Steel Products
Section 232 to be Lifted From Ukrainian Steel on June 1: White House
Written by Michael Cowden
May 31, 2022
The US will lift Section 232 tariffs from Ukrainian steel imports on Wednesday, June 1, at 12:01 a.m. Eastern Time, the White House said.
The waiver from the national security duties will remain in place until at least 11:59 pm Eastern on June 1, 2023.
“In light of the ongoing security discussions and significant disruption of Ukraine’s ability to produce steel, I conclude that Ukraine’s present situation presents a special case,” President Biden said in a proclamation adjusting the duties and dated Friday, May 27.
“I have determined to suspend the tariffs … for the import of steel articles and derivative steel articles from Ukraine for one year,” he said.
{loadposition reserved_message}
Biden’s proclamation comes after the Commerce Department announced on May 9 that the Biden administration would lift Section 232 from Ukraine.
President Biden said that the move was justified because Ukraine and the US have developed “a close security relationship,” because of the Russian Federation’s “unconscionable war” against Ukraine, and because maintaining the Ukrainian steel industry will provide an “economic lifeline” as the country recovers from the war.
Biden noted that Ukraine had expressed its willingness to work with the US to combat global excess steelmaking capacity. The president also said that the move shouldn’t disrupt the domestic steel industry because imports from Ukraine accounted for less than 1% of total steel imports to the US in 2021.
Section 232 tariffs were rolled out by the Trump administration in 2018. They have been kept in place by the Biden administration, although tariff-rate quota (TRQ) agreements to ease them have since been negotiated with the European Union, Japan and the United Kingdom.
By Michael Cowden, Michael@SteelMarketUpdate.com
Michael Cowden
Read more from Michael CowdenLatest in Steel Products
Gap between US HR and offshore prices narrows on S232 reinstatement
Domestic hot-rolled (HR) coil prices moved higher this week, still largely outpacing increases seen in offshore markets. But the reinstatement of undiluted Section 232 tariffs on steel on March 12 cut the ballooning premium stateside prices had gained on most imports on a landed basis. The premium stateside tags had over prices abroad stood at […]
Nonresidential construction growth slowed in February: Dodge
The Dodge Momentum Index (DMI) saw moderate growth in February after reaching a record high the month prior, according to the latest data released by Dodge Construction Network. The February DMI rose to 225.6, a 0.7% increase from January’s downwardly revised reading of 223.9 and 27% higher than levels one year prior. “Planning momentum moderated […]
SMU Community Chat replay now available
The latest SMU Community Chat webinar reply is now available on our website to all members. After logging in at steelmarketupdate.com, visit the community tab and look under the “previous webinars” section of the dropdown menu. All past Community Chat webinars are also available under that selection. If you need help accessing the webinar replay, or if your company […]
Ten OCTG importers found guilty of duty evasion
Ten US importers are on the hook to pay two years’ worth of anti-dumping and countervailing duties that US Customs says they had tried to illegally evade.
Domestic CRC price gains still outpacing imports
US cold-rolled (CR) coil prices continued to rise this week, well ahead of offshore prices. The price spread between stateside-produced CR and imports reached a 14-month high in the week ended March 7. Steady price gains in overseas markets continue to be overshadowed by increases in domestic prices. The result? The US premium over imports […]