Steel users opposed to dumping duties

The Foreign Trade Department enforced the anti-dumping measure for five years from May 2003.

The countries concerned are Japan, South Africa, Russia, Kazakhstan, India, South Korea, Taiwan, Venezuela, Argentina, Ukraine, Algeria, Indonesia, Slovakia and Romania.

Sahaviriya Steel Industry wrote to the Foreign Trade Department calling for the anti-dumping measure to be extended for five years. The company claimed that if the restriction were ended, countries that produce lower-priced steel would flood the domestic market again. The Anti-dumping and Countervailing Committee, chaired by Commerce Minister Mingkwan Sangsuwan, today will reconsider Sahaviriya's request.

However, Katiya Greigarn, chairman of the Electrical Electronics and Allied Industry Club, said it objected to extending the anti-dumping restriction because it would affect local processors of steel.

"Presently, it is not necessary to continue with anti-dumping measures because world steel prices are high. Therefore, no countries need to dump steel," he said.

The club has also written to the department laying out its objections to continuing the import ban.

Katiya said the ban was adversely affecting steel users, particularly in the automobile, machinery, and electrical and electronics sectors.

Kietpong Noichaiboon, CEO of Ekarat Engineering, said authorities should take into consideration the effect the ban had on the more than 10,000 companies that needed steel as their raw material.

"There is no reason to distort the market," he said.

"If this measure remains in place, then our production costs will be higher than they should be. Moreover, it makes it more difficult for small-and medium-sized operators to manage their operating costs."

The Steel Pipe Association and the Thai Contractors Association also recently discussed the impact of extending the anti-dumping measure.

A source said most members had agreed the Foreign Trade Department should not acquiesce to Sahaviriya's request.