On August 19, China's Ministry of Commerce (MOC) announced that it has decided to start investigation on the new items in its anti-subsidy investigation initiated on June 1 into grain-oriented electrical steel imports originated from the United States
On June 1, 2009, MOC issued Announcement No. 41 on initiation of an anti-subsidy investigation into grain-oriented electrical steel imports originated from the United States. On July 20, China's two largest silicon steel producers Baosteel Group and Wuhan Iron and Steel Group again filed a petition with new subsidy items on behalf of China's domestic grain oriented electrical steel industry to apply for anti-subsidy investigation on these new subsidy items.
On August 4, the MOC issued an invitation for consultant over new subsidy items to the US government and held consultation with the US on August 13.
In accordance with relevant stipulations of the Anti-subsidy Regulations of the People's Republic of China, MOC carried out relevant examinations on the related evidences in the petition, and claimed that the petition also contains required contents and related evidences stipulated in China on initiation of anti-subsidy investigation.
The petition filed by the applicant includes 10 new subsidy items. After examinations, in accordance with relevant stipulations of the Anti-subsidy Regulations of China, MOC decided to start investigation on the following new items in its anti-subsidy investigation initiated on June 1 into grain-oriented electrical steel imports originated from the United States:
Union government subsidies
1. Low-price electricity supply
2. Low-price gas supply
3. Coal subsidy
State government subsidies
4. Pennsylvania's 2003 economic stimulus package
5. Funding from Pennsylvania's alternative energy fund
6. Pennsylvania's steel products procurement act
Meanwhile, the Ministry of Commerce has decided not to carry out investigation over the other four subsidy items. The Ministry invited any interested party and government to look into the non-secure text files in the petition submitted by the applicant in the Public Information Room of Ministry of Commerce.