Turkey increased import duties on a number of steel products, according to the Import Regime Decree published in the country’s Official Gazette. The new duties will be valid from April 18 to July 15 2020.
The Turkish government said it was raising these duties to support the steel industry and increase local production, consumption, and employment in times of economic challenges related to the COVID-19 pandemic. The European Union and countries having a free trade agreement with Turkey are exempted from these duties.
The following duties will be charged under the new regulations:
|Steel Product Category||Revised Duty||Old Duty|
|HS code 7207 (mainly steel billet)||17%||12%|
|HS code 7208 (mainly hot-rolled coils)||14%||9%|
|HS code 7209 (mainly cold-rolled coils)||15%||10%|
|HS code 7210 (mainly coated flat products)||20%||15%|
|HS code 7216 (mainly non-alloy sections)||22%||17%|
However, as an exception, cold-rolled coil producers and welded pipe producers will pay an 8pc duty for hot-rolled coils instead of 6pc previously, while white goods producers will pay 9pc duty, instead of 7pc.
Some market participants believe that new duties may support local steel production in Turkey, but others think that nothing will change as the inward processing regime remains valid and no duties are applied in those cases.