On February 17, 2005, the Department of Commerce announced its final determinations in the antidumping duty investigations of magnesium metal from the People's Republic of China (PRC) and the Russian Federation (Russia). The Department found that producers/exporters have sold magnesium metal from the PRC and Russia in the U.S. market at less than fair value, with margins ranging from 91.31 to 141.49 percent and from 18.65 to 22.28 percent, respectively.

Company Qualifying for a "Separate Rate" (Section A Respondents): The Department has determined that one Chinese company in this investigation, Guangling Jinghua Science and Technology Co, Ltd., has demonstrated an absence of government control with respect to its export activities and is eligible for "separate rate" status. This "separate rate" is determined by weighted-averaging the dumping margin of the mandatory respondents in this investigation, excluding rates which are based on "adverse facts available". Therefore, imports produced and/or exported by Guangling Jinghua Science and Technology Co, Ltd., will be subject to a "separate rate" of 91.31%.

Next Steps: The U.S. International Trade Commission (ITC) is scheduled to announce its final injury determination on or about April 4, 2005. If the ITC makes an affirmative determination that imports of magnesium metal from the PRC and Russia are materially injuring, or threatening to materially injure, the domestic industry in the United States, the Department will issue antidumping duty orders and instruct U.S. Customs and Border Protection to collect antidumping duties on the subject imports. If the ITC makes a negative injury determination, the investigations will be terminated and no order will be issued.

Petitioners: The petitions requesting these investigations were filed on February 27, 2004, by the US Magnesium Corporation LLC (US Magnesium), (UT); United Steelworkers of America, Local 8319, (UT); and Glass, Molders, Pottery, Plastics & Allied Workers International, Local 374, (CA), an ad hoc coalition representative of U.S. producers of magnesium metal.

Product Description: The products covered by the two investigations include primary and secondary pure and alloy magnesium metal, regardless of chemistry, raw material source, form, shape, or size. Although the Department has determined these products are one like product for purposes of these investigations, the respective scopes of the Chinese and Russian investigations differ because prior antidumping duty orders exist on pure magnesium in both ingot and granular form from the PRC. Therefore, the scope of the investigation for Russia covers primary and secondary pure and alloy magnesium metal, whereas the scope of the investigation for the PRC covers primary and secondary alloy magnesium metal. Additional information on the scope of these investigations is included in the Department's notices of final determination.

Final Dumping Margins:

People's Republic of China

Tianjin Magnesium International Co., Ltd. – 91.31%

Guangling Jinghua Science and Technology Co, Ltd. – 91.31%

PRC-wide Entity – 141.49%

Russian Federation

Solikamsk Magnesium Works – 18.65%

Avisma Magnesium-Titanium Works – 22.28%

All Other's Rate – 21.45%