT rescinds its finding.
Where a producer or exporter becomes aware that there have been substantial changes to domestic prices, market conditions or costs associated with production and sales of subject goods, the CBSA should be advised in order that normal values can be reviewed, and updated if required, to reflect current conditions. Similarly, the amount of export charges to be deducted from the export price may also need revision to reflect current conditions. Where changes have occurred and the CBSA has not been advised in a timely manner, the extent of these changes could warrant retroactive assessments of anti-dumping or countervailing duties.
Importers are reminded that it is their responsibility to calculate and declare their anti-dumping and countervailing duty liability. If importers are using the services of a customs broker to clear importations, the brokerage firm should be advised that the goods are subject to SIMA measures and be provided with sufficient information necessary to clear the shipments. In order to determine their anti-dumping and countervailing duty liability, importers should contact their suppliers who can provide information on normal values and amount of subsidy. Under limited circumstances, the CBSA may make this information available to importers. Please refer to Memorandum D14-1-2, Disclosure of Normal Values Export Prices, and Amounts of Subsidy established under the Special Import Measures Act, for more information.
The Customs Act applies, with any modifications that the circumstances require, with respect to the accounting and payment of anti-dumping and countervailing duties. As such, failure to pay duties within the prescribed time will result in the application of the interest provisions of the Act.
Should the importer disagree with the determination made on any importation of goods, a request for re-determination may be filed with the Director General, Trade and Anti-dumping Programs Directorate, 11th Floor, 100 Metcalfe St., Ottawa, Ontario, K1A 0L8. Such a request must be received within 90 days from the making of the determination, in the form and manner outlined in Memorandum D14-1-3, Re-determinations and Appeals Under the Special Import Measures Act.
Any questions concerning the above should be directed to:
- SIMA Registry and Disclosure Unit
Trade and Anti-dumping Programs Directorate
Canada Border Services Agency
100 Metcalfe Street, 11th Floor
Ottawa, Ontario K1A 0L8
- SIMA Registry and Disclosure Unit
Officers' names and contact information:
- Date modified: