S. Korea: Imposing highest anti-dumping duty of 38 pct on Chinese thick steel plates recommended

South Korea’s trade watchdog made a preliminary decision on Thursday to impose anti-dumping duties on Chinese thick steel plates, after its preliminary investigation determined potential harm to the domestic industry.

Under the decision, the Korea Trade Commission will ask the Ministry of Economy and Finance to impose anti-dumping duties of 27.91 percent to 38.02 percent on hot-rolled thick steel plates imported from China, its officials said.

The Korea Trade Commission began investigating the case in October, three months after Hyundai Steel Co. filed a complaint with the government against low-priced thick steel plates imported from China, according to Yonhap News Agency.

The decision comes amid growing concerns in the Korean steel industry after the U.S. government announced plans to impose a 25 percent tariff on all steel and aluminum imports starting March 12.

Market watchers say the new U.S. tariffs could exacerbate challenges facing the domestic industry, which is already struggling with oversupply, especially from China, and slumping global demand.

If cheaper Chinese steel products, unable to enter the U.S. market, flood other regions, such as Europe and Southeast Asia, South Korean steelmakers are likely to face stiffer price competition.

The volume of thick-walled steel imports has been rising steadily in recent years, nearly doubling from 1.26 million tons in 2021 to 2.06 million tons last year, while demand for such products in South Korea fell from 8.11 million tons to 7.8 million tons during the same period, according to industry sources.

The final ruling is expected to be issued in about five months.

Separately, the Korea Trade Commission has decided to extend the implementation of existing anti-dumping measures on flat-rolled stainless steel products and oriented polypropylene film products from China, Indonesia and Taiwan.