On October 10, 2024, the U.S. Department of Commerce released preliminary findings regarding cold-rolled steel flat products imported from the Republic of Korea. This administrative review focused on determining whether these products were sold at less than normal value (NV) during the review period from September 1, 2022, to August 31, 2023. The results are significant for U.S. trade practices and have implications for both domestic and foreign steel producers.
The review was initiated following a request submitted on November 15, 2023. The Department selected two major companies as mandatory respondents: Hyundai Steel Company and POSCO, including its subsidiary POSCO International Corporation. The extensive review process involved a thorough examination of the pricing practices of these companies to ensure compliance with U.S. trade laws.
In its preliminary findings, the Department determined that both Hyundai and POSCO had a weighted-average dumping margin of 0.00%. This indicates that these companies did not sell their cold-rolled steel products in the U.S. at prices below the normal value during the specified period. Such results are pivotal as they suggest a level playing field for these firms within the competitive market, reflecting their adherence to fair pricing practices.
Furthermore, the review included KG Dongbu Steel Co., Ltd., which was not individually examined but received the same zero margin as the mandatory respondents. This means that KG Dongbu is also considered to have complied with trade regulations concerning pricing. The application of a zero margin reflects the Department’s assessment that there was no evidence of unfair pricing practices in this instance.
The methodology used in this review aligns with sections of the Tariff Act of 1930. The Department calculated export prices and normal values based on established protocols to ensure accuracy and fairness. These calculations are critical for determining whether imported goods are being sold at prices detrimental to U.S. industries, and they set the stage for potential duties on unfairly traded products.
In addition to the findings, the Department has made available the Preliminary Decision Memorandum, which details the methodology and considerations involved in this review. Interested parties are invited to comment on these preliminary results, allowing stakeholders to engage in the process and provide their insights regarding the findings.
The preliminary determination not to impose dumping duties on cold-rolled steel from Korea is notable in the context of ongoing trade tensions and scrutiny faced by the steel industry. It underscores the importance of compliance with trade regulations while allowing companies to compete without the burden of additional tariffs. This review represents a significant aspect of the broader dialogue on international trade, particularly in the manufacturing sector.
