US applies extra steel import tax from Turkey, Mexico
Business |
Unfair pricing which threatens U.S. domestic industry brings additional taxes to Turkish and Mexican companies.
U.S. Department of Commerce began applying additional taxes to steel reinforcing bar imports from Turkey and Mexico, citing that both countries unfairly cut the cost below the manufacturing price. Upon a request by some steel producers in the U.S., an investigation was launched, and the International Trade Administration bureau ruled on 21 April that steel producers in Turkey and Mexico exports these goods to the U.S. well below the manufacturing cost, which threatens the domestic industry in the U.S.
The allegations by the steel producers involve a system of dumping, known as pricing below the cost in the steel rebars which are used in various buildings to reinforce concrete. The bureau concluded that applied dumping to the steel products range between 10.66 percent to 66.67 percent below the U.S. market industry's cost for Mexican companies and roughly 2.64 percent for Turkish companies.
However, U.S. customs have the right to charge taxes to the Turkish and Mexican importers within 90 days according to the severity of the situation.
The ruling of the bureau on 21 April constitutes the first phase of the investigation. The last decision is expected to be declared in the middle of July.
Turkey is one of the major steel exporters to the U.S. In the last two years, steel product imports from Turkey rose to $381 million - a 168 percent increase.
The allegations by the steel producers involve a system of dumping, known as pricing below the cost in the steel rebars which are used in various buildings to reinforce concrete. The bureau concluded that applied dumping to the steel products range between 10.66 percent to 66.67 percent below the U.S. market industry's cost for Mexican companies and roughly 2.64 percent for Turkish companies.
However, U.S. customs have the right to charge taxes to the Turkish and Mexican importers within 90 days according to the severity of the situation.
The ruling of the bureau on 21 April constitutes the first phase of the investigation. The last decision is expected to be declared in the middle of July.
Turkey is one of the major steel exporters to the U.S. In the last two years, steel product imports from Turkey rose to $381 million - a 168 percent increase.
