US Steel Imports from Korea Recorded Robust Two-Digit Growth

SEATTLE (Scrap Monster): The Korean International Trade Association (KITA) has released the steel export statistics by the country during the initial eleven-month period of 2017. Despite sanctions imposed by the US administration on imports from several Asian countries including South Korea, the country’s steel shipments to the US recorded sharp rise during this period. The South Korean steel shipments to the US surged higher by nearly 18% when compared with the previous year.

According to KITA statistics, the shipment of steel goods by the country to the US was valued at $3.4 billion in Jan-Nov ’17, significantly higher by 17.7% over the previous year. The shipments had totaled only $2.89 billion during the first eleven months in 2016.

The jump in steel exports to the US is in the midst of strict trade actions imposed by the US administration on dumping of steel products from other countries. Recently, the US administration had announced its decision to invoke Section 232 of the Trade Expansion Act, which allows imposition of emergency trade sanctions on ‘national security’ grounds. Additionally, the US Department of Commerce (DOC) is about to release the outcome of the probe ordered in April last year to determine whether rise in steel imports posed any threat to national security. It must be noted that the DOC had imposed additional duties on imports of Oil Country Tubular Goods (OCTG) from eight world countries including South Korea during end-2017.

Meantime, South Korean Trade Minister noted that the country will continue to fight any unfair trade restrictions imposed on trade of steel products by foreign countries. Incidentally, South Korea had won a trade case against the US at the World Trade Organization (WTO) on hefty duties that were imposed on imported steel pipes from South Korea.

In terms of number of finished steel import permit applications, South Korea continued to be on top spot even in the month of November this year. The permit applications by the country totaled 216,000 net tons during the month. Also, the import permits from South Korea has increased marginally by 0.6% during the first eleven months of 2017. The overall import permits dropped by nearly 9% month-on-month in November 2017.