It also approved an investigation of charges Chinese producers are "dumping" three types of salts in the United States.
Yet, the article then notes that the Nucor petition was rejected.Question: When will any type of additional duty begin to be assessed (for both China and Taiwan)?
Answer: Most likely sometime between mid-December and the end of February. That is, when the U.S. Department of Commerce publishes its preliminary determinations in the Federal Register, it will send instructions to the US Customs and Border Protection to require bonds or cash deposits in an amount equal to the preliminary dumping and subsidy rates on all merchandise entering on or after the date of the publication in the Federal Register. For the China countervailing duty case (subsidies) this will occur as early as mid-December (but, if extended, may not be until the end of February), and for the China and Taiwan antidumping duty cases, this will be at the beginning of March (but, if extended, mid-May). Final collection of antidumping and countervailing duties will not occur until after the first administrative review. The preliminary determinations will be posted at www.importerhelp.com/investigations/fasteners the day before they are published in the Federal Register, and a fact sheet summarizing the preliminary determinations will be posted a few days earlier.
Question: What month should importers target to have as many shipments entered into the US as possible?
Answer: The short answer is, the earlier the better, but it is impossible to say at this point. Unless the Department of Commerce makes a finding of “critical circumstances,” no antidumping or countervailing duty liability will be imposed on entries before the date of the preliminary determination, as discussed above. If there is a finding of “critical circumstances, the Department of Commerce can retroactively impose antidumping and countervailing duties up to 90 days before the date of publication of the preliminary determinations. In practice, the Department of Commerce does not regularly find critical circumstances because it is a company-specific analysis (the factors are included in the power point presentation, now posted at www.importerhelp.com/investigations/fasteners. If critical circumstances are alleged, information about the allegation will be posted to give you all advanced notice of the possibility.
Question: Can you send a copy of the October 28, NCFA power point presentation?
Answer: It is now posted at www.importerhelp.com/investigations/fasteners.
Question: Will parts purchased for automotive and trucking manufacturers or their Tier one suppliers be exempt from these tariffs?
Answer: There is a specific exclusion of automobile, work truck, medium-duty passenger vehicle, and aircraft fasteners:
Excluded from the scope of the investigations are bolts, cap screws, and nuts produced for an original equipment manufacturer (OEM) part number specific to any automobile as defined in 49 U.S.C. Section 32901(a)(3), any work truck as defined in 49 U.S.C. Section 32901(a) (19), or any medium-duty passenger vehicle as defined in 40 C.F.R. Section 86.1803-01 (2009).
Also excluded from the scope of the investigations are bolts, cap screws, and nuts produced for an OEM part number specific to any aircraft as defined in 14 C.F.R. Section 1.1 (2009).
If the fasteners you import or distribute qualify under these paragraphs (and the statutory and regulatory definitions), they are not subject to the investigation and will not be subject to antidumping or countervailing duties imposed as a result of these investigations. This statement, however, is contingent upon the scope language remaining unchanged. If you need legal advice about particular products, you may contact me at Mark@Lehnardt.com.
Question: If they impose a 51% duty on product at the preliminary determination, what is the trigger date for countervailing duty bonds?
Answer: The trigger date is the date the preliminary determination is published in the Federal Register. After publishing its preliminary determination, the Department of Commerce will send instructions to the US Customs and Border Protection to require bonds or cash deposits equal to the entered value times the preliminary rates, for all covered merchandise entering on or after the date of publication of the preliminary determination in the Federal Register. The preliminary determination will be posted at www.importerhelp.com/investigations/fasteners one day before it is published in the Federal Register. A summary of the preliminary determination will be available a few days earlier.
New Information: The Department of Commerce will announce that it has extended the time for Chinese exporters to file their Quantity and Value Questionnaire responses to November 19. If Chinese exporters do not file these responses, they likely will be assigned a 205.97% antidumping duty rate. The date upon which Separate Rates Applications are due – currently December 21 – is not likely to be extended. If Chinese exporters do not file a Separate Rates Application, they likely will be assigned the 205.97% rate. If your Chinese suppliers have not yet hired U.S. legal counsel to assist them with their Q&V response or their SRA, they may contact me at Mark@Lehnardt.com, or any other competent U.S. international trade attorney. A partial listing of such attorneys can be found at www.importerhelp.com/firms.html.
North Coast Fastener Antidumping Meeting
A wonderful way to extract some much needed information. Come join us
Marks primary focus is Antidumping and Countervailing Duty Law. International Trade Litigation at the U.S. Court of International Trade and the WTO are other specialties that Mr. Lehnardt possesses.
This event is important to all companies within the fastener industry. Please join us next week for an open discussion pertaining to this hot button topic. If you have questions or would like to register for this event please contact Lisa Graham in our home office (440.975.9503).
We thank you for your support!
As a young man I could not wait for the Sunday morning paper for my favorite columnist who listed his “notes off the cuff” pertaining to the sports world. Having spent the majority of my life in the fastener industry I thought I would throw out a few thoughts thru T.S.
I have always tried to put myself on the other side of the table when trying to hit hot buttons during negations’. *** antidumping and its ramifications throughout the industry. ** I would hate to be a fastener distributor with a firm priced contract with possible large tariffs looming*** if I am Brighton Best and sitting on 12mm of inventory do I sell this material at todays numbers?? *** when the official tariff number comes down do costs immediately go up on all importers low cost material??****it sure looks to me as if 12 million in inventory value looks like 20 million $$$ could this be a bigger cash haul than going public?? If you had unlimited money would you buy-buy-buy before tariffs?? **** what strategy does a company like IFC take?? Regardless of what number the tariff arrives at there certainly is some serious strategy going to be played out over the coming months*** I know that a lot of high level players read this blog, it would be great to see your thoughts** I am going to roam the aisles in las vegas looking for more thoughts off the cuff
The following is taken directly from Wikipedia:
Jumping the shark is a colloquialism coined by Jon Hein and used by TV critics and fans to denote the point in a television program's history where the plot veers off into absurd story lines or out-of-the-ordinary characterizations. This usually corresponds to the point where a show with falling ratings apparently becomes more desperate to draw in viewers. In the process of undergoing these changes, the TV or movie series loses its original appeal. Shows that have "jumped the shark" are typically deemed to have passed their peak.
The phrase refers to a scene in a three-part episode of the American TV series Happy Days, first broadcast on September 20, 1977. In the third of the three parts of the "Hollywood" episode, Fonzie (Henry Winkler), wearing swim trunks and his trademark leather jacket, jumps over a confined shark while water skiing.
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I first heard the term "Jump the Shark" on the Howard Stern show back before he went to satellite radio. And, I always believe it is a good idea to mix a little Pop Culture in as we discuss serious, important topics like the Fastener Industry. This may be a stretch but let's give it a try, shall we??
First, I must explain that I want to slightly change the meaning of Jump the Shark as it is described above. In its original state it was used to describe actions that were taken out of a desperate situation and that the show/person/company that "Jumped the Shark" was past its peak. For my purposes here, I want to just use the term to describe a situation that is something "out of the ordinary" , whether that is good or bad.
The whole idea came to me after several sales trips where at leat 95% of the companies I visited mentioned Brighton Best. No kidding. Brighton is bringing in inventory at a staggering rate. Brighton is selling product at a price level well below that of many of its competitors. Brighton is offering discounts to companies that order online. Brighton is changing the playing field for a lot of companies out there. If you have not encountered this then you have not been out in the field and you probably do not know who Fastenal is either. Needless to say, competitors of Brighton Best are responding and doing what they need to in order to battle for business. But, in a very short period of time, Brighton's strategic approach has caused a ripple effect in the marketplace. In a sense, I want to say that in 2009 Brighton essentially "Jumped the Shark". To quote Wikipedia, this was the time that Brighton "veered off into absurd story lines or out of the ordinary characterizations". But please, PLEASE my friends at Brighton, do not misunderstand me. This is not a negative jab or, by any means, do I mean to suggest there is anything desperate. Brighton's strategy in the market is very, VERY bold and they are providing many good things to their customers. They could end up a big winner as this strategy plays out. But, make no mistake, this year was the year when this strategy was really noticeable in the market place. If they drive any competitors out of the market or if they end up being an industry leader in certain product categories (other than socket head cap screws where they have always been a leader), this will have been the year that the process really began. A landmark change. A "Jump the Shark" moment.
This is not meant to be a Brighton commercial. I started thinking about other fastener companies that changed in the marketplace. Maybe companies that went from industry leaders to just ordinary companies. Or companies that were ordinary and made changes that caused them to be outstanding.
Another company that came to mind was Bossard. Bossard still is a strong, reputable company in world marketplace and also in the United States. But, there was a time when they were the Cadillac of Metric Fasteners. Bossard had "The Blue Bible" and they taught the fastener world that "Metric is Simple". While they are still a good metric supplier, they are no longer the industry leader they once were. What happened? Was it the when they started cutting off smaller distributors and enforced a minimum dollar requirement to remain a Bossard Distributor? I don't know, but I really don't think so. I think maybe they "Jumped the Shark" when they started to buy out other fastener distributors and started to concentrate on selling end users instead of supporting fastener distributors. Whether or not that was a good strategy is something they know internally. But, their place in the marketplace changed.
What happened to Lake Erie Fastener? At one time, Lake Erie was the Cadillac supplier of Gr. 8 caps screws. They could sell their product at a premium because they made a superior product. What caused them to be dethroned?
Many companies change when they are sold. I have known many companies that were excellent at servicing huge numbers of customers - only to watch the customer service erode after the company is sold to a competitor. The old 80/20 rule has its place but it has also caused the demise of a lot great customer service (although I can hear those companies that implement it saying "we still offer great customer service, but just not to ANYONE").
Got any other examples of companies that "Jumped the Shark" - both in a positive or negative way??
Also, my apologies to Fastenal employees. Most of you do not remember Fonzie or Happy Days as you are all much younger than me. Thank goodness you can google such brilliant television moments. I am happy to share Fonzie's "Jumb the Shark" moment with you below!
http://www.youtube.com/watch?v=MDthMGtZKa4
Any suggestions? We are getting an influx of rfq due to some stimulus money being cut loose and are having issues locating, 1/4, 5/16 and 3/4 nuts and bolts.
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This was posted by a member of LinkedIn but I thought it was worth posting here in case there are any others who can answer.