Tax shield from the US: Turkey will also be affected

The US Department of Commerce announced in a statement that existing measures will continue following investigations into corrosion-resistant steel products. The decision covers products originating from Australia, Brazil, Canada, Mexico, the Netherlands, South Africa, Taiwan, Turkey, the United Arab Emirates, and Vietnam.

A total of 2.9 billion dollars in steel imports will be directly affected by this decision.

DOMESTIC PRODUCERS TO BE PROTECTED

The Washington administration aims to protect domestic steel producers from unfair competition with this regulation. US authorities argue that the entry of cheap products through dumping practices and government subsidies is putting pressure on the domestic market.

THE MEANING OF ANTI-DUMPING AND COUNTERVAILING DUTIES

Anti-dumping duty: Selling a good at a price below its price in the domestic market of the country where it is produced is defined as "dumping." If this situation harms domestic producers, an anti-dumping duty is imposed.

Countervailing duty: If a government subsidy is detected in a product subject to export, a countervailing duty is applied to prevent unfair competition.

TURKEY'S EXPORTS WILL ALSO BE AFFECTED

The decision will increase the cost of steel exports from Turkey to the US. Sector representatives state that this practice could weaken Turkey's competitive power in the foreign market.

News Source: 12punto