The U.S. Commerce department found evidence that Chinese producers importing rectangular pipe to the United States benefitted from Chinese government subsidies ranging from .27 percent to 77.85 percent. U.S. trade laws allow domestic manufacturers to request countervailing tariffs to counteract foreign subsidies.
On November 27, Assistant Secretary for Import Administration, David Spooner, said, "The Administration looked at the facts and found that China has subsidized imports of certain pipe and tube sold in the United States. The Administration is committed to aggressively enforcing U.S. trade laws to achieve a strong and fair trading relationship."
The Commerce Department investigates both dumping and subsidy claims and conducts trade remedies on a case-by-case basis. Rectangular pipe imports have increased 839.79 percent from 2001 to 2006. The value of 2006 imports is estimated to be over $44 million dollars. This pipe is commonly used in the construction industry for fencing, window guards, and railings.
To learn more, go to http://trade.gov/press/press_releases/2007/chinatubepipe_1127.asp
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