Washington: The US Trade Commission on August 27 averted a major trade dispute between the United States on one side and India, Japan, Australia, Sweden and Thailand by rejecting the industry's request for the imposition of new dumping duties on imported cold-rolled steel from these countries.

The vote for rejection, 4 to 1, was cheered by US consumers and steel importers who said they are struggling already to pay soaring steel prices. The American steel manufacturing industry had pushed for these additional duties on top of the tariffs imposed earlier with some relief later.

Since May, some 20 countries have been required to pay an additional two per cent to 154 per cent deposit for allegedly selling certain cold-rolled steel products far below fair-market value or the cost of production.

The vote means the duties will not be charged for five of the countries. The commission has not yet ruled on the remaining countries, which include Argentina, Belgium, Brazil, China, Russia, South Korea and Turkey.

The duties on cold-rolled steel products would have been levied in addition to tariffs of 8 percent to 30 percent for three years ordered by President George W Bush for certain kinds of imported steel.

These tariffs "are already yielding damaging results downstream that are absolutely unacceptable to steel consumers," said Jon Jen son, president of the Consuming Industries Trade Action Coalition.

"An additional antidumping duty would have stopped trade in cold-rolled products entirely".

Steel companies argued in favour of the additional duties, which they contend would help their industry. More than 30 domestic steel companies have filed for bankruptcy since 1997.

PTI