Tar­iff ten­sion

China Daily (USA) - - FRONT PAGE - By YANG ZIMAN yangz­i­man@chi­nadaily.com.cn

The lat­est anti-dump­ing tar­iffs lev­eled on Chi­nese steel by the EU could take a hefty chunk out of man­u­fac­tur­ers’ profit mar­gins and quell ex­ports.

The lat­est anti-dump­ing tar­iffs levied on Chi­nese steel prod­ucts by the Euro­peanUnion could lead to a sharp fall in ex­ports of China’s seam­less steel pipes and tubes to the re­gion, ac­cord­ing to a lead­ing in­dus­try ex­pert.

Wang Guo­qing, di­rec­tor of the Lange Steel In­for­ma­tion Cen­ter, said that the du­ties im­posed on iron and steel seam­less pipes and tubes, rang­ing from 43.5 to 81.1 per­cent, were very ag­gres­sive and may wipe out much of man­u­fac­tur­ers’ profit mar­gin and lead to a sharp de­cline in ex­ports to the EU.

The EU im­posed pro­vi­sional anti-dump­ing tar­iffs for six months on Chi­nese steel and iron prod­ucts on Mon­day, af­ter man­u­fac­tur­ers in the bloc made nu­mer­ous com­plaints about Chi­nese com­peti­tors al­legedly ex­port­ing at un­fairly low prices.

The Euro­pean Com­mis­sion, the EU’s ex­ec­u­tive body, said that it would de­cide whether to make the anti-dump­ing mea­sures de­fin­i­tive and ex­tend the re­stric­tions for a pe­riod of five years.

“Most seam­less tube man­u­fac­tur­ers in China are small scale. They feel pow­er­less fac­ing an­tidump­ing cases. But from ear­lier ex­pe­ri­ence, com­pa­nies that file ap­peal some­times get much lower an­tidump­ing tar­iffs. There­fore, the Chi­nese gov­ern­ment should pro­vide con­sul­tancy to these com­pa­nies to help them with the le­gal process,” said Wang.

China’s Com­merce Min­istry said that EU’s de­ci­sion, based on the fact that China’s steel ex­port prices are lower than those of other ex­porters to the re­gion, was un­fair.

“China of­fers com­pet­i­tive prices be­cause it has large-scale steel pro­duc­tion. The fact that its prices are lower than other ex­porters does not mean that it is dump­ing the prod­ucts at prices lower than do­mes­tic costs,” said Wang.

Ac­cord­ing to a re­port by 315.com.cn, a Chi­nese bulk com­mod­ity in­for­ma­tion and trad­ing web­site, global out­put of seam­less steel pipes and tubes dropped 14.6 per­cent year-on-year to 41.44 mil­lion met­ric tons in 2015.

The fact that its prices are lower than other ex­porters does not mean that it is dump­ing the prod­ucts at prices lower than do­mes­tic costs.”

Wang Guo­qing, di­rec­tor of the Lange Steel In­for­ma­tion Cen­ter

Newspapers in English

Newspapers from China

© PressReader. All rights reserved.