*EPF216 01/21/2003
U.S. Trade Agency Plans Antidumping Investigation of Japan
(USITC hears of Japan's alleged dumping insulators) (300)

By Kristofer Angle
Washington File Staff Writer

Washington - The United States International Trade Commission (USITC) held a preliminary conference January 21 to determine if Japanese businesses have been guilty of dumping certain ceramic station post insulators into the U.S. market.

The law firm of Nixon Peabody LLP filed the antidumping charges on behalf of Lapp Insulator Co., Newell Porcelain Co., Victor Insulators, and IUE-CWA alleging that Japanese firms are selling the insulators at less than fair value, according to an USITC calendar announcement.

The Wilmer, Cutler & Pickering law firm is defending Japanese-owned NGK Insulators and their wholly owned U.S. affiliate, Locke Insulators Inc.

The U.S. producers claim that NGK has undercut prices by up to 25 percent. This price level, they claim, is not economically sustainable.

This "aggressive tactic" has more than tripled NGK's share of the U.S. market and caused "grave injury to U.S. manufacturers," the law firm filing the antidumping charge alleged.

According to the USITC, antidumping charges may be found credible if one of the following is occurring, (1) reasonable indication that an industry in the U.S. is materially injured or threatened, (2) the new establishment of an industry in the U.S. is impaired by a developed foreign industry.

If the USITC determination is affirmative, the U.S. Department of Commerce continues its investigation. If the ITC determination is negative, the investigation is concluded.

The USITC must reach a preliminary determination by February 14 and submit this to Commerce soon after, according to the USITC notice.

Ceramic station post insulators are used in the transmission of high voltage electrical current from generating stations to substations. The basic function of an insulator is to prevent electrical current from grounding through the support structures.

(The Washington File is a product of the Office of International Information Programs, U.S. Department of State. Web site: http://usinfo.state.gov)

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