Thailand grants quotas of hot rolled imports for cold rolling mills
As a result of the settlement of disputes between the local hot rolled steel producers leaded by Sahaviriya Steel Industries and Japanese based cold rolling mills operating facilities in Thailand, namely Siam United Steel (SUS) and Thai Cold Rolled Steel Sheet (TCR), the Thai government approved the exemption of certain special hot rolled steel sheet imports from the anti-dumping duties implemented in May this year. Back in July Thailand's Ministry of Commerce ruled that Thai cold rollers will have to purchase at least 55% of their raw material from the domestic producers. This proportion will gradually increase each year, i.e. the cold rollers will have to buy 63% of their raw material from the local market in 2004, 73% in 2005, 91% in 2006 and 99% in 2007. This would mean that in the first year quotas will allow 45% of imports. From then on, the quota limits will be reduced every year, to 37% from July 2004, 23% from July 2005, 8% from 2006 and 1% from 2007. According to an announcement by an official from the government last week, Thai government has now confirmed quotas for hot rolled steel sheet imports levied with antidumping duties. Imports falling within these quotas will not be subject to anti-dumping duties for the coming five years. However, official information is still to be published in the official journal in Thailand.