The recent imposition of provisional antidumping measures on EU imports of Grain-Oriented Electrical Steel (GOES) has triggered public reactions from stakeholders questioning the justification ground for the Commission’s decision. These reactions opposing such measures cover a variety of allegations notably the risk of short supply in volume or quality ranges, the effect of prices increases, the threat of massive job losses in the Electrical Transformer industry which uses GOES and the negative impact on the Union’s EcoDesign Regulation. Fundamentally, some are stressing that any benefit of duties for the EU GOES producers is outweighed by the loss of cost competitiveness suffered by increased GOES prices to be paid by the EU Electrical Transformer industry. None of these allegations has been substantiated.
EUROFER recalls the very basic facts and principles as developed in the Commission’s decision imposing provisional measures:
The EU GOES industry can offer the full range of products required to produce transformers within the EU, including GOES having a core loss of ≤ 0,90 W/kg.
It is imperative that appropriate antidumping measures remain in place: recent moderate EU GOES price increases have not eliminated the volumes of material within the market causing injurious dumping or rendered antidumping measures unnecessary; the market would continue to be vulnerable to dumping in the absence of appropriate antidumping measures.
The long-term stability and health of the EU transformer and the GOES industries are linked. The international competitiveness of the EU transformer industry would be severely at risk if the dumping of GOES on the EU market was not corrected: in such a situation, the EU GOES industry would be eliminated in the long run and the EU transformer industry would become dependent on GOES imports facing prices rising much more in the absence of domestic European GOES competition. This would, in turn, jeopardize the sustainable attainment of the development of the EU’s EcoDesign Regulation (EU electricity efficiency objectives)
Karl Tachelet, Director International Affairs, +32 2 738 79 49 (email@example.com)