U.S. to Impose Anti-dumping Duties on South Korean Steel Companies

The United States Department of Commerce decided after a year of investigation to impose anti-dumping tariffs on corrosion-resistant steel imported from South Korea, China, India, Italy and Taiwan. The tariff rates to be applied to South Korean steelmakers range from 8.75% for Dongkuk Steel to 47.8% for Hyundai Steel, much higher than the department’s preliminary determination.

POSCO has been excluded from the measure because of a low corrosion-resistant steel export ratio. Most of the steel products subject to the investigation are automotive steel products such as galvanized steel sheets and aluminum-zinc alloy-coated steel sheets.

Final details regarding the tariff imposition are to be fixed at the International Trade Commission (ITC) meeting scheduled for July. “It seems that some South Korean steelmakers are suffering collateral damage due to the United States’ attempt to protect its steel market from Chinese suppliers by imposing an anti-dumping duty of up to 451% on them,” said an industry insider.

According to the Department of Commerce, South Korean steelmakers’ corrosion-resistant steel exports to the U.S. amount to 594,000 tons or so. “Such a high anti-dumping duty rate to be applied to Chinese steelmakers can be compared to an import ban,” another expert said, adding that South Korean players can replace them in the U.S. market by taking this opportunity.