WORLD TRADE
ORGANIZATIONG/SG/N/8/USA/8/Suppl.1
7 January 2002
(02-0054)
Committee on Safeguards Original:  English
NOTIFICATION UNDER ARTICLE 12.1(b) OF THE
AGREEMENT ON SAFEGUARDS ON FINDING A SERIOUS
INJURY OR THREAT THEREOF CAUSED BY INCREASED IMPORTS
UNITED STATES
Supplement
The following communication, dated 28 December 2001, has been received from the
Permanent Mission of the United States.
_______________
Enclosed is a supplement to the US notif ication of 1 November  2001 (G/SG/N/8/USA/8),
pursuant to Article 12.1(b) of the Agreement on Safeguards,  on findings of serious injury or threat
thereof caused by increased imports of certain steel products.G/SG/N/8/USA/8/Suppl.1
Page 2
Pursuant to Article 12.1(b) of the WTO Agreement on Safeguards, the United States submits
a supplemental notification regarding the determinations of the United States International
Commission ("ITC") with respect to serious injury, or threat thereof, to the domestic industries
producing certain steel products.  The United States is also submitting a copy of the ITC report on
these determinations to the Secretariat.
SUPPLEMENTAL NOTIFICATION UNDER ARTICLE 12.1(b) OF THE
AGREEMENT ON SAFEGUARDS
The United States supplements its notific ation of 1 November  2001 (G/SG/N/8/USA/8)
regarding the determinations of the ITC in respect of  serious injury, or threat thereof, to the domestic
line pipe industry caused by increased imports of certain steel products.
As previously notified (G/SG/N/8/USA/8), the ITC made affirmative determinations for eight
products.  It made the following specific determinations:
(1) that certain carbon and alloy steel, including slabs, plate (including cut-to-length plate and
clad plate), hot-rolled sheet and strip (including plate in coils), cold-rolled sheet and strip
(other than grain-oriented electrical steel (“GOES”)), and corrosion-resistant and other coated
sheet and strip are being imported in such increased quantities as to be a substantial cause ofserious injury to the pertinent domestic industry;
(2) carbon and alloy hot-rolled bar and light shapes are being imported in such increased
quantities as to be a substantial cause of serious injury to the pertinent domestic industry;
(3) carbon and alloy cold-finished bar are being imported in such increased quantities as to be
a substantial cause of serious injury to the pertinent domestic industry;
(4) carbon and alloy rebar is being imported in such increased quantities as to be a substantial
cause of serious injury to the pertinent domestic industry;
(5) carbon and alloy welded tubular products (other than oil country tubular goods) are being
imported in such increased quantities as to be a substantial cause of threat of serious injury to
the pertinent domestic industry;
(6) carbon and alloy flanges, fittings, and tool joints are being imported in such increased
quantities as to be a substantial cause of serious injury to the pertinent domestic industry;
(7) stainless steel bar and light shapes are being imported in such increased quantities as to be
a substantial cause of serious injury to the pertinent domestic industry; and
(8) stainless steel rod is being imported in such increased quantities as to be a substantial
cause of serious injury to the pertinent domestic industry.
The ITC arrived at evenly divided decisions for four products, with three Commissioners
making negative determinations and three Commissioners making the following specific
determinations:
(9) that carbon and alloy tin mill products are being imported in such increased quantities as
to be a substantial cause of serious injury to the pertinent domestic industry;G/SG/N/8/USA/8/Suppl.1
Page 3
(10) that tool steel, all forms, is being imported in such increased quantities as to be a
substantial cause of serious injury, or threat thereof, to the pertinent domestic industry;
(11) that stainless steel wire is being imported in such increased quantities as to be a
substantial cause of serious injury, or threat thereof; and
(12) stainless steel flanges and fittings are being imported in such increased quantities as to be
a substantial cause of serious injury to the pertinent domestic industry.
Since the ITC’s vote was evenly divided, pursuant to US law, both the negative and
affirmative determinations will be forwarded to the  President, and he may consider either
determination to be the ITC’s determination.
The ITC forwarded its report to the President on 19 December 2001.  The report contains the
ITC's findings and reasoned conclusions reached on all pertinent issues of fact and law, and a
summary of the information collected during the investigation (“ITC Report”).  The United States will
provide a copy of the ITC's report, excluding confidential business information, to the Committee.We understand that the Committee will make a copy of the report available to Members on request.
The views of the Commissioners can also be downloaded from the ITC's website at
ftp://ftp.usitc.gov/pub/reports/opinions/PUB3479.PDF.
The ITC's full analysis is set out in the report.  Consistent with Article 12.3 of the Agreement
on Safeguards, the United States is prepared to consult with those Members having a substantial
interest as exporters of one or more of the products concerned, with a view to, inter alia, reviewing the
information provided in this notification and the ITC report, exchanging views on the measure
proposed and reaching an understanding on ways to achieve the objective set out in Article 8.1 of the
Agreement.  Such Members are also requested to provide a direct contact point so that theUnited States may inform them without delay of any developments regarding the subject of any
consultations.
1. Provide evidence of serious injury or threat thereof caused by increased imports
(1) certain carbon and alloy steel, including slabs, plate (including cut-to-length plate
and clad plate), hot-rolled sheet and strip (including plate in coils), cold-rolled sheet and
strip (other than GOES), and corrosion-re sistant and other coated sheet and strip:   The
ITC’s analysis of serious injury to the domestic industry producing this product appears on
pages 50-55 of the ITC Report, and its analysis of causation by increased imports appears on
pages 55-67.
(2) carbon and alloy hot-rolled bar and light shapes:   The ITC’s analysis of serious injury
to the domestic industry producing this product appears on pages 92-95 of the ITC Report,
and its analysis of causation by increased imports appears on pages 95-101.
(3) carbon and alloy cold-finished bar:   The ITC’s analysis of serious injury to the domestic
industry producing this product appears on pages 102-104 of the ITC Report, and its analysis
of causation by increased imports appears on pages 104-108.
(4) carbon and alloy rebar:   The ITC’s analysis of serious injury to the domestic industry
producing this product appears on pages 109-111 of the ITC Report, and its analysis ofcausation by increased imports appears on pages 111-116.
(5) carbon and alloy welded tubular produc ts (other than oil country tubular goods):
The ITC’s analysis of threat of serious injury to the domestic industry producing this productG/SG/N/8/USA/8/Suppl.1
Page 4
appears on pages 158-162 of the ITC Report, and its analysis of causation by increased
imports appears on pages 162-170.
(6) carbon and alloy flanges,  fittings, and tool joints:   The ITC’s analysis of serious injury
to the domestic industry producing this product appears on pages 171-174 of the ITC Report,and its analysis of causation by increased imports appears on pages 174-180.
(7) stainless steel bar and light shapes:   The ITC’s analysis of serious injury to the domestic
industry producing this product appears on pages 206-208 of the ITC Report, and its analysis
of causation by increased imports appears on pages 208-214.
(8) stainless steel rod:   The ITC’s analysis of serious injury to the domestic industry
producing this product appears on pages 215-217 of the ITC Report, and its analysis of
causation by increased imports appears on pages 217-223.
(9) carbon and alloy tin mill products:   Commissioner Bragg’s analysis of serious injury to
the domestic industry producing this product appears on pages 283-285 and 303-304 of theITC Report, and her analysis of causation by increased imports appears on pages 294-295.
Commissioner Miller’s analysis of serious injury to the domestic industry producing this
product appears on pages 72-74 of the ITC Report, and her analysis of causation by increased
imports appears on pages 308-310.  Commissioner Devaney’s analysis of serious injury to the
domestic industry producing this product appears on pages 50-55 of the ITC Report, and hisanalysis of causation by increased imports appears on pages 55-67.
(10) tool steel, all forms:   Chairman Koplan’s analysis of threat of serious injury to the
domestic industry producing this product appears on pages 269-261 of the ITC Report, and
his analysis of causation by increased imports appears on pages 262-264.  CommissionerBragg’s analysis of serious injury to the domestic industry producing this product appears on
pages 287-288 of the ITC Report, and her analysis of causation by increased imports appears
on pages 301 and 305.  Commissioner Devaney’s analysis of serious injury to the domestic
industry producing this product appears on pages 338-340 of the ITC Report, and his analysis
of causation by increased imports appears on pages 336-337 and 340-342.
(11) stainless steel wire:   Chairman Koplan’s analysis of threat of serious injury to the
domestic industry producing this product appears on pages 256-257 of the ITC Report, and
his analysis of causation by increased imports appears on pages 258-260.  Commissioner
Bragg’s analysis of threat of serious injury to the domestic industry producing this product
appears on pages 288-289 of the ITC Report, and her analysis of causation by increased
imports appears on pages 301-302 and 305.  Commissioner Devaney’s analysis of seriousinjury to the domestic industry producing this product appears on pages 344-345 of the ITC
Report, and his analysis of causation by increased imports appears on pages 342-343 and 345-
347.
(12) stainless steel flanges and fittings:   Chairman Koplan’s analysis of serious injury to the
domestic industry producing this product appears on pages 264-266 of the ITC Report, and
his analysis of causation by increased imports appears on pages 266-268.  Commissioner
Bragg’s analysis of serious injury to the domestic industry producing this product appears on
page 289 of the ITC Report, and her analysis of causation by increased imports appears on
pages 302-303 and 305.  Commissioner Devaney’s analysis of serious injury to the domesticindustry producing this product appears on pages 349-350 of the ITC Report, and his analysis
of causation by increased imports appears on pages 348 and 350-351.G/SG/N/8/USA/8/Suppl.1
Page 5
2. Provide information on whether there is an abso lute increase in imports or an increase in
imports relative to domestic production (please see also Article 2.1 for the context).
(1) certain carbon and alloy steel, including slabs, plate (including cut-to-length plate
and clad plate), hot-rolled sheet and strip (including plate in coils), cold-rolled sheet and
strip (other than GOES), and corrosion-resistant and other coated sheet and strip:   The
Commission’s findings regarding increased impor ts appear on pages 49-50 of the ITC Report.
(2) carbon and alloy hot-rolled bar and light shapes:   The Commission’s findings
regarding increased imports appear on page 92 of the ITC Report.
(3) carbon and alloy cold-finished bar:   The Commission’s findings regarding increased
imports appear on pages 101-102 of the ITC Report.
(4) carbon and alloy rebar:   The Commission’s findings regarding increased imports appear
on page 109 of the ITC Report.
(5) carbon and alloy welded tubular produc ts (other than oil country tubular goods):
The Commission’s findings regarding increased imports appear on pages 157-158 of the ITC
Report.
(6) carbon and alloy flanges,  fittings, and tool joints:   The Commission’s findings
regarding increased imports appear on page 171 of the ITC Report.
(7) stainless steel bar and light shapes:   The Commission’s findings regarding increased
imports appear on pages 205-206 of the ITC Report.
(8) stainless steel rod:   The Commission’s findings regarding increased imports appear on
pages 214-215 of the ITC Report.
(9) carbon and alloy tin mill products:   Commissioner Bragg’s findings regarding increased
imports appear on page 279 of the ITC Report.  Commissioner Miller joined the findings
regarding increased imports that appear on pages 71-72 of the ITC Report.  Commissioner
Devaney’s findings regarding increased imports appear on pages 49-50 of the ITC Report.
(10) tool steel, all forms:   Chairman Koplan joined the findings regarding increased imports
that appear on page 231 of the ITC Report.  Commissioner Bragg’s findings regarding
increased imports appear on page 280 of the ITC Report.  Commissioner Devaney’s findings
regarding increased imports appear on pages 337-338 of the ITC Report.
(11) stainless steel wire:   Chairman Koplan joined in the findings regarding increased
imports that appear on pages 234-235 of the ITC Report.  Commissioner Bragg’s findings
regarding increased imports appear on page 28 0 of the ITC Report.  Commissioner Devaney’s
findings regarding increased imports appear on page 343 of the ITC Report.
(12) stainless steel flanges and fittings:   Chairman Koplan joined in the findings regarding
increased imports that appear on pages 249- 250 of the ITC Report.  Commissioner Bragg’s
findings regarding increased imports appear on page 281 of the ITC Report.  Commissioner
Devaney’s findings regarding increased imports  appear on pages 348-349 of the ITC Report.G/SG/N/8/USA/8/Suppl.1
Page 6
3. Provide precise description of the product involved.
The Annex to notification G/SG/N/8 contains a description of each of the products covered by
this notification.  Annex II of notification G/SG/N/6 /USA/10 (9 July 2001) contains a list of products
excluded from the investigation, which are not s ubject to the determinations covered by this
notification.
4. Provide precise description of the proposed measure.
Under US law, those Commissioners who make affirmative serious injury or threat of serious
injury determinations also make recommendations to the President on actions that would address the
serious injury, or threat, and be most effective in facilitating the efforts of the domestic industry tomake a positive adjustment to import competition.  Section 202(e)(1) and (6) of the Trade Act of 1974
(“Trade Act”), 19 U.S.C. § 2252(e)(1) and (6).  A summary of the proposed measures and alternative
proposed measures appears in the Annex.
Recommendations applicable to al l proposed safeguard measures:   The Commission and
all Commissioners recommending alternative proposed safeguard measures recommended
that none of the additional duties or tariff-rate quotas apply to imports from Israel or Jordan.
The United States proposes that, to the extent required under Article 9.1 of the Safeguards
Agreement, any safeguard measure not apply to developing country Members.]
(1) certain carbon and alloy steel, including slabs, plate (including cut-to-length plate
and clad plate), hot-rolled sheet and strip (including plate in coils), cold-rolled sheet and
strip (other than grain-oriented electrical steel (“GOES”)), and corrosion-resistant and
other coated sheet and strip:
For these imports, the safeguard measure recommended by three Commissioners became the
recommendation of the ITC.  The remaining Commissioners issued alternative
recommendations.
(A) Proposed safeguard measure recommended by  the ITC:  For plate, hot-rolled sheet
and strip, cold-rolled sheet and strip, corrosion-resistant and other coated sheet and
strip, an additional 20 per cent ad valorem  duty in the first year of relief, to be
reduced to a 17 per cent ad valorem  duty in the second year of relief, 14 per cent
ad valorem  duty in the third year of relief, and 11 per cent ad valorem  duty in the
fourth year of relief.  For slabs, a tariff-rate quota with an additional 20 per cent
ad valorem  duty on imports in excess of 7.0 million short tons in the first year of
relief, 17 per cent ad valorem  duty on imports in excess of 7.5 million short tons in
the second year of relief; 14 per cent ad valorem   duty on imports in excess of
8.0 million short tons in the third year of relief; and 11 per cent ad valorem  duty on
imports in excess of 8.5 million short tons in the fourth year of relief.
1  T h e
Commission further recommended that the additional duties or tariff-rate quotas on
slabs, plate, hot-rolled, cold-rolled and coated products be applied to imports fromMexico but not imports from Canada.
(B) Alternative proposed safeguard measure recommended by Commissioners Bragg and
Devaney:  An additional 40 per cent ad valorem  duty in the first year of relief; a
38 per cent ad valorem duty in the second year of relief; a 36 per cent ad valorem
duty in the third year of relief; and a 31 per cent ad valorem  duty in the fourth year of
relief.  Commissioner Bragg further recommended that the additional duties on these
                                                     
1 Vice Chairman Okun joined in this recommended remedy for the first three years of relief only.G/SG/N/8/USA/8/Suppl.1
Page 7
products be applied to imports from Mexico but not imports from Canada.
Commissioner Devaney further recommended that the additional duties on these
products not be applied to imports from Mexico or Canada.
(C) Alternative proposed safeguard measure recommended by Vice Chairman Okun:
Three year quantitative restrictions on imports of the following categories, in the
following amounts in the first year, to be increased by 3 per cent in each subsequent
year that the action is in effect: plate – 1,232,260 short tons, hot-rolled sheet and strip
–  4,928,712 short tons, cold-rolled sheet and strip – 2,796,196 short tons, and
corrosion-resistant and other coated sheet and strip – 1,683,282 short tons.  On slabs,
a tariff-rate quota with an additional 20 per cent ad valorem  tariff on imports in
excess of 7.0 million short tons in the first year of relief, an additional 17 per centad valorem  tariff on imports in excess of 7.5 million short tons in the second year of
relief; and an additional 14 per cent ad valorem  tariff on imports in excess of
8.0 million short tons in the third year of relief.  She further recommended that the
quotas or tariff-rate quotas on these products be applied to imports from Mexico but
not imports from Canada.  Vice Chairman Okun also recommended that the Presidentadminister quotas and tariff-rate quotas on a quarterly basis, with country-specific
allocations, and a short-supply mechanism.
(2) carbon and alloy hot-rolled bar and light shapes:
For these imports, the safeguard measure recommended by three Commissioners became the
recommendation of the ITC.  The remaining Commissioners issued alternative
recommendations.
(A) Proposed safeguard measure recommended by the ITC:  An additional 20 per cent
ad valorem  duty in the first year of relief, to be reduced to a 17 per cent ad valorem
duty in the second year of relief, 14 per cent ad valorem  duty in the third year of
relief, and 11 per cent ad valorem  duty in the fourth year of relief.  The Commission
further recommended that the additional duties on hot-rolled bar apply to imports
from Canada but not imports from Mexico.
2
(B) Alternative proposed safeguard measure recommended by Commissioners Bragg and
Devaney:  An additional 35 per cent ad valorem  duty in the first year of relief; a
33 per cent ad valorem duty in the second year of relief; a 31 per cent ad valorem
duty in the third year of relief; and a 26 per cent ad valorem  duty in the fourth year of
relief.  Commissioners Bragg and Devaney further recommended that the additional
duties on these products not be applied to imports from Mexico or Canada.
(C) Alternative proposed safeguard measure recommended by Vice Chairman Okun:  A
three-year quantitative restriction on imports of 1,961,648 short tons in the first year,
to be increased by three percent in each subsequent year that the action is in effect.
Vice Chairman Okun further recommended that the quotas on hot-rolled bar be
applied to imports from Canada but not imports from Mexico.  She also
recommended that the President administer quotas on a quarterly basis, with country-specific allocations, and a short-supply mechanism.
                                                     
2 Chairman Koplan and Commissioner Miller recommended that the additional duties apply to imports
of hot-rolled bar from Mexico.G/SG/N/8/USA/8/Suppl.1
Page 8
(3) carbon and alloy cold-finished bar:
For these imports, the safeguard measure recommended by three Commissioners became the
recommendation of the ITC.  The remaining Commissioners issued alternative
recommendations.
(A) Proposed safeguard measure recommended by the ITC:  An additional 20 per cent
ad valorem  duty in the first year of relief, to be reduced to a 17 per cent ad valorem
duty in the second year of relief, 14 per cent ad valorem  duty in the third year of
relief, and 11 per cent ad valorem  duty in the fourth year of relief.  The Commission
further recommended that the additional duties on cold-finished bar be applied to
imports from Canada but not imports from Mexico
(B) Alternative proposed safeguard measure recommended by Commissioners Bragg and
Devaney:  An additional 35 per cent ad valorem  duty in the first year of relief; a
33 per cent ad valorem duty in the second year of relief; a 31 per cent ad valorem
duty in the third year of relief; and a 26 per cent ad valorem  duty in the fourth year of
relief.  Commissioners Bragg and Devaney further recommended that the additional
duties on these products not be applied to imports from Mexico or Canada.
(C) Alternative proposed safeguard measure recommended by Vice Chairman Okun:  A
three-year quantitative restriction of 246,033 short tons on imports in the first year, tobe increased by 3 per cent in each subsequent year that the action is in effect.
Vice Chairman Okun further recommended that the quotas on cold-finished bar be
applied to imports from Canada but not imports from Mexico.  She also
recommended that the President administer quotas on a quarterly basis, with country-
specific allocations, and a short-supply mechanism, with the exception of weldedtubular products.
(4) carbon and alloy rebar:
For these imports, the safeguard measure recommended by three Commissioners became the
recommendation of the ITC.  The remaining Commissioners issued alternative
recommendations.
(A) Proposed safeguard measure recommended by the ITC:  An additional 10 per cent
ad valorem duty in the first year of relief, to be reduced to an 8 per cent ad valorem
duty in the second year of relief, 6 per cent ad valorem  duty in the third year of relief,
and 4 per cent ad valorem  duty in the fourth year of relief.  The Commission further
recommended that the additional duties on rebar not apply to imports from either
Canada or Mexico.
(B) Alternative proposed safeguard measure recommended by Commissioners Bragg and
Devaney:  An additional 35 per cent ad valorem  duty in the first year of relief; a
33 per cent ad valorem duty in the second year of relief; a 31 per cent ad valorem
duty in the third year of relief; and a 26 per cent ad valorem  duty in the fourth year of
relief.  Commissioners Bragg and Devaney further recommended that the additional
duties on these products not be applied to imports from Mexico or Canada.
(C) Alternative proposed safeguard measure recommended by Vice Chairman Okun:  A
three-year quantitative restriction of 1,054,266 short tons on imports in the first year,
to be increased by three percent in each subsequent year that the action is in effect.
Commission Okun further recommended that the quota on rebar not apply to importsG/SG/N/8/USA/8/Suppl.1
Page 9
from either Canada or Mexico.  Vice Chairman Okun also recommended that the
President administer quotas on a quarterly basis, with country-specific allocations,
and a short-supply mechanism.
(5) carbon and alloy welded tubular produc ts (other than oil country tubular goods):
For these imports, the safeguard measure recommended by four Commissioners became the
recommendation of the ITC.  The remaining Commissioners issued alternative
recommendations.
(A) Proposed safeguard measure recommended by the ITC:  A tariff-rate quota with an
additional 20 per cent ad valorem duty on imports in excess of year 2000 US imports,
17 per cent ad valorem  duty on imports in excess of the quantities noted below for the
second year, 14 per cent ad valorem  duty on imports in excess of the quantities noted
below for the third year, and 11 per cent ad valorem  duty in imports in excess of the
quantities noted below.3  The Commission further recommended that the additional
tariff-rate quota not be applied to imports from Mexico, and was evenly splitregarding Canada.  The Commission also recommended that the safeguard measure
on welded tubular products other than OCTG not apply to certain large diameter
welded line pipe products.  Chairman Koplan and Commissioner Miller
recommended that the additional tariff-rate quota apply to imports from Mexico, and
therefore recommend that the additional duties apply to imports in excess of2,600,000 short tons in the first year, 2,680,000 short tons in the second year,
2,760,000 short tons in the third year and 2,840,000 short tons in the fourth year.
Vice Chairman Okun and Commissioner Hillman recommended that the additional
tariff rate quota not apply to imports from Canada or Mexico, and therefore
recommended that the additional duties apply to imports in excess of 1,400,443 shorttons in the first year, 1,442,456 short tons in the second year, 1,485,730 short tons in
the third year, and (Commissioner Hillman only) 1,530,302 short tons in the fourth
year.  Vice Chairman Okun also recommended that the President administer the
addition tariff-rate quota on these products on an annual basis.
(B) Alternative proposed safeguard measure recommended by Commissioners Bragg and
Devaney:  An additional 30 per cent ad valorem  duty in the first year of relief; a
28 per cent ad valorem duty in the second year of relief; a 26 per cent ad valorem
duty in the third year of relief; and a 21 percent ad valorem  duty in the fourth year of
relief.  Commissioner Bragg further recommended that the additional duties on these
products be applied to imports from Canada, but not to imports from Mexico.
Commissioner Devaney further recommended that the additional duties on theseproducts not be applied to imports from Canada or Mexico.
(6) carbon and alloy flanges,  fittings, and tool joints:
For these imports, the safeguard measure recommended by four Commissioners became the
recommendation of the ITC.  The remaining Commissioners issued alternative
recommendations.
(A) Proposed safeguard measure recommended by the ITC:  An additional 13 per cent
ad valorem  duty in the first year of relief, to be reduced to a 10 per cent ad valorem
duty in the second year of relief, 7 per cent ad valorem  duty in the third of relief, and
                                                     
3 Vice Chairman Okun joined in this recommended remedy for the first three years of relief only.G/SG/N/8/USA/8/Suppl.1
Page 10
4 per cent ad valorem  duty in the fourth year of relief.4  The Commission further
recommended that the additional duties on carbon and alloy fittings and flanges apply
to imports from both Mexico5 and Canada.6
(B) Alternative proposed safeguard measure recommended by Commissioners Bragg and
Devaney:  An additional 30 per cent ad valorem  duty in the first year of relief; a
28 per cent ad valorem duty in the second year of relief; a 26 per cent ad valorem
duty in the third year of relief; and a 21 per cent ad valorem  duty in the fourth year of
relief.  Commissioner Bragg further recommended that the additional duties on these
products be applied to imports from both Canada and Mexico.  Commissioner
Devaney further recommended that the additional duties on these products not be
applied to imports from Canada or Mexico.
(7) stainless steel bar and light shapes:
For these imports, the safeguard measure recommended by three Commissioners became the
recommendation of the ITC.  The remaining Commissioners issued alternative
recommendations.
(A) Proposed safeguard measure recommended by the ITC:  An additional 15 per cent
ad valorem  duty in the first year of relief, to be reduced to a 12 per cent ad valorem
duty in the second year of relief, 9 per cent ad valorem  duty in the third year of relief,
and 6 per cent ad valorem duty in the fourth year of relief.  The Commission further
recommended that the additional duties on cold-finished bar and stainless steel bar beapplied to imports from Canada but not imports from Mexico.
(B) Alternative proposed safeguard measure recommended by Vice Chairman Okun :  A
three-year quantitative restriction of 109,440 short tons on imports in the first year, to
be increased by 3 per cent in each subsequent year that the action is in effect.Vice Chairman Okun further recommended that the quotas on stainless steel bar be
applied to imports from Canada but not imports from Mexico.  She also
recommended that the President administer quotas on a quarterly basis, with country-
specific allocations, and a short-supply mechanism.
(C) Alternative proposed safeguard measure recommended by Commissioner Bragg:  An
additional 25 per cent ad valorem   duty in the first year of relief; a 20 per cent
ad valorem duty in the second year of relief; and a 15 per cent ad valorem  duty in the
third year of relief.  Commissioner Bragg further recommended that the additional
duties on these products not be applied to imports from Canada or Mexico.
(D) Alternative proposed safeguard measure recommended by Commissioner Devaney:
A quota in the amount equal to the average quantity during the period 1996 to 1998,
which he found to be the most recent representative period, for a three year period.  In
addition, he recommended that during the first year of the quota, an additional 15 per
cent ad valorem  duty be placed on these products.  Commissioner Devaney
recommended that the quota be administered on a quarterly and country-by-country
                                                     
4 Vice Chairman Okun joined in this recommended remedy for the first three years of relief only.
5 Chairman Koplan, Vice Chairman Okun and Commissioner Miller determined that the additional
duties on fittings and flanges should apply to imports from Mexico.
6 Vice Chairman Okun and Commissioners Miller and Hillman determined that the additional duties on
fittings and flanges should apply to imports from Canada.G/SG/N/8/USA/8/Suppl.1
Page 11
basis, and that the quotas and additional duties on these products not be applied to
imports from Canada or Mexico.
(8) stainless steel rod:
For these imports, the safeguard measure recommended by three Commissioners became the
recommendation of the ITC.  The remaining Commissioners issued alternative
recommendations.
(A) Proposed safeguard measure recommended by the ITC:  An additional 20 per cent
ad valorem  duty in the first year of relief, to be reduced to a 17 per cent ad valorem
duty in the second year of relief, 14 per cent ad valorem  duty in the third year of
relief, and 11 per cent ad valorem  duty in the fourth year of relief.  The Commission
further recommended that the additional duties on stainless steel rod not apply to
imports from either Canada or Mexico.
(B) Alternative proposed safeguard measure recommended by Vice Chairman Okun:  A
three-year quantitative restriction of 62,573 short tons on imports in the first year, to
be increased by three percent in each subsequent year that the action is in effect.
Vice Chairman Okun further recommended that the quotas on stainless steel rod not
apply to imports from either Canada or Mexico.  Vice Chairman Okun also
recommended that the President administer quotas on a quarterly basis, with country-specific allocations, and a short-supply mechanism.
(C) Alternative proposed safeguard measure recommended by Commissioner Bragg:  An
additional 25 per cent ad valorem  duty in the first year of relief; a 20 per cent
ad valorem duty in the second year of relief; and a 15 per cent ad valorem  duty in the
third year of relief.  Commissioner Bragg further recommended that the additional
duties on these products not be applied to imports from Canada or Mexico.
(D) Alternative proposed safeguard measure recommended by Commissioner Devaney:
A quota in the amount equal to the average quantity during the period 1996 to 1998,
which he found to be the most recent representative period, for a three year period.  In
addition, he recommended that during the first year of the quota, an additional 15 percent ad valorem  duty be placed on these products.  Commissioner Devaney
recommended that the quota be administered on a quarterly and country-by-country
basis, and that the quotas and additional duties on these products not be applied to
imports from Canada or Mexico.
(9) carbon and alloy tin mill products:
In the event that the President decides to tr eat this evenly divided determination as an
affirmative determination, the safeguard measure recommended by two of the three
Commissioners who made affirmative determin ations would become the recommendation of
the ITC.  The remaining Commissioner issued an alternative recommendation.
(A) Proposed safeguard measure recommended by the ITC:  An additional 40 per cent
ad valorem  duty in the first year of relief; 38 per cent ad valorem duty in the second
year of relief; 36 per cent ad valorem  duty in the third year of relief; and 31 per cent
ad valorem  duty in the fourth year of re lief.  Commissioner Bragg further
recommended that the additional duties on these products be applied to imports from
Mexico, but not to imports from Canada.  Commissioner Devaney furtherG/SG/N/8/USA/8/Suppl.1
Page 12
recommended that the additional duties on these products not be applied to imports
from Canada or Mexico.
(B) Alternative proposed safeguard measure recommended by Commissioner Miller:  An
additional 20 per cent ad valorem  duty in the first year of relief, to be reduced to a
17 per cent ad valorem  duty in the second year of relief, 14 per cent ad valorem  duty
in the third year of relief, and 11 per cent ad valorem  duty in the fourth year of relief.
Commissioner Miller further recommended that the additional duties on these
products be applied to imports from Canada, but not to imports from Mexico.
(10) tool steel, all forms:
For these imports, the three Commissioners who made affirmative determinations each
recommended different safeguard measures.
(A) Alternative proposed safeguard measure recommended by Chairman Koplan:  An
additional 10 per cent ad valorem  duty in the first year of relief, to be reduced to a
8 per cent ad valorem  duty in the second year of relief, 6 per cent  ad valorem  duty in
the third year of relief, and 4 per cent ad valorem  duty in the fourth year of relief.
Chairman Koplan further recommended that the additional duties on these products
not be applied to imports from Canada or Mexico.
(B) Alternative proposed safeguard measure recommended by Commissioner Bragg:  An
additional 25 per cent ad valorem  duty in the first year of relief; a 20 per cent
ad valorem duty in the second year of relief; and a 15 per cent ad valorem  duty in the
third year of relief.  Commissioner Bragg further recommended that the additional
duties on these products not be applied to imports from Canada or Mexico.
(C) Alternative proposed safeguard measure recommended by Commissioner Devaney:
A quota in the amount equal to the average quantity during the period 1996 to 1998,
which he found to be the most recent representative period, for a three-year period.
In addition, he recommended that during the first year of the quota, an additional
15 per cent ad valorem  duty be placed on these products.  Commissioner Devaney
also recommended that the quota be administered on a quarterly and country-by-country basis, and that the quotas and additional duties on these products not be
applied to imports from Canada or Mexico.
(11) stainless steel wire:
For these imports, the three Commissioners who made affirmative determinations each
recommended different safeguard measures.
(A) Alternative proposed safeguard measure recommended by Chairman Koplan:  An
additional 8 per cent ad valorem   duty in the first year of relief, to be reduced to a
7 percent ad valorem  duty in the second year of relief, 6 per cent ad valorem  duty in
the third year of relief, and 5 per cent ad valorem  duty in the fourth year of relief.
Chairman Koplan further recommended that the additional duties on these products
not be applied to imports from Canada or Mexico.
(B) Alternative proposed safeguard measure recommended by Commissioner Bragg:  A
15 per cent ad valorem  duty in the first year of relief; a 10 per cent ad valorem duty
in the second year of relief; and 5 per cent ad valorem  duty in the third year of relief.G/SG/N/8/USA/8/Suppl.1
Page 13
Commissioner Bragg further recommended that the additional duties on these
products not be applied to imports from Canada or Mexico.
(C) Alternative proposed safeguard measure recommended by Commissioner Devaney:
A quota in the amount equal to the average quantity during the period 1996 to 1998,which he found to be the most recent representative period, for a three year period.  In
addition, Commissioner Devaney recommended that during the first year of the
quota, a 15 per cent ad valorem  duty be placed on these products.  He recommended
that the quota be administered on a quarterly and country-by-country basis, and that
the quotas and additional duties on these products not be applied to imports from
Canada or Mexico.
(12) stainless steel flanges and fittings:
For these imports, the three Commissioners who made affirmative determinations each
recommended different safeguard measures.
(A) Alternative proposed safeguard measure recommended by Chairman Koplan:  An
additional 15 per cent ad valorem  duty in the first year of relief, to be reduced to a
12 per cent ad valorem  duty in the second year of relief, 9 per cent ad valorem  duty in
the third year of relief, and 6 per cent ad valorem  duty in the fourth year of relief.
Chairman Koplan further recommended that the additional duties on these productsnot be applied to imports from Canada or Mexico.
(B) Alternative proposed safeguard measure recommended by Commissioner Bragg:  A
30 per cent ad valorem  duty in the first year of relief; 25 per cent ad valorem duty in
the second year of relief; and 20 per cent ad valorem  duty in the third year of relief.
Commissioner Bragg further recommended that the additional duties on these
products not be applied to imports from Canada or Mexico.
(C) Alternative proposed safeguard measure recommended by Commissioner Devaney:
A quota in the amount equal to the average quantity during the period 1996 to 1998,
which he found to be the most recent representative period, on imports of these
products for a four year period.  Commissioner Devaney also recommend that thequota be administered on a quarterly and country-by-country basis, and that the quota
on these products be applied to imports from Canada and Mexico.
5. Provide proposed date of introduction of the measure .
Under US law, the President generally has 60 days from receipt of an ITC report containing
an affirmative determination of serious injury, or threat thereof, to determine what safeguard action, if
any, he will take.  If the President requests additional information from the ITC, that period may be
extended by up to 15 days.  When the Commissioners are equally divided in their injury determination
with respect to a product, the President may choose to consider the determination of either group ofITC Commissioners as the ITC’s determination with respect to that product.  Any action proclaimed
by the President generally must take effect no later than 15 days after the President proclaims it.G/SG/N/8/USA/8/Suppl.1
Page 14
6. Provide expected duration of the measure.
As noted above in item 4, the proposed measures recommended by the ITC and most of the
alternative proposed measures have a duration of four years, except that the alternative proposed
measures recommended by Commissioners Bragg and Devaney for stainless steel and tool steelproducts, as well as all of the alternative proposed measures recommended by Vice Chairman Okun,
have a duration of three years.
7. For a measure with a duration of more than three years, provide the proposed date for the
review (under Article 7.4) to be held not later than the mid-term of the measure, if such a date for the
review has already been scheduled.
If the measure imposed has a duration of four years, a review will be held no later than the
two-year mark.  If the measure imposed has a duration of three years plus one day, a review will be
held no later than the 18-month mark.  However, no dates have been scheduled.
8. If the expected duration is over one year, provide expected timetable for progressive
liberalization of the measure.
As noted above in item 4, each of the proposed measures and alternative proposed measures
provides for progressive liberalization.  The terms of the liberalization are indicated in that item.
9. Provide information relating to the extension of a safeguard measure.
Not applicable.G/SG/N/8/USA/8/Suppl.1
Page 15Annex
Product Commissioner/Remedy
RecommendationYear 1 Year 2 Year 3 Year 4 Special
Findings1
Koplan, Okun, Miller,Hillman
2Tariff-ratequota20% tariff on covered
imports in excess of
7,000,000 short tons17% tariff on covered
imports in excess of
7,500,000 short tons14% tariff on covered
imports in excess of
8,000,000 short tons11% tariff on covered
imports in excess of
8,500,000 short tons
3Mexico Carbon and
alloy steel slabs
Bragg, Devaney Tariff 40% 38% 36% 31% Mexico4
CBERA5
Koplan, Miller, Hillman2Tariff 20% 17% 14% 11% Mexico
Bragg, Devaney Tariff 40% 38% 36% 31% Mexico4
CBERA5Carbon and
alloy steel plate
Okun Quota 1,232,260 short tons 1,269,227 short tons 1,307,304 short tons Mexico
Koplan, Miller, Hillman2Tariff 20% 17% 14% 11% Mexico
Bragg, Devaney Tariff 40% 38% 36% 31% Mexico4
CBERA5Carbon and
alloy steelhot-rolled flat
products Okun Quota 4,928,712 short tons 5,076,573 short tons 5,228,871 short tons Mexico
Koplan, Miller, Hillman2Tariff 20% 17% 14% 11% Mexico
Bragg, Devaney Tariff 40% 38% 36% 31% Mexico4
CBERA5Carbon and
alloy steel
cold-rolled flat
productsOkun Quota 2,796,196 short tons 2,880,082 short tons 2,966,485 short tons Mexico
Koplan, Miller, Hillman2Tariff 20% 17% 14% 11% Mexico
Bragg, Devaney Tariff 40% 38% 36% 31% Mexico4
CBERA5Carbon and
alloy steel
coated products
Okun Quota 1,683,282 short tons 1,733,781 short tons 1,785,794 short tons Mexico
                                                     
1 Imports from Canada, Mexico, Israel, Jordan, and beneficiary c ountries under the Caribbean Basin Economic Recovery Act (CBERA)  and the Andean Trade
Preference Act are excluded unless specifically noted in this column.
2 Pursuant to section 330(d)(2) of the Tariff Act of 1930, this remedy recommendation is to be treated as the remedy finding of the Commission.
3 Chairman Koplan and Commissioners Miller and Hillman only.
4 Commissioner Bragg only.
5 Commissioner Devaney only.G/SG/N/8/USA/8/Suppl.1
Page 16 Product Commissioner/Remedy
RecommendationYear 1 Year 2 Year 3 Year 4 Special
Findings
Bragg, Devaney Tariff 40% 38% 36% 31% Mexico6
CBERA7Carbon andalloy steel tin
products Miller Tariff 20% 17% 14%  11% Canada
Koplan, Miller, Hillman8Tariff 20% 17% 14% 11% Canada
Mexico9
Bragg, Devaney Tariff 35% 33%  31% 26% CBERA7Carbon andalloy steel hot-
rolled bar
Okun Quota 1,961,648 short tons 2,020,497 short tons 2,081,112 short tons Canada
Koplan, Miller, Hillman8Tariff 20% 17% 14% 11% Canada
Bragg, Devaney Tariff 35% 33% 31% 26% CBERA7Carbon and
alloy steel cold-
finished barOkun Quota 246,033 short tons 253,414 short tons 261,016 short tons Canada
Koplan, Miller, Hillman8Tariff 10% 8% 6% 4%
Bragg, Devaney Tariff 35% 33% 31% 26% CBERA7Carbon and
alloy steel rebar
Okun Quota 1,054,266 short tons 1,085,894 short tons 1,118,470 short tons
Koplan, Miller Tariff-rate
quota20% tariff on covered
imports in excess of
2,600,000 short tons17% tariff on covered
imports in excess of
2,680,000 short tons14% tariff on covered
imports in excess of
2,760,000 short tons11% tariff on covered
imports in excess of
2,840,000 short tonsCanada
Mexico
Okun, Hillman Tariff-rate
quota20% tariff on covered
imports in excess of
1,400,443 short tons17% tariff on covered
imports in excess of
1,442,456 short tons14% tariff on covered
imports in excess of
1,485,730 short tons11% tariff on covered
imports in excess of
1,530,302 short tons10Carbon andalloy steel
welded tubular
products other
than OCTG
Bragg, Devaney Tariff 30% 28% 26% 21% Canada
6
CBERA7
                                                     
6 Commissioner Bragg only.
7 Commissioner Devaney only.
8 Pursuant to section 330(d)(2) of the Tariff Act of 1930, this remedy recommendation is to be treated as the remedy finding of the Commission.
9 Chairman Koplan and Commissioner Miller only.
10 Commissioner Hillman only.G/SG/N/8/USA/8/Suppl.1
Page 17Product Commissioner/Remedy
RecommendationYear 1 Year 2 Year 3 Year 4 Special
Findings
Koplan, Okun, Miller,Hillman
11Tariff 13% 10% 7% 4%12Canada13
Mexico14Carbon andalloy steel
fittings and
flangesBragg, Devaney Tariff 30% 28%  26% 21% Canada
15
Mexico15
CBERA16
Koplan, Miller, Hillman11Tariff 15% 12% 9% 6% Canada
Okun Quota  109,440 short tons 112,724 short tons 116,106 short tons Canada
Bragg Tariff 25% 20% 15%Stainless steel
bar
Devaney Quota and
tariffAverage quantity of
imports during
1996-98 plus 15%Average quantity of
imports during
1996-98Average quantity of
imports during
1996-98CBERA
Koplan, Miller, Hillman11Tariff 20% 17% 14% 11%
Okun Quota 62,573 short tons 64,451 short tons 66,385 short tons
Bragg Tariff 25% 20% 15%Stainless steel
rod
Devaney Quota and
tariffAverage quantity of
imports during
1996-98 plus 15%Average quantity of
imports during
1996-98Average quantity of
imports during
1996-98
Koplan Tariff 10% 8% 6% 4%
Bragg Tariff 25%  20% 15%Tool steel
Devaney Quota and
tariffAverage quantity of
imports during1996-98 plus 15%Average quantity of
imports during1996-98Average quantity of
imports during1996-98
Koplan Tariff 8% 7% 6% 5%
Bragg Tariff 15% 10% 5%Stainless steelwire
Devaney Quota and
tariffAverage quantity of
imports during
1996-98 plus 15%Average quantity of
imports during
1996-98Average quantity of
imports during
1996-98
                                                     
11 Pursuant to section 330(d)(2) of the Tariff Act of 1930, this remedy recommendation is to be treated as the remedy finding of the Commission.
12 Chairman Koplan and Commissioners Miller and Hillman only.
13 Vice Chairman Okun and Commissioners Miller and Hillman only.
14 Chairman Koplan, Vice Chairman Ok un, and Commissioner Miller only.
15 Commissioner Bragg only.
16 Commissioner Devaney only.G/SG/N/8/USA/8/Suppl.1
Page 18 Product Commissioner/Remedy
RecommendationYear 1 Year 2 Year 3 Year 4 Special
Findings
Koplan  Tariff 15% 12% 9% 6%
Bragg Tariff 30% 25% 20% Canada
MexicoStainless steel
fittings and
flanges
Devaney Quota Average quantity of
imports during
1996-98Average quantity of
imports during
1996-98Average quantity of
imports during
1996-98Average quantity of
imports during
1996-98Canada
Mexico
__________