WASHINGTON, July 20 (Reuters) – The U.S. International Trade Commission voted on Wednesday to extend U.S. anti-dumping and anti-subsidy duties for five years on cold-rolled flat steel from China, India, Japan, Korea South and Great Britain, but removed these duties on the same products from Brazil.
The commission’s decision in its five-year “sunset” review marks a significant victory for domestic steelmakers, locking in heavy taxes that will keep Chinese-produced flat steel largely out of the U.S. market for another five years.
Cold-rolled flat steel, used in the manufacture of automobiles and household appliances, is among the bulkiest and most profitable products for domestic producers, which used to lose significant market share to foreign producers before the imposition of duties in 2016.
Additional “Section 232” national security tariffs of 25% were imposed by former President Donald Trump two years later, and the ITC’s decision does not affect these.
According to the Department of Commerce, the weighted average anti-dumping duty rates on imports of cold-rolled flat steel are currently 265.8% for China, 71.35% for Japan, 28.4% for Korea, South, 25.2% for Great Britain and 7.6% for India.
The commission determined that the removal of duties on all cold-rolled flat steel except Brazil would “likely result in the continuation or recurrence of material injury” to domestic producers within a “reasonable period of time”, it said. stated in a press release.
The USITC said removing Brazil’s duties would likely not result in such injury.
The decision comes as steel prices in the United States normalize after shortages induced by the recovery from the COVID-19 pandemic drove them to record highs last summer.
U.S. Midwest hot-rolled steel futures were quoted at $915 per metric ton on Wednesday, less than half their August 2021 high of $1,944 but well above their low of $364. dollars in December 2015 before the imposition of duties. The cold rolled steel is then transformed from hot rolled steel. (Reporting by David Lawder and Chris Gallagher; Editing by Susan Heavey and Alistair Bell)