August 25, 2017

New Antidumping and Countervailing Duty Petitions on Titanium Sponge from Japan and Kazakhstan

Titanium Metals Corporation (TIMET), on July 13, 2017, filed antidumping (AD) and countervailing duty (CVD) petitions on titanium sponge from Japan (AD only) and Kazakhstan (AD and CVD).

The U.S. AD law imposes special tariffs to counteract imports that are sold in the United States at less than “normal value.” The U.S. CVD law imposes special tariffs to counteract imports that are sold in the United States with the benefit of foreign government subsidies. For AD/CVD duties to be imposed, the U.S. government must determine not only that dumping and/or subsidies are occurring, but also that there is “material injury” (or threat thereof) by reason of the dumped and/or subsidized imports. Importers are liable for any potential AD/CVD duties imposed. In addition, these investigations could impact purchasers by increasing prices and/or decreasing supply of titanium sponge.

Scope

The product covered by these investigations is all forms and grades of titanium sponge, except as specified below. Titanium sponge is unwrought titanium metal that has not been melted.
Expressly excluded from the scope of this investigation are titanium powders, titanium sponge fines, titanium briquettes consisting of compacted titanium sponge fines and ultra-high purity titanium sponge. In ultra-high purity titanium sponge, metallic impurities do not exceed any of these amounts:

  WT%
Aluminum 0.0005
Chromium 0.0001
Cobalt 0.0001
Copper 0.0002
Iron 0.0300
Manganese   0.0010
Nickel 0.0002
Vanadium 0.0002
Zirconium 0.0005
Carbon 0.0150
Hydrogen 0.0100
Nitrogen 0.0020
Oxygen 0.1000

Titanium sponge is currently classified under subheading 8108.20.0010 of the Harmonized Tariff Schedules of the United States (HTSUS). The HTS subheading is provided for convenience and customs purposes, the written description of the scope of this proceeding is dispositive.

Alleged Dumping Margins:

TIMET alleges a dumping margin of 32.74 percent on titanium sponge from Kazakhstan. For Japan, TIMET alleges dumping margins ranging from 30.62 percent to 68.68 percent.

Estimated Schedule of Investigations:

  • August 24, 2017 – Petition is filed
  • September 13, 2017 – DOC initiates investigation
  • September 14, 2017 – ITC staff conference (estimated)
  • October 10, 2017 – Deadline for ITC preliminary injury determination
  • November 17, 2017 – Deadline for DOC preliminary CVD determination, if deadline is not postponed
  • January 22, 2018 – Deadline for DOC preliminary CVD determination, if deadline is fully postponed
  • January 31, 2018 – Deadline for DOC preliminary AD determination, if deadline is not postponed
  • March 22, 2018– Deadline for DOC preliminary AD determination, if deadline is fully postponed
  • August 4, 2018 – Deadline for DOC final AD determinations, if both preliminary and final AD determinations are fully postponed
  • September 20, 2018 – Deadline for ITC final injury determination, assuming fully postponed DOC deadlines
For further information, contact Douglas J. Heffner, Richard P. Ferrin, or any other member of the Customs and International Trade Team.

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