Interpipe forced to leave U.S. pipe market due to introduction of some restrictions – company’s statement
The Ukrainian industrial company Interpipe is forced to leave the U.S. pipe market due to the recent introduction of a number of restrictions on the supply of products to this country, the company said in a statement to the Interfax-Ukraine agency on Tuesday, in response to a relevant information request.
According to Interpipe, during this summer months the United States announced introduction of 23.75% duty on Ukrainian line pipes and announced its intention to introduce of 30.19% duty on Ukrainian oil and gas pipes (OCTG) in addition to the current 25% custom levy. Thus, the total duty applied to the Ukrainian pipe products will exceed 50% and become a barrage threshold.
“It will force Interpipe to leave the U.S. market resulting in the reduction of several thousand jobs at the plants in the Dnipropetrovsk region and the decrease in tax payments by hundreds of millions of hryvnia to the state and local budgets,” the statement reads.
Interpipe notes that the Ukrainian pipe share in the American market is less than 1%, and in the OCTG segment – less than 0.5%. This is not a threat to the economic security of the United States.
At the same time, it notes that since March 2018 25% customs duty has been applied to Interpipe’s tubular products after safeguard investigation, which together with anti-dumping duties will be a barrage threshold over 50%.
Interpipe is a Ukrainian industrial company, a manufacturer of seamless pipes and railway wheels. The company’s products are supplied to more than 80 countries all over the world through a chain of commercial offices located in the CIS, Europe, the United States and the Middle East.
(C)INTERFAX UKRAINE 2021