During the panel session of the SteelOrbis Spring 2025 Conference & 92nd IREPAS Meeting held in Athens on April 27-29, F. D. Baysal from Seba International, the chairman of the traders committee, shared with conference participants the conclusions reached by traders regarding the current situation in certain markets, focusing on the US tariffs.
Regarding the US imposing new 25 percent tariffs on imports from the countries previously exempted from the Section 232 measures, Mr. Baysal stated that, although it seems like an advantage for the countries such as Egypt and Turkey which were already subject to 25 percent tariffs, only 18 percent of total imports into the US was from the Section 232-paying countries and 82 percent was from the exempted countries.
Adding that Turkey still faces antidumping and countervailing duties for most steel product exports to the US, he commented that, although the competition will still be a challenge for Turkey, at least Turkish exporters “will not have their hands tied behind their backs”.
He added that, despite the advantages some countries will gain, there will be no improvement in the market conditions given the economic uncertainties and the general market slowdown. Also, he said he believes that there will be no reduction in the US tariffs.
Regarding the impacts of exchange rate changes on trade, the Seba International official stated that the dollar, which is depreciating due to the uncertainty caused by the US administration’s actions, will give US scrap exporters a better advantage to compete with the EU. He noted that as raw materials are priced in dollars, the weak dollar leads to higher costs for EU producers.
Looking at the EU, he said there have been some reductions in the import quota volumes, resulting in more challenging trade conditions. Considering the increased sales of wire rod and HRC over the past quarter from the ASEAN region to the EU, Mr. Baysal noted that, even though there are some restrictions on certain ASEAN countries, the EU is now more open to those countries compared to its old traditional markets given the free trade agreements between the EU and some Southeast Asian countries.
Regarding China’s steel exports, Baysal stated that the sharp rise in the country’s long steel exports, as opposed to the decline in its flat steel exports, is due to the higher demand in developing countries with new infrastructure projects. He said he foresees no reduction in China’s exports and capacity utilization going forward.
