Trade Cases

SDI Targets Japan with Circumvention Case Against Vietnamese Coated Sheet
Written by Michael Cowden
November 23, 2021
Steel Dynamics Inc. (SDI) has filed a duty circumvention case against coated flat-rolled steel from Vietnam made from Japanese substrate.
The Fort Wayne, Ind.-based steelmaker thinks that “minor alterations” such as coating represent an attempt to circumvent existing antidumping and countervailing duty orders on hot-rolled and cold-rolled coil from Japan.
The U.S. Commerce Department has already ruled in favor of domestic steelmakers in similar cases targeting coated product made in Vietnam from substrate melted in China, Taiwan and South Korea.
Japanese hot-rolled and cold-rolled coil have been “following the same path” that substrate from China, Taiwan and South Korea did previously, SDI said in a filing earlier this month written by Washington, D.C.-based law firm Schagrin Associates and addressed to Commerce Secretary Gina Raimondo.
“In each case, the circuitous production path has allowed the continuation of low-priced imports that remain injurious to the domestic steel industry,” the filing alleged.
SDI also noted that successful circumvention cases had been filed against coated product from the United Arab Emirates, Malaysia and Costa Rica originating from Chinese substrate and against coated product from Malaysia originating from Taiwanese substrate.
The text of the filing in addition raised the prospect of duty circumvention cases being extended to other countries already subject to antidumping and/or countervailing duty orders on hot-rolled, cold-rolled rolled or coated product resulting from a raft of trade petitions filed in 2015-16.
That list includes not only Japan but also Australia, Brazil, China, India, Italy, the Netherlands, South Korea, Taiwan, Turkey, and the United Kingdom.
Domestic mills will have a hard time claiming they need relief after posting record quarterly profits thanks to U.S. steel prices that are the highest in the world, some market observers said. But others said the case – should it serve as a template for future cases – has the potential to alter the domestic supply landscape.
The petition also comes as some North American mills have expressed concern about lower priced coated products – such as galvanized and Galvalume – potentially making substantial inroads against domestic steel in the first half of 2022.
By Michael Cowden, Michael@SteelMarketUpdate.com

Michael Cowden
Read more from Michael CowdenLatest in Trade Cases

Tariff fallout: Canada strikes back, Stellantis idles, GM boosts production
Canada imposes auto tariffs, while automaker Stellantis temporarily idles some plants.

Commerce tags UAE with ‘critical circumstances’ in CORE trade case, South Africa spared
The Commerce Department has made a preliminary determination that ‘critical circumstances’ exist for certain imports of corrosion-resistant (CORE) flat-rolled steel from the United Arab Emirates (UAE). Commerce decided that critical circumstances did not apply to CORE from South Africa. The department also found that critical circumstances did not apply to CORE from UAE producers Al-Ghurair Iron & Steel LLC and United Iron & Steel Company LLC.

Trump’s ‘Liberation Day’ brings 10% baseline tariffs; steel, aluminum, and autos/parts excluded
President Trump’s promised “Liberation Day” has arrived, with a 10% minimum tariff on imports. But there are some very important exceptions: The United States’ USMCA partners, Canada and Mexico, are excluded from the reciprocal tariffs for now. In addition, steel, aluminum, as well as autos and auto parts are excluded from the reciprocal tariffs. That’s […]

Price on Trade: Auto tariffs, auto parts, and Hyundai – a world of rapid changes
Trump's new auto tariffs will apply to passenger vehicles (including sedans, sport utility vehicles, crossover utility vehicles, minivans, and cargo vans), light trucks, and certain automobile parts (including engines and engine parts, transmissions and powertrain parts, and electrical components).

CRU: Canacero urges Mexico-US partnership to fend off Asian steel imports
Victor Cairo, head of Mexico’s steel sector body Canacero and CEO of ArcelorMittal Mexico, says he is confident negotiations between the Mexican and US governments planned for April 2 will lead to the creation of a regional block to substitute imports, especially from Asia.