WASHINGTON The U.S. Department of Commerce on Friday issued a preliminary ruling that enriched uranium from France and Britain is being sold at unfairly low prices in the United States, and called for antidumping duties to be imposed.

The agency said that the dumping of low-enriched uranium -- used for nuclear power generation -- was being carried out by Eurodif, a French government-controlled entity, and the anglo-German-Dutch firm Urenco Ltd.

The department acted on a complaint from the U.S. firm USEC and its subsidiary, United States Enrichment Corp.

If the ruling is upheld, imports from Eurodif would face a duty of 17.52 percent of the value of its products and Urenco imports would be slapped with a 3.35 percent duty.

The agency found that imports from Germany and the Netherlands were being sold only marginally below fair market prices and would not be subject to duties, AFP reported.

"Today's decision is another step toward restoring fair pricing in the U.S. enrichment market," Robert Moore of USEC said in a statement reacting to the ruling.

"Dumping by Eurodif and Urenco has injured the domestic enrichment industry. If the U.S. government carries this finding through to a final order, it will benefit the domestic enrichment industry, the U.S. nuclear fuel cycle and national energy security objectives."

Urenco meanwhile said it was pleased the Commerce Department did not impose duties on the firm's exports from Germany and the Netherlands and added, "We expect that the department will reach a similar conclusion with respect to the United Kingdom after it reviews our detailed submissions and holds its hearing."

Chief Executive Klaus Messer reiterated Urenco's position that "these cases should never have been accepted by the Department of Commerce. Urenco provides services, not goods, and the international trade laws do not apply to services."

This was the second trade case involving the two European uranium producers, and applies only to the question of dumping -- or whether uranium was sold in the United States at prices below those charged in the producers' home countries or below their cost of production plus a reasonable profit.

In May, USEC said the DOC issued a separate preliminary ruling that Urenco and Eurodif have been unfairly subsidized by their respective governments and imposed duty rates of 13.94 percent in the case of Eurodif and 3.72 percent for Urenco.

After the May decision, the European Union warned it could go to the WTO to challenge the duties imposed for uranium.

Final determinations in both cases are expected later this year.