HomeGAA in the MediaNewsCommerce sets import duty on Australian silicomanganese

 

AMM
February 17, 2016
By Carla Bridglal

Commerce sets import duty on Australian silicomanganese

NEW YORK - U.S. imports of silicomanganese from Australia are now facing anti-dumping duties of just over 12 percent following a final affirmative determination by the Commerce Department, drawing mixed reactions from industry participants.

“I don't think it will impact the spot price for now, (The decision) was widely expected, and we haven't seen any Australian (silicomanganese) in the market for a while now." one industry source said.

However, another source said the ruling might be the spark the industry needs to move prices higher.

"I don’t think it will balloon prices, but there will be a psychological impact at least he said. The market is already reacting to announced cutbacks in supply, so this could push prices at least into the 40-cent-per-pound range, the second source noted.

Silicomanganese prices moved higher last week, to 37 to 38 cents per pound (amm.com, Feb.12).

Tasmanian Electro Metallurgical Co. Ply Ltd. (Temco), Australia's sole producer of the ferroalloy and a subsidiary of Anglo-Australian mining giant BHP Billiton Ltd., has been assessed a final 12.03-percent dumping margin, Commerce said Feb. 16, up from the preliminary margin of 11.93 percent (amm.com Sept.18).

All subsequent imports from Australia, regardless of origin, will be subject to this fee. Commerce said, estimating that inflows from the country were valued at S76.9 million in 2014.

Neither Temco nor New Haven, W.Va.-based silicomanganese producer Felman Production LLC which filed the petition last February (amm.com, Feb.19, 2015), could be reached for comment.

Felman Production, a subsidiary of Miami-based Felman Trading Inc., had alleged in its petition that Temco was shipping silicomanganese to the United States at a 61.1-percent dumping rate. It also claimed that Temco's low-cost product was undercutting US. producer prices and contributing to the downturn in the domestic market, ultimately causing Felman to shut down production from June 2013 to July 2014.

U.S. Customs and Border Patrol will now be instructed to begin collecting the higher duties, and the International Trade Commission is scheduled to make a final injury determination on March 28.

U.S. imports of Australian silicomanganese totaled 9.719 tonnes in December, accounting for 55.2 percent of the 17.615 tonnes brought ashore during the month.