Pakistan’s National Tariff Commission (NTC) has launched an investigation into the alleged circumvention of antidumping duties on Chinese galvanized coils and sheets imports. The investigation was launched following an application filed on June 28, 2024, by domestic flat steel producers International Steels and Aisha Steel. The producers allege that Chinese exporters are bypassing the antidumping duties through product modifications, undermining the intended effects of these duties on the quantities and prices of domestic products, according to a notice seen by MEsteel.
The NTC stated that sufficient evidence suggests Chinese exporters are circumventing the duties by slightly modifying the product through hot-dip galvanization with zinc and aluminum as the major coating elements, along with other metals in small proportions. These modified products, such as galvalume or aluzinc, are not currently subject to antidumping duties. The investigation will assess the existence, degree, and impact of the alleged circumvention and determine whether there is a need to extend the existing antidumping duties to cover these products.
The products under investigation include galvalume or aluzinc steel, classified under HS codes 7210.6110, 7210.6190, 7210.6910, and 7210.6990. Pakistan initially imposed antidumping duties on Chinese galvanized steel imports in February 2017, ranging from 6.09pct to 40.47pct for five years. These duties were extended for an additional five years in February 2022.
MEsteel understands that galvalume or aluzinc is not produced domestically in Pakistan, and local importers are expected to contest the expansion of the antidumping duties to these imports from China, arguing against the broadening of the scope. The domestic industry, however, believes that the circumvention of these duties is preventing them from realizing the intended benefits, leading to continued injury.
