Turkish Union of Chambers and Commodity Exchanges (TOBB) President Veysel Yayan said Turkey is being threatened by China with various countries taking preventive measures against exports of steel and iron from China through damping and compensatory duties and in product groups not included in these measures.
According to Anadolu Agency, the Iron and Non-Iron Metal Sector Assembly is meeting to discuss problems in the iron and steel industry, especially those caused by Chinese exports. Yayan said that due to the measures and duties applied against China, Chinese exporters are now targeting countries without such measures. Anti-damping cases are filed, especially for flat products, including those importers from China, and Yayan highlighted that Chinese exports to Turkey are increasing tenfold more than its exports to other countries.
Due to steel with damping and promotions from China, Turkey's steel production and exports have been decreasing, and after 15 years, Turkey has become a net importer of steel products, and the rate of imports meeting exports has decreased from 160 percent to 96 percent.
Yayan, who also acts as the general secretary of the Turkish Steel Manufacturers Union, stated that China's steel production capacity has increased by 172 percent in the last 10 years, while Turkey still continues to be one of the biggest steel manufacturers in the ninth position.
However, while Turkey's raw steel production saw the fastest increase in 2010-2011, the increase started slowing down as of 2013 and decreased to 8 percent in 2015. Yayan underlined that this decrease is caused by high import rates, as capacity use rates drop as imported goods replace locally manufactured products.
A member of TOBB's Board of Directors, Faik Yavuz, who also attended the meeting, added that production was suspended at one of the largest names in the sector and reports in the media have caused the sector's customers, suppliers, investors and banks to start worrying. "This information pollution needs to be brought to an end," added Yavuz.
Other representatives of the sector said that this was an individual case and that the sector should not be considered to be in trouble. Further, the problems with the inward processing regime were also discussed at the meeting, and it was highlighted that trade policies against unfair competition developed and the production at companies that have completed their undertakings under this regime and work in line with the rules should not be hindered.
Source: www.dailysabah.com