Turkey imposes tariffs on steel imports from China, Russia, India, Japan

Turkey has imposed anti-dumping duties on certain steel imports from China, Russia, India, and Japan, according to an announcement in the Official Gazette. The highest tariffs were placed on Chinese imports, leading to a surge in the stock prices of flat steel producers in the country.

Friday October 11 2024 10:19 pm

Reuters

Turkey imposed anti-dumping duties on some steel imports from China, Russia, India and Japan, an Official Gazette announcement said on Oct. 11, with the highest tariffs on Chinese imports, boosting stocks of flat steel producers.

The duties affect some 4 million tons of product imports with a value of some $2-2.2 billion, Turkish Steel Producers Association (TCUD) Secretary General Veysel Yayan told Reuters.

The duties range from 6.10% to 43.31% of cost, insurance and freight prices in a move aimed at preventing unfair competition after appeals by domestic producers, the announcement said.

Ankara's decision comes amid rising trade tensions between China and the European Union over tariffs on electric vehicles, brandy and other goods, and follows China's complaint to the World Trade Organization on import duties imposed on Chinese EVs entering Turkey.

An investigation into hot rolled steel imports following domestic producers' appeals showed that the alleged dumping of steel threatened to damage domestic production, said the Official Gazette, a state journal that publishes new legislation and other announcements.

Shares in Turkish steel producer Erdemir EREGL.IS rose as much as 2.48% after the announcement, trading up 2.11% at 0900 GMT. Isdemir ISDMR.IS was up 2.2%.

"We view this development as positive for hot-rolled flat steel producers, particularly Isdemir and Erdemir," brokerage Deniz Yatirim said in a note, adding that it could have a supportive effect on sentiment for stocks in other sectors.

TCUD's Yayan said he expected the capacity utilization rates of domestic producers to increase after the imposition of the anti-dumping duty on hot-rolled flat steel imports.

Duties imposed on imports from China range from around 15% to 43%, and tariffs imposed on imports from Russia, India and Japan range from 6% to 9%, according to the decision.