SEOUL - South Korea has decided to provisionally impose tariffs of up to 38% on Chinese steel plate imports after an investigation into alleged dumping of the product used in shipbuilding and construction.
The move announced by the industry ministry on Thursday comes after South Korean authorities initiated an investigation into dumping by Chinese steel suppliers after local companies had filed complaints about an influx of low-cost steel plates from China, the world’s biggest steel producer.
The ministry said preliminary investigation results showed that there were “sufficient grounds” to suspect substantive damage to the domestic industry from dumped imports.
“In order to prevent damage that may occur during the full-fledged investigation period, we have decided to recommend the imposition of provisional anti-dumping duties of 27.9% to 38% to the finance minister,” it said in a statement.
China’s ministry of commerce did not immediately respond to a request for comment.
In 2024, South Korea imported $10.4 billion worth of steel products from China, accounting for 49% of its total steel imports.
Earlier on Thursday, shares of Hyundai Steel closed the session up 5.8% and Posco Holdings jumped 3.9% on expectations of the announcement, while the broader Kospi share market fell 0.7%.
The scrutiny of steel imports also comes as South Korea is bracing for the impact on the domestic industry of US President Donald Trump’s 25% US tariffs on steel and aluminium imports.
South Korean Trade Minister Cheong In-kyo said last week that the US tariffs due to come into force in March would reduce US steel demand and erode steel exporters’ profitability.