Australia and Thailand are set to sign free trade agreement

Australia and Thailand are set to sign free trade agreement

Australia and Thailand plan to increase steel and ferrous scrap trade through a free trade agreement at the end of this year, according to executive director of the Australian Steel Association mentioned. Both countries will actually benefit from the steel free trade agreement. Australia would import Thai steel products such as bar, structural sections and gas and water pipes while Thailand will in return buy steel scrap from Australia. Thailand is currently far behind than other Asian countries that supply to Australian market for steel products. Japan is the largest importer with over 40% of the total 1.6 million tons of finished steel that Australia imported within the year to March 2003 and the market share of Japan for steel products is still growing up. South Korea and New Zealand supply less than 15% of Australia's growing import market. These two countries have reduced the amount of steel shipped to Australia by 5% to 10% during past four years, especially, for uncoated non-alloy flat products. The North Asian mills become major suppliers of steel products and would be affected by the China's new quota to be released by 24 of May.