Posted on 20 May 2024
The European Commission’s application of countervailing and antidumping duties to stainless steel cold rolled imports from Taiwan and Vietnam will result in rates of almost 40%, in some cases.
Earlier this week, MEPS reported on the outcome of the Commission’s anticircumvention investigation into imports of Indonesia-origin stainless steel cold rolled (SSCR) products from Taiwan, Turkey and Vietnam. After finding evidence that the countervailing duties (CVD) imposed on Indonesian SSCR imports into the EU had been circumvented, the country’s 20.5% CVD rate will now be extended to imports from the three countries.
Inflicting a further blow to importers, the Commission has also extended Indonesia’s 19.3% antidumping duty on SSCR to include Taiwan and Vietnam. Evidence gathered by the Commission indicated the circumvention of antidumping duties imposed on Indonesia-origin SSCR by companies in the two countries, but not those in Turkey.
MEPS International’s analysis of the new duties (scroll through tables, above) has clarified the newly applied rates. Some stainless steel companies in the affected countries have been exempt from one, or both, duties. In other cases, they will add significant cost and complication to SSCR imports.
MEPS’s head of price analysis and forecasts, Kaye Ayub, said: “Importing cold rolled stainless steel into the EU could now be very costly from some of these sources. Even a small order at these high percentages can result in a significant duty to be paid when the material arrives. Consequently, buyers will be focussing their orders on the smaller number of exempt suppliers to avoid this. Consequently, the lead times from these companies are likely to extend. This could push import prices upwards.”
In imposing its antidumping duty extension, the Commission said that it would suspend the current Taiwanese 6.8% antidumping duty, for companies not exempt from the new rate, to avoid a double imposition of duties.
Where EU steel import safeguard measures’ above-quota tariff applies, only duties greater than the 25% tariff will be collected. The 25% safeguard duty is not cumulative and, as such, will not be added to the antidumping and CVD rates.
Eight stainless steel companies from Taiwan and Vietnam were granted exemptions from the new 19.3% antidumping duty rate. They are:
Taiwan
Yieh United Steel
Chia Far Industrial Factory
Yuan Long Stainless Steel
Tung Mung Development
Tang Eng Iron Works
WalsinLihwa
Vietnam
Posco VST
Lam Khang Joint Stock Company
Source:MEPS International
