Colombia Imposes Anti-Dumping Duties on Chinese Galvanized and Galvalume Steel
In a landmark decision on January 22, 2025, the Colombian Ministry of Commerce, Industry and Tourism confirmed its final determination on the anti-dumping measure against galvanized and galvalume steel products imported from China. The decision comes after a detailed investigation into the impact of Chinese steel imports on the Colombian market, with the conclusion that such imports were being sold at unfairly low prices, potentially harming the domestic steel industry.
Anti-Dumping Duties Imposed
As part of its final ruling, Colombia has decided to impose anti-dumping duties based on the Free on Board (FOB) value of the products. The duties will vary according to the type and specification of the steel products involved:
1. Galvanized and Galvalume Smooth Sheets:
o These products, with thicknesses equal to or less than 2.5 millimeters, and falling under specific tariff subheadings (7210.49.00.00, 7210.61.00.00, 7210.69.00.00, 7225.92.00.90, and 7225.99.00.90), will be subjected to an ad valorem duty of 41.74%.
2. Galvanized and Galvalume Corrugated Sheets and Coils:
o These products, categorized under tariff subheadings 7210.41.00.00 and 7210.61.00.00, will face a much higher duty rate of 94.64%. The corrugated steel sheets and coils are integral to the construction and manufacturing industries, where they are used extensively for roofing and wall cladding.
These duties are designed to correct the market distortions caused by dumping, which refers to the practice of selling goods at less than fair market value. The government argues that such practices lead to unfair competition, harming domestic producers and impeding the growth of local industries.
Duration and Implementation
The anti-dumping duties will come into effect immediately upon the publication of the measure in the Official Journal of Colombia. These duties will remain in place for a period of five years, during which time the Colombian government will closely monitor the impact on both the domestic steel industry and the market dynamics of steel products.
The five-year period aligns with the typical duration for anti-dumping duties imposed under international trade law. After this period, the government may review and potentially renew the measure based on any new evidence or changes in market conditions.
