The U.S. Department of Commerce struck another blow against the steel imports that have grabbed a record 29 percent market share this year, causing layoffs and mill closures nationwide.
The federal agency made a preliminary determination to hit China with antidumping tariffs of up to 255.8 percent on corrosion-resistant steel. India, Italy and South Korea also will face duties of up to 6.92 percent. Taiwan also faced a trade case but escaped any duties.
"The egregious high volume of illegal, corrosion-resistant steel dumped in the U.S. market from China was found to be so substantial that all producers in China will have a maximum duty rate that should take them out of our market,” USW International President Leo Gerard said.
"We are gratified the whopping duty on China dumping will be another needed lesson for their job-stealing violations."
Last week, the U.S. Department of Commerce also decided to impose tariffs on cold-rolled steel from China, Brazil, India and Russia. In that case, the United States is eyeing huge 227 percent duties on Chinese steelmakers to offset the government subsidies they get but American steelmakers don't.
In June, most major U.S. steelmakers filed trade cases against hot-rolled, cold-rolled and corrosion-resistant steel to address the import crisis that's been afflicting the business.
A final determination won't take place until May, but U.S. Customs and Border Protection agents have already been instructed to start collecting cash for the tariffs whenever steel comes off the boats.
It's about time, Gerard said.
"Multiple steel-producing countries are taking more than one-third of our domestic market when American steelworkers should be sharing in an improved economy," Gerard said.
"Instead, thousands of USW-represented steelworkers and iron ore miners are currently on layoff status at American idled facilities. Tens of thousands more are threatened by the steel imports tonnage still flooding into the country – especially from China."
Imported steel continues to pour into the country, said Philp Bell, president of the Steel Manufacturers Association.
"The result has been widespread economic harm to domestic steel producers, their employees, and surrounding communities," Bell said.
"With several critical decisions pending at Commerce and at the International Trade Commission, we urge U.S. officials to impose duties that will meaningfully impact unfair trade practices. Strong preliminary determinations are extremely important in these ongoing legal proceedings."