COR 2018 IN
Corrosion-Resistant Steel Sheet
Notice of Initiation of Investigation

Ottawa, July 26, 2018

The Canada Border Services Agency (CBSA) initiated an investigation, on July 26, 2018, under the Special Import Measures Act respecting the alleged injurious dumping of certain corrosion-resistant steel sheet from China, Chinese Taipei, India and South Korea. The investigation follows a complaint filed by ArcelorMittal Dofasco G.P. The complaint is suported by Stelco Inc.

The subject goods are usually imported under the following tariff classification numbers:

• 7210.30.00.00
• 7210.69.00.10
• 7212.50.00.14
• 7210.49.00.10
• 7210.69.00.20
• 7225.91.00.00
• 7210.49.00.20
• 7212.20.00.00
• 7225.92.00.00
• 7210.49.00.30
• 7212.30.00.00
• 7226.99.00.10
• 7210.61.00.00
• 7212.50.00.00

The product definition as well as additional product information are contained in Appendix 1.

Additional information about the investigation is contained in a Statement of Reasons which will be available within 15 days on the CBSA’s website at: www.cbsa-asfc.gc.ca/sima-lmsi/menu-eng.html.

Appendix 1

Product Definition

The subject goods are defined as:

Corrosion-resistant flat-rolled steel sheet products of carbon steel including products alloyed with the following elements:

• Boron (B) not more than 0.01%,
• Niobium (Nb) not more than 0.100%,
• Titanium (Ti) not more than 0.08%, or
• Vanadium (V) not more than 0.300%

in coils or cut lengths, in thicknesses up to 0.168 in. (4.267 mm) and widths up to 72 inch (1,828.8 mm) with all dimensions being plus or minus allowable tolerances contained in the applicable standards, chemically passivated, originating in or exported from China, Chinese Taipei, India, and Korea and excluding:

• unpassivated corrosion-resistant steel sheet products;
• corrosion-resistant steel sheet products for use in the manufacture of passenger automobiles, buses, trucks, ambulances or hearses or chassis therefor, or parts thereof, or accessories or parts thereof;
• steel products for use in the manufacture of aeronautic products;
• steel sheet that is coated or plated with tin, lead, nickel, copper, chromium, chromium oxides, both tin and lead (“terne plate”), or both chromium and chromium oxides (“tin free steel");
• stainless flat-rolled steel products;
• corrosion-resistant steel sheet products that have been pre-painted or coated with organic (non-metallic) coatings, including lacquers or varnishes;
• galvanized armouring tape, which is narrow flat steel tape of 3 in. or less, that has been coated by a final operation with zinc by either the hot-dip galvanizing or the electrogalvanizing process so that all surfaces, including the edges, are coated;
• and tool steel.

Additional Product Information

The product definition includes corrosion-resistant steel sheet where the substrate is coated or plated with a corrosion-resistant material such as zinc, aluminum, and other alloys. The coating may be applied by a variety of processes including hot-dip galvanizing or electro-galvanizing.

The product definition includes corrosion-resistant steel sheet which has been chemically passivated by coating with standard or acrylic chromate and non-chromate solutions.

Passivation refers to a material becoming “passive”, that is, less affected or corroded by the environment of future use. Passivation involves creation of an outer layer of shield material that is applied as a micro-coating, created by chemical reaction with the base material, or allowed to build from spontaneous oxidation in the air. As a technique, passivation is the use of a light coat of a protective material, to create a shell against corrosion. The most common method of passivation for steel products is the application of a standard chromate based or acrylic chromate and non-chromate coatings.

Corrosion-resistant steel sheet is usually produced from cold-rolled carbon steel sheet and sometimes from hot-rolled carbon steel sheet. However, additions of certain elements, such as titanium, vanadium, niobium or boron, during the steel-making process enable the steel to be classified as alloy steel. Therefore, corrosion-resistant steel produced from either carbon steel or alloy steel is included in the definition of the subject goods.

The subject goods (and like goods produced by the domestic industry) are manufactured to meet certain ASTM, SAE or equivalent specifications, including, but not limited to:

• ASTM A653/653M
• ASTM A792/A792M
• SAE J403
• SAE J1392
• SAE J2329
• SAE J1562

The product definition excludes corrosion-resistant steel for use in automobiles and automobile parts, hereafter referred to as “Automotive”. Automotive end users include Original Equipment Manufacturers (“OEMs”) and auto part producers. Such excluded goods may fall under Customs Tariff item 9959.00.00.

The product definition and like goods includes “seconds”. Seconds are goods that do not meet some aspect of the original specification. This could include dimensions, grade, or coating. It could also include a coil that has been damaged. Seconds are sold at a discount. Seconds may meet ASTM, SAE or other specifications or may be re-certified to meet a standard. For example, a coil that is damaged along the edge may be a “second”. However, if the damaged edge is slit and the damage is removed, the coil could be classified as a primary coil produced to the new width. Seconds are graded and sold on a scale of 5.

Common applications for corrosion-resistant steel sheet falling within the product definition include, but are not limited to, production of farm buildings, grain bins, culverts, garden sheds, roofing material, siding, floor decks, roof decks, wall studs, drywall corner beads, doors, door frames, ducting (and other heating and cooling applications), flashing, hardware products and appliance components.

Date modified:

2018-07-26