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U.S. says China's steel wheels subsidised, will impose duties on imports

Published 27/08/2018, 23:58
© Reuters. Workers arrange steel rims for export at a wheel factory in Lianyungang

WASHINGTON (Reuters) - The U.S. Commerce Department said on Monday it had made a preliminary determination that imports of certain steel wheels from China were subsidised at rates ranging from 58.75 percent to 172.51 percent, and it would impose duties on the product.

"As a result of today's decision, Commerce will instruct U.S. Customs and Border Protection to collect cash deposits from importers of certain steel wheels from China based on these preliminary rates," the department said in a statement.

It estimated the value of U.S. imports of steel wheels from China in 2017 at $388 million(304.24 million pounds).

The department opened the investigation based on complaints by Accuride Corp of Evansville, Indiana, and Maxion Wheels Akron LLC, of Akron, Ohio. It said in a statement it was scheduled to issue its final determination in the case around Jan. 7.

The Commerce Department assigned a preliminary subsidy rate of 58.75 percent for Xiamen Sunrise Wheel Group Co, Ltd, and a subsidy rate of 172.51 percent to Zhejiang Jingu Company Limited and Shanghai Yata Industry Company Limited. The preliminary rate for other Chinese producers and exporters was 58.75 percent.

© Reuters. Workers arrange steel rims for export at a wheel factory in Lianyungang

If the Commerce Department makes a final determination affirming its decision, the International Trade Commission will make a final injury determination by about Feb. 21, the statement said.

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