Time to stop the illegal dumping of steel by the Chinese Government

We need to protect what is left of the U.S, steel companies because of illegal dumping by the Chinese Government and their proxy countries. The following article documents what China is doing to us and the world?

WASHINGTON (Reuters) – The U.S. Commerce Department on Tuesday slapped steep import duties on steel products from Vietnam that originated in China after finding they evaded U.S. anti-dumping and anti-subsidy orders.

The decision marked a victory for U.S.

 

steel makers, who won anti-dumping and anti-subsidy duties against Chinese steel in 2015 and 2016 only to see shipments flood in from elsewhere. The industry has argued that Chinese products are being diverted to third countries to circumvent the duties.

The Commerce Department said it would apply the same Chinese anti-dumping and anti-subsidy rates on corrosion-resistant and cold-rolled steel from Vietnam that starts out as Chinese-made hot-rolled steel.

Although the product was processed in Vietnam to be made corrosion resistant or cold-rolled for use in autos or appliances, the Commerce Department agreed with the claims of American producers that as much as 90 percent of the product’s value originated from China.

The global steel industry is struggling with a glut of excess production capacity, much of it located in China that has pushed down prices. A G20 forum last week failed to make significant progress toward a solution amid divisions between Beijing and Washington.

The Vietnamese-shipped cold-rolled steel will face combined preliminary U.S. anti-subsidy and anti-dumping duties of 531 percent, while the corrosion-resistant steel will face combined duties of 238 percent – more than high enough to shut both products out of the U.S market. Final duties are expected to be announced on Feb. 16.

The decision followed a European Union finding in November that steel shipments from Vietnam into the EU also circumvented tariffs.

The Commerce Department said that after anti-dumping duties were imposed on Chinese steel products in 2015, shipments of cold-rolled steel from Vietnam into the United States shot up to $295 million annually from $11 million.

The case stems from a petition filed in September by U.S. producers ArcelorMittal USA , Nucor Corp , AK Steel Holdings Corp and United States Steel Corp that alleged that Chinese producers began diverting their steel shipments to Vietnam “immediately” after the duties were imposed.

The industry is awaiting the Commerce Department’s recommendation from its study on whether steel imports pose a threat to U.S. national security and broad import restrictions should be imposed. Although the study has been largely completed, the recommendations have been delayed until Congress passes tax legislation.

By law, the Commerce Department’s findings are due by late January.

We need these tariff imposed on China we are not on a level playing ground. China being a communist country and wanting to embrace a capitalistic system is a ruse. Capitalism raises money through the private sector securing capital for goods needed in the market place, creating a supply and demand for steel in this case.

The Chinese subsidies their industries flooding the market with capital raised by the state. Creating more steel then is needed to drive down the cost so that they can corner the market. China is creating an unequal playing field so that they can keep their people employed  while the U, S. steel work are losing their jobs in this country.

We need a strong steel industry in this country for our security. Let face it China is not a friend they want to control the world. Look what they are doing in the South China Sea. We cannot depend on China for our steel.  If we have a conflict with China they would cut off the supply of steel if we were depended on them for it. If this was the case we are screwed. This is why we need a strong steel industry in this country for jobs and our security. It is time to stand up to China and their sabotaging of our industries.

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