On August 4, the Ukrainian authorities issued a notification regarding the application of the final antidumping duty rates on imports of coated products from China. The investigation, which covered the period from January 1, 2017, to December 31, 2020, involves flat steel products according to codes 7210 70, 7210 90 and 7212 40.
The investigation showed that imports of coated steel from China to Ukraine had been done at dumping prices and the fact of damage to the local supplier was confirmed. Particularly, the manufacturer’s capacity utilization rate decreased by 1.9 percent, while its production costs increased by 13.9 percent and its liquidity declined by 85.4 percent. The market share of the dumped imports during the period, varied from 51 percent to 61 percent, which was considered to be a significant level. The dumping margin was calculated at the level of 51.18 percent for ex-China products.
The announcement stated that China’s significant export potential may in the future lead to a dangerous rise in imports to Ukraine, while sales were conducted at prices lower than those in China within the mentioned period.
The announced measure is likely to terminate the imports of the mentioned products from China to Ukraine, which will support local production, especially in view of the expected rise in consumption in the anticipated post-war period. At the same time, Ukraine may face intensified imports of coated steel from nearby countries, particularly from Turkey and some European countries. The measure comes in force 30 days from the date of publication.
The announced duty rates on coated steel imports from China to Ukraine are as follows:
|
Producer |
AD rate (%) |
|
Zhejiang Huada New Materials CO., LTD |
42.53 |
|
Shandong Hwafone New Materials CO., LTD |
30.76 |
|
Shandong Iron & Steel Group Jiangsu Trading Co. |
30.76 |
|
ShandonG Huijing Color Steel CO., LTD |
48.14 |
|
Ebic Supply Chain Management CO., LTD |
40.53 |
|
Shandong Lantian New Material Technology CO., LTD |
41.36 |
|
Shandong Castle International Trade Co., Ltd |
41.36 |
|
Areast Steel International Limited |
38.7 |
|
Qingdao Honesteel Metal CO., LTD |
38.7 |
|
Qingdao Jobofone International Trade CO., LTD |
38.7 |
|
Other producers and exporters from China |
48.14 |
According to GMK Center, in January-April this year Ukraine imported 232,400 mt of flat products, up 2.4-fold year on year. Imports of non-alloy coated flat steel of widths of 600 mm and higher in the same period reached 50.3 percent of total imports. In 2022 overall, Ukraine’s total imports of flat steel decreased by 32.8 percent to 472,000 mt.