Australian Customs Starts Price Dumping Study Of Asian Steel

Australian Customs Starts Price Dumping Study Of Asian Steel.
Staff Reporters
MetalSource Steel

SYDNEY (Dow Jones)--Exports of structural steel from five Asian countries will be the target of a price dumping investigation by Australia's Customs & Border Protection Service after a complaint from the country's second-largest steelmaker, OneSteel Ltd. (OST.AU). In a public notice published Monday, Customs said that exports of products known as hollow structural sections from China, Korea, Malaysia, Taiwan, and Thailand would be the subject of the study.
"The application (from OneSteel) alleges that the goods have been exported to Australia at prices less than their normal value and that, in the case of China, countervailable subsidies have been received in respect of the goods," according to the notice. This could open the door to direct Australian subsidies for steel producers to counteract the alleged Chinese government support.

Australia's steel industry has been hard hit by rising raw materials prices and the strength of the Australian dollar. OneSteel and its larger rival BlueScope Steel Ltd. (BSL.AU) announced 1,400 jobs at results last month, with BlueScope promising to shutter one of its two blast furnaces and close down its export arm.
Unions and industry leaders have previously called on the government to look at trade measures to help the local industry, with BlueScope Chairman and Reserve Bank of Australia board member Graham Kraehe saying that some construction projects had specifically favoured overseas product in initial design specifications.