Italian steel trade association Assofermet has expressed concern regarding the start of further anti-dumping proceedings on imports of stainless cold rolled products from India and Indonesia. The association believes new duties would lead to substantial market distortions.
The new scenario of production concentration in Europe is a matter of concern for all players in the value chain, Assofermet observes. The EU has already imposed anti-dumping duties on stainless hot rolled products from China, Indonesia and Taiwan, and on cold rolled imports from China and Taiwan, as well as safeguard measures. The bloc is thus escaping international competition, the association says.
“Europe will find itself completely isolated from the global market, creating a protected island where local producers will benefit from an increasingly favourable position at the expense of downstream consumers,” the association says in a note sent to Kallanish. “Should this investigation lead to the imposition of new duties, the distribution sector would be gravely impacted and the downstream manufacturing industry would lose international competitiveness.”
Further protectionist interventions would trigger unjustified price increases in the EU. This means the manufacturing sector, already damaged by the Covid-19 pandemic, would see increased raw material costs compared to international competitors.
The possibility of unfair advantages for producers would also create an unbalanced market within the European industry, since producers sell not only to distribution but also to end-users, the association warns.
New anti-dumping duties would disrupt long term partnerships and commercial relationships. This would be the case particularly with Indian suppliers who have gained market share in Europe and are now considered vital suppliers for quality and product range, Assofermet concludes.