STEEL MARKET OUTLOOK: Are HDG imports next on EU’s trade case agenda?

Following action on imports of hot rolled coil (HRC) and cold rolled coil (CRC), Metal Bulletin Research (MBR) asks whether the European Commission will target imports of galvanized steel next.

Trade action on primarily hot dipped galvanized (HDG) material is likely. But how effective would any import restrictions be? In recent weeks, talk of a request from European steelmakers being put to the EC to investigate HDG imports has grown. And the data would appear to support the European steelmakers.  Source: ISSB, MBR EU imports of HDG from non-EU sources during the first half of 2016 increased by around 80% compared with the same period last year. As the chart shows, most of this upswing can be attributed to an increase in arrivals from China. The standard belief is that if trade protection had prevented such influx, Europe’s coated steelmakers would have enjoyed higher prices for galvanized material. On this argument, however, the evidence is mixed. Certainly, prices on most flat rolled steel products in Europe have increased in recent months. And this follows the implementation of definitive anti-dumping measures on imports of CRC...

Published

Metal Bulletin Research

October 25, 2016

15:31 GMT

London