The U.S. is certainly slapping large taxes on steel imports from Vietnam, stating China is using the country in an effort to dodge earlier penalties.
Specific steel products Vietnam is certainly reselling to the U.S. are being produced from Chinese resources, the U.S. Division of Commerce stated in a affirmation late Tuesday.
American steelmakers complained last year that Chinese companies were avoiding big tariffs by diverting products to Vietnam for “small processing” before they were shipped to the U.S.
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The Commerce Department used the case in November. It strike Vietnam on Tuesday with duties greater than 500% on cold-rolled steel that’s predicated on Chinese resources and over 200% on corrosion-resistant steel with similar origins.
Steel has for a long time been a major point of trade friction between the U.S. and China, the world’s biggest maker of the metal.
American and European steelmakers have accused China of dumping its unnecessary metal on other markets, pushing straight down prices, forcing rivals to close their plants and killing a large number of jobs.
Beijing has defended itself, telling overcapacity is a global problem due to weaker demand.
The Chinese and Vietnamese governments didn’t immediately react to requests for comment Wednesday.
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Last month, a European Union agency reported it had also found that Chinese steel had been rerouted through Vietnam to evade tariffs, in respect to Reuters.
President Trump features criticized China in the past over steel, accusing it again of cheating on prices. But his administration hasn’t but announced the benefits of another investigation into whether shipments of steel from other countries pose a risk to nationwide security.
Commerce Secretary Wilbur Ross had said his workforce would announce its findings, which could bring about big tariffs, by the end of June. But Trump told The Wall Street Journal in July that he wanted to tackle several other big goals, including passing tax cuts, before he came back to the investigation.
The U.S. Commerce Division stated Tuesday that it would make its last ruling on the Vietnam steel case in February.