Canada will not face preliminary countervailing duties in trade case on fabricated structural steel

by Keith Powell
Close-up of steel smelting.

The Canadian Institute of Steel Construction (CISC) is Canada’s voice for the steel construction industry, providing leadership in sustainable design, advocacy, construction, efficiency, quality and innovation. — Photo courtesy CanadianSteel.ca

The Canadian Institute of Steel Construction (CISC) is pleased with the findings of the U.S. Department of Commerce’s (DOC) preliminary determination in the countervailing duty (CVD) investigations of imported fabricated structural steel (FSS) from Canada. In their assessment, the DOC evaluated a negative determination, indicating that Canadian exporters do not receive countervailable subsidies from Canadian governments.

Canada was assessed at a preliminary subsidy rate of zero percent, while Mexico will get nearly 14 percent and China will see close to 34 percent. As a result, cash deposits will not be collected on imports of FSS from Canada by U.S. Customs and Border Protection (CBP). The detailed findings can be found at: www.commerce.gov/news/press-releases/2019/07/us-department-commerce-issues-preliminary-determinations-countervailing.

“This is fantastic news for Canada, the Canadian steel industries and Canadian workers!” says Ed Whalen, President & CEO of the CISC. “We are pleased to demonstrate that our steel industry, alongside the Canadian governments, have been and are presently operating within the rules of the World Trade Organization (WTO).”

The Canadian steel industry has been under investigation by the DOC for the past few months as part of an active anti-dumping and subsidy trade case on imports of FSS from Canada, Mexico and China, launched by the American Institute of Steel Construction (AISC) in February 2019. Further on-site investigations will be performed before the DOC’s final determination, which is expected near the end of this year. This will determine if the countries named will receive countervailing duties on imported FSS.

Upon further investigation, the CISC is confident that the DOC will continue to discover that Canadian fabricators of structural steel compete fairly in worldwide markets, including the United States. The CISC will continue to support and defend our industry’s interests throughout these investigations. 

ABOUT CISC

The Canadian Institute of Steel Construction (CISC) is Canada’s voice for the steel construction industry, providing leadership in sustainable design, advocacy, construction, efficiency, quality and innovation. The CISC’s efforts aim to advance the use and benefits of steel, increase Canadian market share, as well as advocate for a diverse community made up of manufacturers, fabricators, service centres, erectors, consultants, detailers, industry suppliers, owners and developers.

The Canadian steel construction sector is a vibrant $5 billion industry, which employs over 130,000 people in its supply chain.

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