US probes steel products from China and other countries

The United States Department of Commerce initiated a trade investigation into imports of electrical steel products from seven countries, including China.

The products, under the category of grain-oriented electrical steel, are flat-rolled alloy steel products used to generate electric power. The probes were launched following a request from two US steel producers -- AK Steel Corp based in Ohio and Allegheny Ludlum based in Pennsylvania -- and the United Steelworkers union in Pittsburgh, Pennsylvania.

The seven countries -- China, the Czech Republic, Germany, Japan, the Republic of Korea, Poland and Russia -- were accused of selling the products below cost, often referred to as dumping, in the US with margins ranging from 38.54 percent to 257.61 percent, and those from China were allegedly dumped with margins as high as 159.24 percent while, allegedly, receiving improper government subsidies.

The US International Trade Commission, the country's trade authority, was scheduled to make its preliminary inquiry determination around Nov 20.

China's exports of the products were estimated at $1.2 million last year, according to the US Commerce Department.