Notice

Trade remedies notice 2023/09: anti-dumping duty on welded tubes and pipes from Belarus and China

Updated 29 June 2023

This public notice is published on 29 June 2023 with effect from the day after the date of publication.

This public notice is published by the Secretary of State under regulation 14(10)(b) of the Trade Remedies (Reconsideration and Appeals) (EU Exit) Regulations 2019/910 (the Reconsideration Regulations).

This public notice gives effect to the Secretary of State for Business and Trade’s decision to accept the Trade Remedies Authority’s (TRA) recommendation to include galvanised tubes to the UK’s anti-dumping measure on welded tubes and pipes from Belarus and China. The TRA has concluded the reconsideration and verified that galvanised tubes are produced in the UK and recommends that they are included in the measure. This public notice supersedes: Trade remedies notice 2021/08

Trade Remedies notice 2021/08 was published by the Secretary of State under regulation 101C(2)(a) of the Trade Remedies (Dumping and Subsidisation) (EU Exit) Regulations 2019. and gave effect to the Trade Remedies Authority (TRA) recommendation to:

• vary the anti-dumping duty on welded tubes and pipes from Belarus and China
• revoke the anti-dumping duty on welded tubes and pipes from Russia

Summary of the reconsideration

On 9 September 2021, Tata Steel UK (TSUK) applied for a reconsideration of this original decision on three grounds:

• TSUK produces non-threaded WTP plated or coated with zinc, classified under CN code 7306 30 72 80 and therefore requests that galvanised tubes be included in the measures
• if the anti-dumping amount is ‘sufficient’ to offset dumping, then the TRA need not (and should not) consider whether that measure is ‘necessary’ to offset dumping
• Russia must remain subject to the anti-dumping measures due to high likelihood of recurrence of dumping

On 24 November 2021, the TRA initiated a reconsideration of the transition review regarding certain welded tubes and pipes of iron or non-alloy steel (WTP) originating in the Republic of Belarus, the People’s Republic of China and the Russian Federation (Russia).

The TRA conducted the reconsideration under regulation 13(9) of the Reconsideration Regulations. The TRA has wide discretion to reconsider an original decision in whatever way it considers appropriate in the circumstances, subject to any contrary provisions in those Regulations.

Having completed the reconsideration review, the TRA:

• confirms that TSUK produces galvanised tubes
• disagrees with TSUK’s submissions regarding the TRA’s ability to carry out assessments relating to both the necessity and the sufficiency of a measure, and its assertion that conducting a dumping likelihood analysis in the original transition review involved an error of law
• disagrees with TSUK that Russia must remain subject to the anti-dumping measures due to high likelihood of recurrence of dumping

Recommendation of the TRA

The TRA recommended varying the original decision so that galvanised tubes is included in the anti-dumping measure.

The measure will apply for a period of five years from 30 January 2021.

The TRA made the recommendation in accordance with regulation 14(9) of the Reconsideration Regulations.

After reviewing the TRA reconsideration, the Secretary of State for Business and Trade has accepted the TRA’s recommendation under regulation 14 (10) of the Reconsideration Regulations.

Further information on the investigation can be found on the TRA’s Public file.

Goods description

The anti-dumping duty applies to welded tubes and pipes, of circular cross-section, of iron or non-alloy steel, and of an external diameter not exceeding 168.3mm, excluding:

• line pipe of a kind used for oil or gas pipelines
• casing and tubing of a kind used in drilling for oil or gas
• precision tubes
• tubes and pipes with attached fittings suitable for conducting gases or liquids for use in civil aircraft

The welded tubes and pipes subject to anti-dumping duty are usually imported into the UK under the following UK Global Tariff (UKGT) commodity codes:

• 7306304120
• 7306304920
• 7306307780
• 7306307280

Amount of anti-dumping duty

The additional amount of import duty (the anti-dumping duty) applicable to the net, free-at-the-frontier price, before other amounts of import duty, of welded tubes and pipes imported into the UK from:

• Belarus is 38.1% ad valorem
• China is 90.6% ad valorem

Expiry of anti-dumping duty

The anti-dumping duty on welded tubes and pipes from Belarus and China, given effect to by this public notice, ceases to apply on 30 January 2026.

The TRA will notify interested parties of the expiry of the anti-dumping duty in sufficient time to allow an interested party to make an application for an expiry review.

Revocation of anti-dumping duty on welded tubes and pipes from Russia

The anti-dumping duty on welded tubes and pipes from Russia given effect to by taxation notice 2020/01: anti-dumping duty on certain welded tubes and pipes of iron or non-alloy steel originating in Belarus, the People’s Republic of China and the Russian Federation was revoked on 30 January 2021 by Taxation notice 2021/08.

The anti-dumping duty on welded tubes and pipes from Russia continued to apply in accordance with taxation notice 2020/01 until 9 August 2021 (the day the Secretary of State published this public notice). This is in accordance with regulation 97C of the Trade Remedies (Dumping and Subsidisation) (EU Exit) Regulations 2019.

Background to the anti-dumping duty

The anti-dumping duty on welded tubes and pipes from Belarus, China, and Russia was imposed by the European Union on behalf of the UK and the other member States. The Secretary of State subsequently determined that the anti-dumping duty would be transitioned to continue applying in the UK at the end of the transition period (notice of determination 2020/01).

The anti-dumping duty was duly transitioned at 11pm on 31 December 2020 by public notice under regulation 96A of the D&S Regulations (taxation notice 2020/01) to apply until 30 January 2021. However, in accordance with regulation 97C of the D&S Regulations, the anti-dumping duty continued to apply in accordance with taxation notice 2020/01 until 9 August 2021 (the day this public notice was published).

Summary of the transition review

The Trade Remedies Investigations Directorate (TRID), the predecessor to the TRA, started the transition review on behalf of the Secretary of State. From 1 June 2021, the review was continued by the TRA (in accordance with regulation 1(7) of the D&S Regulations).

TRID and the TRA conducted the transition review in accordance with regulations 99A to 99C of the D&S Regulations.

TRID/TRA considered whether the application of the anti-dumping duty was necessary or sufficient to offset the dumping in the UK of welded tubes and pipes from Belarus, China, and Russia. TRID/TRA also considered whether injury to UK producers of welded tubes and pipes were likely to occur if the anti-dumping duty was no longer applied.

One domestic producer of welded tubes and pipes, one downstream user, one trade body, one trade union, six overseas exporters, and two domestic importers registered an interest in the transition review.

TRID/TRA also contacted additional downstream users of welded tubes and pipes. There are a large number of downstream industries and importers, but limited data was available on those businesses.

TRID/TRA did not consider it likely that downstream industries or consumers would be significantly affected whether the anti-dumping duty were varied or revoked. Importers may however benefit if the anti-dumping duty were revoked.

TRID/TRA based its consideration of whether the anti-dumping duty was necessary or sufficient on a range of data provided by the domestic producers and exporters. TRID/TRA also considered information from other interested parties.

Following the likelihood of dumping and likelihood of injury assessments, TRID/TRA concluded that the anti-dumping duty on welded tubes and pipes from Belarus and China should be narrowed. TRID/TRA also concluded that welded tubes and pipes from Russia were unlikely to be dumped into the UK and that anti-dumping duty on welded tubes and pipes from Russia should be removed.