Jan 23, 2017 Legal Comments Off on Taiwan rules steel makers hurt by products from six countries
Taipei--The Ministry of Economic Affairs has ruled that steel products imported from China, South Korea and four other countries have caused "substantive damage" to the local steel industry and will ask the Ministry of Finance to decide whether to impose anti-dumping taxes on the imports.
A trade investigation committee, chaired by Vice Economics Minister Wang Mei-hua (???), concluded Monday that three steel products have substantively damaged domestic steel industry.
One was carbon steel plate imported from Brazil, China, India, Indonesia, South Korea and Ukraine. The committee found that carbon steel plate imports from those countries surged from 314,604 tons in 2011 to 490,934 tons in 2014, forcing local producers to cut prices below their production costs to compete.
Those suspected imports began to fall sharply in 2016, when the government launched an investigation, an indication that they have caused substantive damage to local steel manufacturers, according to the committee.
The other two products affected are zinc-coated steel and certain flat-rolled steel products from China and South Korea.
Selling at prices lower than locally produced products, imports of these items gradually rose after hitting 153,360 tons in 2011, and they eventually lowered the market share of domestic producers to 69.7 percent in 2014 even as local products were selling nearly at cost.
The committee said that when the government launched an investigation into the alleged dumping, imports of the suspected products saw a dramatic decline, alleviating the pressure on domestic manufacturers to cut their prices.
It therefore determined that imports of these two categories of steel products have harmed Taiwan's competitors.
It said it will refer the results of its investigation to the Ministry of Finance, which will ask the tariff committee to decide whether to impose anti-dumping duties on the suspected imports.
Source: Focus Taiwan News Channel