Turkish mills submit petition for HRC AD investigation

Turkish hot-rolled coil (HRC) steelmakers submitted last week a petition for an anti-dumping (AD) investigation on Chinese, Russian and Indian HRC, Colakoglu chief executive Ugur Dalbeler told Argus.

The Turkish ministry of trade "is processing if they want to carry forward or return [the petition] — we hope they will initiate the investigation", Dalbeler added.

Imports into Turkey recorded a sharp increase as recent data from the steelmakers' association TCUD indicates that in January-July imports were up on the year by 22pc to 11mn t.

The surge was supported by the two-month suspension of the import customs tax following the February earthquake, which meant imported material could be used duty-free.

The real estate sector downturn in China contributed to surplus production of Asian steel products being offered into Turkey. TCUD recently called for more protectionist measures against imports, with a special emphasis on wire rod products.

Talks of a potential investigation on HRC imports first surfaced in late April, with Chinese material the main concern for Turkish steelmakers.

HRC imports into Turkey are already subject to customs taxes, which vary depending on the customer, as pipe producers and rerollers pay a 13pc tax, while other consumers are subject to a 15pc duty.

Most market participants welcomed the move to potentially investigate imports, as one source told Argus that new AD duties could help domestic mills to increase prices. Another market participant said the petition asked for a duty as high as 30pc, while a trader heard that TCUD may ask to increase the AD duty on South Korean material.

By Carlo Da Cas