Question NW3571 to the Minister of Economic Development
20 October 2015 - NW3571
Cardo, Dr MJ to ask the Minister of Economic Development
Did the International Trade Administration Commission consult with downstream operators in the steel industry before recently recommending the imposition of a 10% percent import tariff; if not, why not; if so, (a) with which operators did it consult and (b) what views did the operators express?
Reply:
ITAC published a notice in the Government Gazette on 19 December 2014, requesting public comments on proposed duty increases on specified steel products, following receipt of an application by steel-makers, who cited global and domestic steel-market conditions.
It received written submissions from companies in the sector.
In all, 30 companies provided written submissions. ITAC consulted with representatives of 19 downstream companies as well as with a business association representing the views of automotive customer companies. The downstream producers were also provided with an opportunity to make oral representations on 20 May 2015.
The companies in the downstream industries generally did not favour tariff increases to protect upstream producers, citing the impact it will have on their businesses and noting challenges with the price, quality and availability of product from local steel-makers.
In addition to the two applicant companies who requested a tariff increase, ten other companies supported the increase in duties.
ITAC took account of the views of all the parties as well as of the global circumstances and pressures in the domestic market, in its consideration of the request for tariff-increases made by the steel-makers.
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