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Beryllium Metal and High-Beryllium Alloys from Kazakhstan

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Beryllium Metal and High-Beryllium Alloys from Kazakhstan Beryllium Metal and High-Beryllium Alloys from Kazakhstan Investigation No. 731-TA-746 (Preliminary) Publication 2959 May 1996 U.S. International Trade Commission Washington. DC 20436 U.S. International Trade Commission COMMISSIONERS Peter S. Watson, Chairman Janet A. Nuzum, Vice Chairman David B. Rohr ·Don E. Newquist Carol T. Crawford Lynn M. Bragg Robert A. Rogowsky Director or Operations Staff assigned: Bonnie Noreen. Investigator David Lundy. Commodity-Industry Analyst Clark Workman. Economist John Ascienzo, Accountant/Auditor Lyle Vandcr Schaaf, Attorney . George Deyman. Supervisory Investigator Address all communications to Secretary to the Commission United States International Trade Commission Washington, DC 20436 U.S. International Trade Commission Washington, DC 20436 Beryllium Metal and High-Beryllium Alloys from Kazakhstan Publication 2959 May 1996 CONTENTS Page Determination ..................................................................... 1 Views of the Commission ............................................................ 3 Additional views of Commissioner Lynn M. Bragg ........................................ 21 Part I: Introduction ................................................................. I-1 Background ................................................................ ·.... I-1 Summary data ................................................................... I-2 The product .................................................................... I-2 Physical characteristics and uses ................................................. I-3 General ......................................................... · · · · · · · · · · I-3 Subject products ........................................................... I-4 Manufacturing process ...................................................... I-5 Interchangeability ............................................................. I-7 Beryllium metal versus high-beryllium alloys .................................... I-7 Domestic beryllium metal versus Kazakh beryllium metal for use in beryllium metal finished parts . ..... I-7 Domestic beryllium metal versus Kazakh beryllium metal for use in beryllium alloys ..... I-7 Substitutes ................................................................ I-8 Channels of distribution ........................................................ I-9 Customer and producer perceptions ............................................... I-9 Common manufacturing facilities and production employees ........................... I-10 Price ........................................ · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · · I-10 Part II: Conditions of competition in the U.S. market ...................................... II-1 Demand considerations ........................................................... II-1 Supply considerations ............................................................ II-1 Substitutability issues involving U.S.-produced and imported beryllium ..................... II-2 Part ill: Condition of the U.S. industry ................................................. ID-1 U.S. producers .................................................................. ID-1 U.S. production, capacity, and capacity utilization ...................................... ID-1 U.S. producers' shipments ......................................................... ID-2 U.S. producers' inventories ................................................... : .... ID-2 U.S. employment, wages, and productivity ............................................ m-2 Part IV: U.S. imports, apparent consumption, and market penetration ......................... IV-1 U.S. importers .................................................................. IV-1 U.S. imports .................................................................... IV-1 Apparent U.S. consumption ........................................................ IV-2 U.S. market shares ............................................................... IV-2 Part V: Pricing and related data ....................................................... V-1 Prices ......................................................................... V-1 Questionnaire price data ........................................................ V-1 Trends in prices ............................................................... V-2 Price comparisons ............................................................. V-2 Exchange rates .................................................................. V-2 Lost sales and lost revenues ........................................................ V-2 CONTENTS Page Part VI: Financial condition of U.S. industry . VI-1 Introduction . VI-1 Overall operations of Brush Wellman . VI-1 Operations on beiyllium metal . VI-1 Operations on high-beiyllium alloys . VI-2 Operations on beiyllium metal and high-beiyllium alloys . VI-2 Investment in fixed assets, capital expenditures, and research and development expenses . VI-2 Capital and investment.................. VI-3 Part VII: Threat considerations . VII-1 The industry in Kazakhstan . VII-1 U.S. importers' inventories . VII-3 Appendixes A. FederalRegisternotices.......................................................... A-1 B. Conference witnesses . B-1 C. Summary tables . C-1 D. Alternative apparent U.S. consumption data . D-1 E. Brush Wellman supplemental data . E-1 F. Alternative U.S. imports and importer inventory data . F-1 G. Financial condition ofNuclear Metals . G-1 Figures I-1. Beiyllium product flow . I-5 VI-1. Beiyllium metal: Income and loss . VI-1 Tables lli-1. Beiyllium metal and high-beiyllium alloys: Brush Wellman's capacity, production, and capacity utilization, by products, 1993-95 . lli-2 lli-2. Beiyllium metal and high-beiyllium alloys: Shipments by Brush Wellman, by products and by types, 1993-95 . ill-2 lli-3. Beiyllium metal and high-beiyllium alloys: End-of-period inventories of Brush Wellman, by types and by products, 1993-95 . ill-2 lli-4. Average number of U.S. production and related workers producing beiyllium metal and high-beiyllium alloys, hours worked, wages paid to such employees, and hourly wages, productivity, and unit labor costs, by products, 1993-95. lli-2 IV-1. Beiylliummetal: U.S. imports from Kazakhstan, 1993-95 . IV-2 11 CONTENTS Page Tables--Continued IV-2. Beryllium metal and high-beryllium alloys: U.S. shipments of domestic product, U.S. shipments of imports from Kazakhstan, and apparent U.S. consumption, by products, I 993-95 . IV-2 IV-3. Beryllium metal and high-beryllium alloys: Apparent U.S. consumption and market shares, by products, I993-95 . IV-2 V-1. Product I: F.o.b. prices reported for U.S.-produced and imported beryllium from Kazakhstan, by quarters, Jan. I993 - Dec. I995 . V-2 VI-1. Income-and-loss experience of Brush Wellman's operations producing beryllium metal, fiscal years I993-95 . VI-I VI-2. Variance analysis of the results of Brush Wellman on its operations producing beryllium metal, fiscal years I993-95 . VI-2 VI-3. Income-and-loss experience of Brush Wellman on its operations producing high-beryllium alloys, fiscal years I993-95 . VI-2 VI-4. Capital expenditures, research and development expenses, and fiscal yearend value of assets of Brush Wellman on its operations producing beryllium metal and high-beryllium alloys, fiscal years I993-95 . VI-2 VII-I. Beryllium metal: Kazakh capacity, production, inventories, capacity utilization, and shipments, I993-95 and projected I996 . VII-I C-I. Beryllium metal: Summary data concerning the U.S. market, I 993-95 . C-3 C-2. High-beryllium alloys: Summary data concerning the U.S. market, I993-95 . C-3 C-3. Beryllium metal and high-beryllium alloys: Summary data concerning the U.S. market, I993-95 . C-3 C-4. Beryllium hydroxide: Summary data concerning the U.S. market, I993-95 . C-3 D-1. Beryllium metal and high-beryllium alloys (alternative scenario I): U.S. shipments of domestic product, U.S. shipments of imports from Kazakhstan, and apparent U.S. consumption, by products, I993-95 . D-3 D-2. Beryllium metal and high-beryllium alloys (alternative scenario 2): U.S. shipments of domestic product, U.S. shipments of imports from Kazakhstan, and apparent U.S. consumption, by products, I993-95 . D-3 D-3. All beryllium: U.S. shipments of domestic product, U.S. shipments of imports from Kazakhstan, and apparent U.S. consumption, I993-95 . D-3 D-4. All beryllium (alternative scenario I): U.S. shipments of domestic product, U.S. shipments of imports from Kazakhstan, and apparent U.S. consumption, I993-95 . D-3 D-5. All beryllium (alternative scenario 2): U.S. shipments of domestic product, U.S. shipments of imports from Kazakhstan, and apparent U.S. consumption, 1993-95 . D-3 D-6. Beryllium metal and high-beryllium alloys (adjusted by removing company transfers to low- beryllium alloy production): U.S. shipments of domestic product, U.S. shipments of imports from Kazakhstan, and apparent U.S. consumption, by products, I993-95 . D-3 Ill CONTENTS Page Tables-Continued D-7. Beryllium metal and high-beryllium alloys (adjusted by removing company transfers to low- beryllium alloy production, alternative scenario 1): U.S. shipments of domestic product, U.S. shipments of imports from Kazakhstan, and apparent U.S. consumption, by products, 1993-95 . D-3 D-8. Beryllium metal and high-beryllium alloys (adjusted by removing company transfers to low- beryllium alloy production, alternative scenario 2): U.S. shipments of domestic product, U.S. shipments of imports from Kazakhstan, and apparent
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