Indian steel to be subjected to EU anti-dumping duties
Updated: Jul 11, 2013 11:51:30am
New Delhi, Jul 11 (KNN) An apex body of European steel makers, Eurofer is planning to initiate anti-dumping and subsidy countervailing cases against the import of stainless steel products from India, according to media reports.
India is a major exporter of stainless steel long products and galvanised sheets to Europe.
Naturally, the industry is upset and has asked the government to protest against the anti-dumping duties on their exports to the European Union.
The move comes at a time when the India-European Union free trade agreement in the process of completion had narrowed down to duty on wine and opening of the insurance sector.
Backing the cause is the economic research unit (ERU) of the steel ministry which has been vocal its support. It has warned that the EU is likely to come up with a plan of action to revive the zones steel industry.
ERU has speculated that EU’s strategy may include subsidies and tough actions to reduce or wipe out competition from imports from the developing countries. Ironically, many Indian companies, including Tata Steel operate from both Europe and India.
The situation has drawn ire, especially as the Prime Minister Manmohan Singh just a few days ago said that steps were needed to boost steel production in India which currently is less than 80 million tonnes each year. The government has ambitious plan to increase output to 280 million tonnes by 2025 at a compound annual growth rate of 13.35 per cent.
Significantly, the EU steel companies have been facing a slowdown, reeling under excess capacity of 60 million tonnes. There have been talks of nationalisation, especially in view of the fact that Arcelor Mittal plans to close two key facilities in France.
ERU has further stated that EU might be looking for retaliatory measures considering the fact that India has filed some cases against steel produced in Europe. Also, it may adopt non-tariff barriers involving environmental issues.
Indian steel products, according to reports, faced trade actions in Indonesia and Thailand.
Earlier, Eurofer had welcomed anti-dumping measures against stainless steel products from India. In a press release it said, “The European Commission has imposed provisional anti-dumping and anti-subsidy duties of up to 32.1 per cent on stainless steel drawn wire from India.”
The anti-dumping and anti-subsidy complaints were filed by EUROFER in June 2012. Dumped imports from India now represent over 19 per cent of European Union consumption of stainless steel drawn wire. At the same time they make up for more than 50 per cent of total imports into the EU. (KNN)
India is a major exporter of stainless steel long products and galvanised sheets to Europe.
Naturally, the industry is upset and has asked the government to protest against the anti-dumping duties on their exports to the European Union.
The move comes at a time when the India-European Union free trade agreement in the process of completion had narrowed down to duty on wine and opening of the insurance sector.
Backing the cause is the economic research unit (ERU) of the steel ministry which has been vocal its support. It has warned that the EU is likely to come up with a plan of action to revive the zones steel industry.
ERU has speculated that EU’s strategy may include subsidies and tough actions to reduce or wipe out competition from imports from the developing countries. Ironically, many Indian companies, including Tata Steel operate from both Europe and India.
The situation has drawn ire, especially as the Prime Minister Manmohan Singh just a few days ago said that steps were needed to boost steel production in India which currently is less than 80 million tonnes each year. The government has ambitious plan to increase output to 280 million tonnes by 2025 at a compound annual growth rate of 13.35 per cent.
Significantly, the EU steel companies have been facing a slowdown, reeling under excess capacity of 60 million tonnes. There have been talks of nationalisation, especially in view of the fact that Arcelor Mittal plans to close two key facilities in France.
ERU has further stated that EU might be looking for retaliatory measures considering the fact that India has filed some cases against steel produced in Europe. Also, it may adopt non-tariff barriers involving environmental issues.
Indian steel products, according to reports, faced trade actions in Indonesia and Thailand.
Earlier, Eurofer had welcomed anti-dumping measures against stainless steel products from India. In a press release it said, “The European Commission has imposed provisional anti-dumping and anti-subsidy duties of up to 32.1 per cent on stainless steel drawn wire from India.”
The anti-dumping and anti-subsidy complaints were filed by EUROFER in June 2012. Dumped imports from India now represent over 19 per cent of European Union consumption of stainless steel drawn wire. At the same time they make up for more than 50 per cent of total imports into the EU. (KNN)
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