USITC: U.S. Suppliers ‘Materially Injured’ by China- and Mexico-Sourced Couplers

Written by Carolina Worrell, Senior Editor
Chinese-made coupler. Source:

Chinese-made coupler. Source:

Following an investigation based on provisions of the Tariff Act of 1930, the United States International Trade Commission (USITC) has determined there is “reasonable indication that an industry in the U.S. is materially injured [from] imports of certain freight rail couplers and parts thereof from China and Mexico.”

USITC’s findings, based on subheadings 8607.30.10 and 7326.90.86 of the Harmonized Tariff Schedule of the U.S., indicate that such couplers “are alleged to be sold in the U.S. at less than fair value (LTFV),” with Chinese imports ”subsidized by the government of China.”

“Pursuant to section 207.18 of the Commission’s rules, the Commission also gives notice of the commencement of the final phase of its investigations. The Commission will issue a final phase notice of scheduling, which will be published in the Federal Register as provided in 207.21 of the Commission’s rules, upon notice from the U.S. Department of Commerce (“Commerce”) of affirmative preliminary determinations in the investigations under 703(b) or 733(b) of the Act, or, if the preliminary determinations are negative, upon notice of affirmative final determinations in those investigations under 705(a) or 735(a) of the Act. Parties that filed entries of appearance in the preliminary phase of the investigations need not enter a separate appearance for the final phase of the investigations. Industrial users, and, if the merchandise under investigation is sold at the retail level, representative consumer organizations have the right to appear as parties in Commission antidumping and countervailing duty investigations. The Secretary will prepare a public service list containing the names and addresses of all persons, or their representatives, who are parties to the investigations.”

On Sept. 28, 2022, McConway & Torley LLC of Pittsburgh, Penn., and the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union, AFL-CIO, CLC filed petitions with the Commission and Commerce, alleging that “an industry in the U.S. is materially injured or threatened with material injury by reason of subsidized imports of freight rail couplers from China and LTFV imports of freight rail couplers from China and Mexico.” Accordingly, effective Sept. 28, 2022, the Commission instituted countervailing duty investigation no. 701-TA-682 and antidumping duty investigation nos. 731-TA-1592-1593 (Preliminary).

Notice of the institution of the Commission’s investigations and of a public conference to be held in connection therewith was given by posting copies of the notice in the Office of the Secretary, U.S. International Trade Commission, Washington, D.C., and by publishing the notice in the Federal Register of Oct. 5, 2022 (87 FR 60413). The Commission conducted its conference on Oct. 19, 2022. All persons who requested the opportunity were permitted to participate.

The Commission made these determinations pursuant to 703(a) and 733(a) of the Act (19 U.S.C. 1671b(a) and 1673b(a)). It completed and filed its determinations in these investigations on Nov. 14, 2022. The views of the Commission are contained in USITC Publication 5387 (November 2022), entitled Certain Freight Rail Couplers and Parts Thereof: Investigation Nos. 701-TA-682 and 731-TA-1592-1593 (Preliminary).

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