According to market sources, the Egyptian government has taken a step towards launching a safeguard investigation regarding hot rolled coil imports to the country. Such a measure has been discussed a long time in the market as local market players have long been pushing for it.
Based on the official document issued by the relevant authorities in Egypt, a safeguard probe will be launched against HRC imports with no specific origin mentioned or targeted at this point. “I think obviously Chinese and maybe Russian materials are the ones to be restricted since they are the cheapest origins,” a source mentioned to SteelOrbis. However, similar to the previous safeguard case on billet imports, all origins may be included.
As per the request made by the local flat steel producer, HRC imports made in the 2021-24 period are to be investigated.
As a result, in theory and over some time, Egypt may restrict access for HRC imports, which would most likely lead to price rises in the domestic market. Currently, Egypt mostly imports HRC from China, Turkey, Russia and Japan, among others.
The products subject to investigation currently fall under the codes 7208.10, 7208.25, 7208.26, 7208.27, 7208.36, 7208.37, 7208.38, 7208.39, 7208.40, 7208.51, 7208.52, 7208.53, 7208.54, 7208.90, 7211.14, 7211.19, 7225.30, 7225.40, 7226.91, 7226.99 in the Egyptian customs tariff schedule.
