The South Korean government has decided not to extend anti-dumping duties on stainless flat-rolled steel imports from China, Indonesia, and Taiwan, opting instead for a price commitment mechanism to address concerns over low-cost imports.
Initially imposed in September 2021, the duties reached up to 25.82pct and targeted products accused of undercutting local prices. In a shift from punitive tariffs, the Ministry of Economy and Finance (MOEF) has accepted pledges from major exporters, most notably China’s Shanxi Taigang and its affiliates, TISCO Hong Kong, TISCO Trading, and Taigang Bonded & Comprehensive Service, to raise export prices.
In return, these exporters will be exempt from anti-dumping tariffs, provided they comply with agreed terms. The agreement includes setting minimum and reference prices for exports to South Korea and submitting detailed quarterly reports covering prices, volumes, and buyers. Exporters must also provide certificates of origin, inspection documents, and adhere to a non-circumvention clause preventing indirect violations.
Price thresholds will be calculated based on April 2021 figures, adjusted quarterly. If exporters fail to meet the terms, through underpricing, non-disclosure, or misreporting, the government will immediately reinstate duties.
This move is seen as a compromise to ease pressure on domestic producers while avoiding trade friction with key partners. Local media report the decision is expected to bring short-term relief to South Korean steelmakers, who have long raised concerns over market disruption caused by cheap imports.