The Australian Steel Institute (ASI) is urging state and federal government support for local steel fabricators and manufacturers as they face severe impacts from a surge in cheap imports. A July 2024 ASI survey revealed that 86pct of local steel businesses have experienced profit margin reductions of 15-50pct due to these imports, which are suspected to be subsidized or dumped in violation of international trade rules.
ASI chief executive Mark Cain reported significant challenges, including reduced margins, lower volumes, and higher costs. Nearly half of the businesses surveyed are restructuring to survive, with 80pct operating below 80pct capacity, often the breakeven point, and some at under 50pct capacity, leading to layoffs and substantial local job losses.
The ASI is working with governments to address these issues and provide relief to affected members. A New South Wales-based steel fabricator estimated that nearly USD 300 mln worth of steel has been imported into Sydney over the past 18 months, adversely affecting local jobs and businesses. The ASI is also tracking several anti-dumping investigations that will provide further insights in the coming months.
The ASI, representing 500 companies and 5,000 members, is the industry body for the Australian steel sector.
