China Materials_ Korea Imposes 28-38% Tariff on Chinese Steel Plates

Summary of Conference Call Notes Industry Overview - Industry: Steel Industry in China - Key Event: Korea's Ministry of Trade, Industry and Energy (MOTIE) announced preliminary anti-dumping duties of 27.91%-38.02% on steel plates imported from China [1][4] Core Insights - Tariff Impact: The tariff on steel plates is considered not material as exports to Korea (~1.47 million tons in 2024) represent only ~1.3% of total Chinese steel exports. However, Korea is a significant market for China, accounting for 8.2 million tons of total steel exports in 2024, which is 7.4% of China's total steel exports [2][4] - Potential Expansion: The anti-dumping investigation may extend to other steel products, particularly hot-rolled coils (HRCs) imported from China [2] - Export Trends: Due to weaker domestic demand, China's steel exports have significantly increased over the past two years, leading to over 70 anti-dumping investigations against Chinese steel in 2024. It is projected that China's steel exports could decline by 15-20 million tons year-over-year in 2025, with production potentially reduced by 2-3% [3] Additional Important Points - Market Dynamics: The increase in anti-dumping measures is influenced by both U.S. tariffs and China's own steel reform initiatives [3] - Analyst Perspective: The overall view on the Greater China materials sector remains attractive, indicating potential investment opportunities despite the challenges posed by tariffs and investigations [5] This summary encapsulates the key points from the conference call regarding the steel industry in China, focusing on the implications of the new tariffs and the broader market context.