Canada Border Service Agency (CBSA) has determined that Russia and India have been unfairly dumping steel in Canada.
A Dec. 9 Essar Steel Algoma news releases said CBSA has determined that certain hot-rolled steel plant and low-alloy plate had originated or were exported from the Republic of India and the Russian Federation. The investigation was sparked by a complaint from the Sault Ste. Marie steel producer.
Steel dumping is an international predatory pricing trade practice where foreign producers export to another country at a price below the cost of production or below the price charged in their domestic market.
Essar Steel Algoma blames unfairly priced steel imports as a reason for the Sault Ste. Marie steel company seeking creditor protection.
The Canadian International Trade Tribunal will determine if these imported steel products were injurious to the domestic steel industry. A decision is expected on Jan. 6.
If there is a finding of injury, Essar said anti-dumping duties would apply at a rate of 98.1 per cent with the exception of Severstal of Russia, which would apply at a rate of 15.3 per cent. Imports from India will also be subject to a countervailing duty rate of 7,844 Indian rupees per tonne.
“Enforcing fair trade in Canada’s domestic steel market is more critical than ever given current market conditions,” said Essar Steel Algoma President and CEO Kalyan Ghosh in a release. “The determinations imposed by the CBSA represent a victory for all Canadian steel producers. It signals clearly that our government will not allow other countries to distort our markets by dumping steel.”
