Posted on 23 Feb 2024
Gerdau is preparing an antidumping investigation request against Chinese and other Asian importers for imports of long and flat steel into Brazil. The measure comes in response to the government's prolonged evaluation of the measures to protect Brazilian steel, chief executive Gustavo Werneck said during a call with analysts monitored by Kallanish.
“We expected a decision from the Ministry of Development, Industry, Commerce and Services (MDIC) by February, an expectation that was frustrated amid intense efforts by the steel sector for a short-term increase of import tax to 25%. Perhaps even implementing quotas, as did the US under Section 232. We are sceptical that any measures will be applied and our next move is to fill an antidumping investigation request,” the ceo commented.
A specific decision on such a claim takes an average of 18 months, which would be a very long time given the current situation the Brazilian steel industry is facing," Werneck states.
Gerdau submitted a similar AD request to Mdic for Asian hot-rolled steel imports in 2022. Although recognising unfair competition, the authority dismissed the claim due to "inflationary risks" in other industrial sectors.
Gerdau cfo Rafael Japur confirmed that the company is also considering taking joint actions with other steelmakers. "We are tactically verifying the best decision, taking all legal and governance precautions," he said.
Source:Kallanish
