The CITT decision in Plate 8 has not been posted yet on the Canadian International Trade Tribunal’s website so here it is (Finding and Reasons). No injury decisions on major steel cases in Canada are rare. The last was cold-rolled in 2001. I recall it well as 9-11 occurred mid-hearing and one of my witnesses from Brazil was not at all interested in leaving his hotel.
The Tribunal’s reasoning is quite illuminating and WTO-sensitive. And given the economic downturn and the fact that the complainant Essar Algoma was in its second round of seeking creditor protection in less than 15 months, the Tribunal properly applied the WTO requirements that injury from non-dumping and non-subsidizing factors should not be attributed to imported goods.
Very refreshing as the U.S. tightens its system – an important concern for softwood lumber exporters – and announces inquiries into how to reinforce import regimes for steel and aluminum products.
Importers and exporters to Canada should understand that one case does not establish a trend. The CITT just completed its public hearings on small diameter land pipe and at least three more steel complaints are in the works. Win or lose (and file for judicial review), the process insulates the market for two years to 5 or more – usually with an excellent risk reward ratio.