China’s HRC has temporary tariffs: steel mills benefit?
Steel NewsDate: 27-02-2025 by: Nhu Quynh
Recently, on February 21, 2025, the Ministry of Industry and Trade issued a decision to apply a temporary anti dumping duty on some hot - rolled coil (HRC) products imported from China. The range of relevant duty rates is 19.38% to 27.83%.
For a more thorough analysis of the situation, read the article from MRS Steel below.
an anti-dumping duty on Chinese HRC
Background and causes of the incident
Items under investigation: Hot-rolled coil
HS Code: 7208.25.00, 7208.26.00, 7208.27.19, 7208.27.99, 7208.36.00, 7208.37.00, 7208.38.00, 7208.39.20, 7208.39.40, 7208.39.90, 7208.51.00, 7208.52.00, 7208.53.00, 7208.54.90, 7208.90.90, 7211.14.15, 7211.14.16, 7211.14.19, 7211.19.13, 7211.19.19, 7211.90.12, 7211.90.19, 7225.30.90, 7225.40.90, 7225.99.90, 7226.91.10, 7226.91.90
Plaintiff: Hoa Phat Group and Formosa Ha Tinh Steel Corporation
Period of investigation: 26/7/2024
Duty decision date: 21/02/2025
Cheap imported steel damages the domestic steel industry
Details of the duty decision
The duty rates applicable to Chinese enterprises are as follows:
Baoshan Iron & Steel, Maanshan Iron & Steel: 27,83%
Guangxi Liuzhou Iron and Steel Group: 19,38%.
The Ministry of Industry and Trade collaborated with pertinent organizations throughout the inquiry to examine and evaluate the effects of dumping on the domestic manufacturing industry. The agency also investigated the level of dumping by Indian and Chinese exporters. According to the investigation's findings, HRC steel from India is exempt from anti-dumping duty because the country's import rate is so low, less than 3% despite the evidence of dumping.
The application period is 120 days from the date of effect, and the provisional anti-dumping duty goes into force 15 days after the decision is made. Following the implementation of interim anti-dumping levies, the Ministry of Industry and Trade will keep collaborating with pertinent stakeholders to gather and validate data. It is believed that a temporary anti-dumping tariff must be implemented in order to shield the domestic steel industry from pressure from low-cost imported steel.
The duty takes effect after 15 days and is applicable for 120 days
Impact of this decision
For domestic steel mills
Safeguard domestic steel mills: Enterprises such as Hoa Phat Group and Formosa Ha Tinh Corporation will benefit when cheap steel imports from China are restricted. This helps to reduce unfair competition and promote the development of domestic enterprises.
Increasing domestic output: Domestic steel mills are encouraged to invest in increasing output and raising the caliber of their products when the importation of steel products declines. Additionally, growing output lessens reliance on imports, improving steel industry initiative.
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