EU, `Impose up to 30 Pct. Steel Tariff`

Responding to the safe guard of the U.S. steel market in effective from 20th, EU decided to impose up to 30 percent steel tariff from April temporarily. A EU official said that “the brief contents of EU safe guide would be released by 22nd. He explained that it would be a uniform imposition of up to 30 percent tariff rather than applying the tariff rate discriminately according to the items and it will be in effective at least 6 months.”

However, EU Commission Spokesman Anthony Cooch explained, “this is not a retaliatory measure. It simply aims to block the steel products of Korea, Japan, and China that were also struck by the U.S. safe guard from surging into the Europe.”

EU imported 26.6 million tons of steel last year, which is 25.4 percent increased compared to the previous year. EU exported 6 million tons of steel cost 4.5 billion dollars to the U.S. last year, taking 28 percent of the total U.S. steel import.

The U.S. and EU are on the process of bilateral negotiation in terms of the WTP procedure. If the case is not resolved in 60 days through negotiations, WTO will found a Dispute Settlement Panel.

Jei-Gyoon Park phark@donga.com