Steel Mills
US Steel Mills Mulling Challenge to Russian HRC Imports
Written by Sandy Williams
June 18, 2014
The US steel industry is contemplating challenging a trade agreement with Russia that governs imports of hot rolled steel from Russia. A suspension agreement currently exempts Russian steelmakers from antidumping duties by setting a cap and minimum price on HRC imports.
According to a Reuters article on Tuesday, US steel companies say the hot rolled coil pricing is set too low and are considering urging the Administration to drop or adjust the exemptions.
Russian import of HRC increased 162 percent in the first three months of 2014 compared to the previous three month period.
“Given the volume of imports coming in, the industry is actively exploring its options to terminate or modify the agreement,” an attorney familiar with the Russian case said in the Reuters article. “We are in the process of preparing a filing for the U.S. government.”
A revision or termination of the agreement would benefit domestic steel companies like US Steel, Nucor and AK Steel.
The original 1999 agreement was made following an influx of Russian steel imports after the Cold War. It can be terminated with 60 days notice, or modified by negotiation.
The agreement was renegotiated two years ago increasing the minimum price for HRC imports. The current references prices range from $554.61 per ton to 709.90 per ton
Antidumping duties would be applied immediately should the agreement be terminated. Russian steelmaker Severstal, which is currently looking for buyers for its US-based mills, would face antidumping duties of 73.59 percent on its exports to the US. Other Russian steelmakers could face duties of 184.56 percent.
The challenge comes in the midst of tensions with Russia over the Ukraine conflict as well as a host of trade disputes with other global steelmakers.
US Steel and Nucor had no comment at this time.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
Algoma Aims To Ramp Plate Production by Year End
Algoma Steel Inc. plans to ramp up production at its modernized plate mill toward the end of the year. Operations Update The Canadian sheet and plate producer said it in the meantime continues hot commissioning at the upgraded facility and has begun cold commissioning as well. The company said it has also run trials through […]
Nucor Maintains Plate Prices
Nucor Corp. will keep plate prices unchanged with the opening of its November order book.
Sheet Lead Times Mixed, Plate Plummets
While lead times for sheet again had mixed movements this week, those for plate collapsed, according to SMU’s most recent market survey.
Nucor to Partner With Fusion Company To Power US Mill
Nucor has announced a collaboration with fusion power company Helion to develop a 500-megawatt nuclear fusion power plant.
USW Taps McCall as New President After Conway’s Passing
The United Steelworkers International (USW) executive board on Tuesday appointed David McCall as the union’s new international president. He will fill the remainder of Tom Conway’s term.