China is Upset about US Steel Probe
In the early part of April US Steel manufacturers filed suit against China for dumping steel on the US Market. It is no suprise that the Chinese Government is upset about the probe and for the obvious reasons. As a product of the US Steel Market and the tublar pipe used for the Oil & Gas industry the probe is welcome.
I am all for fair trade and globalization… But the dumping of cheaper goods unfairly is dangerous to all involved, especially my family. There are lots of problems in the US Steel Market all the way down to raw ores and scrap metal – I am not defending that. But, what the Chinese have done over the past few years is detrimental to the global economy. Not only in a monetary standpoint – also environmentally (see my Earth Day post “American-made steel is cleaner than steel made in China.”
I found an interesting article on United Press International titled “China dismayed over U.S. probe of steel”
China dismayed over U.S. probe of steel
BEIJING, May 1 (UPI) — U.S. investigations into tubular and pipe steel imported from China is troubling for the Chinese government, the Commerce Ministry said.
The U.S. Commerce department this week said it was launching anti-dumping and countervailing duty investigations into Chinese steel pipes used in oil and gas drilling, China’s state-run news agency Xinhua reported.
Countervailing duties are duties imposed under World Trade Organization rules to neutralize the negative effects of other duties, the online encyclopedia Wikipedia said.
The U.S. decision to open the investigations has been protested, Commerce Ministry spokesman Yao Jian said. Warning the move would send the wrong signals to the world, Yao said China would monitor the case and respond as appropriate.
“The steel pipe is the main product of Chinese steel exports to the U.S.,” Yao said. “The move will seriously hurt the Sino-U.S. steel trade and pose negative impact on the relevant U.S. industries.”
U.S. steelmakers April 8 filed an anti-dumping suit with U.S. trade bodies for an investigation into the steel products, Xinhua reported.
Yao said the probes constituted discrimination against Chinese products and an abuse of special safeguard measures.