Turkish flat products consumers call for reconsideration of anti-dumping duties

Anti-dumping duties on flat products from China, India, Japan and the Russian Federation and high import tariffs have increased costs for consumers of these products in Turkey and are driving inflation. This opinion was expressed by Ali Eren, a board member of the Turkish Federation of Mechanical Engineering and a member of the Istanbul Chamber of Industry, Ekonomim reports.

According to him, export-oriented industries, such as pipe, household appliances, automotive, shipbuilding and mechanical engineering, which use flat products as raw materials, are experiencing certain difficulties in terms of both production and export activities. These sectors account for a quarter of Turkey’s exports.

According to Ali Eren, the country’s flat products sector, despite continued investment and capacity expansion, does not meet the expectations of other industries in terms of quality, delivery times and prices in the domestic market and cannot replace imports.

Eren pointed out that the country’s steel industry remains dependent on imports in both the semi-finished and flat products segments. In his opinion, rolled steel producers are focusing on importing slabs instead of increasing the utilization of steelmaking capacity, which currently stands at 65%. Last year, the country imported 2.8 million tons of slabs worth $1.6 billion.

In addition to the restrictions on imports of hot-rolled plates, exports of these products to the EU have also increased. A representative of the machine building association notes that this has led to a decrease in its availability in the domestic market and complicated the situation for Turkish consumers of these steel products.

High customs duties and safeguard measures, Ali Eren noted, have a serious impact on the supply chain, weaken the competitiveness of flat products consuming industries and affect the prices of finished products. He called for a review of these measures and emphasized the importance of supporting strategic instruments such as the domestic recycling regime.

As GMK Center reported earlier, in October this year, Turkey decided to impose anti-dumping duties on imports of hot-rolled steel plates originating from China, India, Japan and Russia. The duties will range from 6.10% to 43.31% of the CIF (cost, insurance and freight) value. The highest tariffs will be imposed on Chinese products, which have been recognized as the most threatening to the Turkish market. Chinese manufacturers are subject to duties ranging from 15% to 43%, while imports from Russia, India and Japan are subject to duties ranging from 6% to 9%.