S. Korea to impose 38% anti-dumping duties on Chinese hot-rolled carbon steel plates, mixed industry reactions

Authorities have proposed up to 38 percent in anti-dumping tariffs on Chinese thick steel plates, following an investigation into their impact on the local market.

Our Kim Jung-sil has more.

"Hot-rolled carbon steel plates" are thick sheets of steel primarily used in shipbuilding and construction.

Last year, South Korea imported 1-point-38 million tons of it from China—three times the amount in 2021.

This surge is attributed to China's struggling real estate market, which has pushed excess steel into overseas markets.

In response, Hyundai Steel filed a complaint accusing Chinese producers of dumping the plates at unfairly low prices, harming South Korea's domestic industry.

After an investigation, the Trade Commission proposed anti-dumping duties of up to 38 percent on Chinese hot-rolled carbon steel plates.

The Ministry of Economy and Finance is expected to make the final call within a month.

"With the tariff increase, industries such as shipbuilding and construction that rely on hot-rolled carbon steel plates will face more pressure due to rising raw material costs."

While some view this as protectionism, experts emphasize the measure does not target a specific country.

"This anti-dumping measure is not aimed at a specific country, but rather targets specific companies that have engaged in unfair practices, and when these practices lead to harm to the domestic industry, this is a legal remedy to address the damage."

Many in the steel sector support the measure, with one official stating that the tariffs are essential to protect domestic production from unfair competition.

However, the shipbuilding industry has raised concerns, with one official noting that higher steel prices will reduce profit margins and ship orders, ultimately harming the industry.

Meanwhile, the government is set to begin anti-dumping investigations on Chinese and Japanese hot-rolled steel plates.

Kim Jung-sil, Arirang News.