The US Commerce Department on Tuesday set final anti-dumping duties (AD) and countervailing duties (CVD) on imports of steel gratings from China, a move which might escalate trade disputes between the two countries.

The department said in a statement that it had set final anti-dumping duties of 136.76 to 145.18 percent on the steel product to offset below-market pricing.

Moreover, the department also ruled that the Chinese producers/exporters of steel gratings have received net countervailable subsidies of 62.46 percent. Steel gratings consist of two or more cross-bracing pieces and are used in industrial floors, docks, ramps, drainage covers, staircases and other applications.

US imports of the steel gratings rose to US$90.6 million in 2008, but fell back to US$15.3 million in 2009.

According to the US trade remedy procedure, the US International Trade Commission (ITC) will also make its final injury determination about the product soon.

If the ITC makes affirmative final determinations that imports of steel gratings from China materially injure, or threaten material injury to, the domestic industry, the Commerce Department will issue AD and CVD orders.

The protectionist moves by the Obama administration will ultimately hurt the US-China trade relations, which are becoming more and more important due to the global financial crisis, economists warned.

Chinese Minister of Commerce Chen Deming recently called on world governments to remain alert to trade protectionism for the sake of a global recovery.

"There is still uncertainties and tough way ahead. As the world is going through an economic recovery, countries across the world need to make concerted efforts to stand against protectionism and support liberalization of trade and investment," Chen said.