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New AD Duties Sought On Silicomanganese from Australia

Thursday, February 19, 2015

A petition filed Feb. 17 alleges that silicomanganese from Australia is being sold at less than fair value. The alleged dumping margin is 61.1 percent.

This petition covers all forms, sizes and compositions of silicomanganese from Australia except low-carbon silicomanganese, including silicomanganese briquettes, fines and slag. Silicomanganese is a ferroalloy composed principally of manganese, silicon and iron and normally contains much smaller proportions of minor elements such as carbon, phosphorus and sulfur. It is used primarily in steel production as a source of both silicon and manganese and sometimes as an alloying agent in the production of iron castings.

Silicomanganese generally contains by weight not less than 4 percent iron, more than 30 percent manganese, more than 8 percent silicon and not more than 0.2 percent phosphorus. It is sold primarily in sized, lump form, and all sizes of silicomanganese material are covered by the petition. Silicomanganese is properly classifiable under HTSUS subheading 7202.30.0000.  

Low-carbon silicomanganese is excluded from the scope of this petition. Low-carbon silicomanganese contains lower levels of carbon than standard silicomanganese and higher amounts of silicon. It is used in the manufacture of stainless steel and special carbon steel grades, such as motor lamination grade steel, which requires a very low carbon content. The low-carbon silicomanganese excluded from this petition is a ferroalloy with the following chemical specifications by weight: minimum 55 percent manganese, minimum 27 percent silicon, maximum 0.10 percent phosphorus, maximum 0.10 percent carbon and maximum 0.05 percent sulfur. Low-carbon silicomanganese is classifiable under HTSUS subheading 7202.30.0000.

The International Trade Administration and the International Trade Commission will next determine whether to launch AD duty and injury investigations, respectively, on silicomanganese from Australia. There are strict statutory deadlines associated with these proceedings, so affected companies that wish to protect their interests should contact trade counsel as soon as possible.

For more information contact Kristen Smith at (202) 730-4965 or Mark Ludwikowski at (202) 730-4967.

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