Brazil’s steel institute, IABr, said on Wednesday in an email sent to SteelOrbis the claims of Abrifa, the local association of the steel importing and producing companies, are “unfounded.”
Since rebar is used in building structures, guaranteeing the security of buildings is essential and requires an obligatory certification, IABr said, adding it’s one of the few products the final consumer can buy directly.
“What IABr did was solicit authorities to check the quality of the imported rebar, according to the same proceedings to which the Brazilian rebar is submitted,” the email said.
IABr explained that from time to time samples of rebar are collected all over the country and then pass through trials for compliance purposes, no matter the product’s origin.
“Abrifa’s allegations to Cade that IABr wants to prevent rebar imports are unfounded,” the email said, adding that the association “understands that it’s not admissible [let] rebar of questionable quality put at risk the safety of the Brazilian population.”
On Tuesday Brazil’s anti-trust authority, Cade, said it was investigating IABr for alleged anti-competitive conduct.
Cade launched on Tuesday a probe over IABr to investigate alleged abuse by the association for using its petition rights with the aim to damage competing rebar importers, a practice known internationally as sham litigation.
The case started in 2011, following a request from the local association of the steel importing and producing companies, Abrifa, which accused IABr for filing lawsuits to prevent already established companies in Brazil to import rebar.