In recent years, the Chinese Communist Party has been exporting domestically surplus steel plate products at low prices, prompting various countries to resist. The South Korean government announced on Friday (4th) that it will initiate an anti-dumping investigation on thick plate products originating from China.
According to reports from the South Korean News Agency, on October 4th, the Ministry of Industry, Trade, and Resources of South Korea Commerce Commission announced that the government has accepted a complaint filed by Hyundai Steel, initiating an anti-dumping investigation on thick plate products originating from China.
Hyundai Steel filed an anti-dumping complaint with the Ministry in July 31, accusing Chinese steel traders of exporting thick plates at low prices, causing them losses.
According to statistics from the Korea Iron and Steel Association, South Korea imported a total of 8.73 million tons of steel from China last year, an increase of 29.2% compared to the previous year, and this year’s import volume is also rapidly increasing.
The Korea Trade Association’s statistics show that in the first four months of this year, China’s steel exports increased by 15.1% year-on-year, while the export unit price during the same period decreased by 19.4%. Meanwhile, South Korean steel companies have continuously expressed that their businesses are significantly affected by the low-priced products from Chinese companies.
For a long time, the South Korean steel industry has been dissatisfied with the low-priced exports from Chinese companies, believing that it makes it difficult for South Korean companies to operate normally. The main companies producing thick plates in South Korea are POSCO, Hyundai Steel, and Dongkuk Steel, with Hyundai Steel, which initiated the anti-dumping lawsuit this time, accounting for approximately 15% of total sales.
In addition, in May of this year, the United States announced an increase in tariffs on specific Chinese steel products from the current 0%-7.5% to 25%; the European Union initiated an anti-dumping investigation on tinplate steel products in May; Canada announced a 25% tariff on steel products.
Countries such as Mexico and Brazil have increased tariffs on Chinese steel this year, while Vietnam, Turkey, and other countries have initiated relevant investigations.
Thick plate is a type of steel plate with a thickness of over 6 millimeters, mainly used in shipbuilding and construction industries.