The national industry continues to finalize the implementation of adjustments aimed at improving its competitiveness.
Investigation : The Ministry of Industry and Trade has launched a review investigation with a view to a possible further extension of the safeguard measure applied to imports of iron or steel tubes and pipes. Requested by the national industry, this procedure aims to assess whether maintaining the additional duty remains necessary to protect an industry still considered fragile in the face of competition from imports and allow it to complete its efforts to improve competitiveness.
An investigation is now open to re-examine the extension of the safeguard measure applied to imports of iron or steel tubes and pipes. Authorized by the Minister of Industry and Commerce at the request of the national industry producing iron or steel tubes and pipes, this investigation concerns, in fact, the safeguard measure applied from November 6, 2020 until November 5, 2023 in the form of an additional duty of around 25% applicable for a period of 3 years. This additional duty was reduced by 1 percentage point per year during the period of its application.
“The initial safeguard measure was applied by the joint order of the Minister of Industry, Trade and the Green and Digital Economy and the Minister of the Economy and Finance No. 2413.20 of September 19, 20201,” recalls the Ministry of Industry and Trade in its opinion. And to specify: “This measure was extended on December 14, 2023 for a period of 3 additional years in the form of an additional duty of around 22%. This additional duty is reduced by 1 percentage point per year during the period of its application.
The applicants identify three reasons justifying the request for extension of the measure in force. For domestic production, the serious damage caused by imports of the product concerned is starting to dissipate but is not fully repaired. “Indeed, the situation of the national industry since the imposition of the safeguard measure remains eminently fragile and the said industry is still not able to face the competitive pressure from imports,” we learn. The national industry continues to finalize the implementation of adjustments aimed at improving its competitiveness.
It also considers that in the absence of safeguard measures, import pressure could increase, due to the increase in global production capacity for steel products and the introduction by several countries of trade defense measures in order to protect their national industries. Thus, the review investigation for extension of the measure in force will make it possible to determine whether the safeguard measure continues to be necessary to repair or prevent serious damage; and whether there is evidence that the domestic industry is making adjustments to improve its competitiveness. It should be remembered that the request for review is presented under Article 69 of Law No. 15-09 under which the national industry requests a further extension of the duration of application of the safeguard measure in force on imports of tubes and pipes.
