As part of the United States Department of Commerce’s latest crack down on an enormous supply of steel imports, corrosion-resistant steel (CORE) from China will face hefty anti-dumping and anti-subsidy duties of up to 450 percent. The Commerce Department said on Wednesday that the duty is part of the federal government’s final clampdowns on the glut of steel imports.
The final US anti-dumping duties on Chinese CORE steel will replace December 2015’s 256 percent duties.
U.S. officials also confirmed that it has put forward anti-dumping duties of between three and 92 percent on producers of corrosion-resistant steel. According to a statement from the Commerce Department, these duties apply to producers in Italy, India, South Korea, and Taiwan.
CORE imports from the five nations were valued at $500.3 million, $219.6 million, $110 million, $509.1 million, and $534.4 million, respectively.
Previously, the U.S. government slapped anti-subsidy duties on producers in China, Italy, India and South Korea for their flat-rolled steel – steel that is coated or plated with aluminum, zinc and other metals to increase its lifespan. Taiwan was not extended the duties.
It also applied punitive tariffs of about 500 percent on Chinese cold-rolled flat steel last week. This type of steel is primarily used for automobile body panels and household appliances.
For months, industry leaders and government officials have blamed China’s low-cost metal producers for the oversupply of global steel production, which has brought down the prices. However, China’s Commerce Ministry called the Commerce Department’s move “irrational,” and warned such duties could affect the cooperation between the powerhouse economies and hurt trade.
“The United States has deliberately suppressed the bulk of Chinese steel exports,” the ministry said in a statement. “This not only harms Chinese steel enterprises but hinders trade and cooperation between enterprises.”
The ministry added: “China will take all necessary steps to strive for fair treatment and to protect the companies’ rights.”
In response to global pushback against its steel exports, China imposed anti-dumping duties on steel from the European Union, Japan, and South Korea in April.
According to the World Steel Association, China has increased Its output of steel from 128.5 million tonnes in 2000 to 822.7 million tonnes in 2015.
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