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Ukraine protects the interests of Ukrainian metallurgists within the framework of a security investigation in the EU

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In general, the subject matter of the investigation includes 28 kinds of metallurgical products, up to 23 of which are subject to preliminary measures in the form of a tariff quota for a period of 200 days.
Tariff quotas will be applied on the basis of the principle "first come, first served" (the first came - first received), and after the quota has been exhausted until the next deliveries, a 25% duty will apply.
The Ministry of Economic Development, together with Ukrainian producers, in the framework of the investigation procedure defended the position that:
· The EU does not have sufficient grounds to initiate an investigation in accordance with the requirements of the WTO, and also taking into account the current state of development of the EU metallurgical industry,
· Ukraine has close trade and economic relations with the EU, which are based on the provisions of the Association Agreement with the EU, in particular as regards the establishment of an in-depth and comprehensive free trade area, the implementation of which involves the bilateral development of trade between Ukraine and the EU without the application of measures in a way that creates artificial and excessive barriers to trade,
· In the case of goods for which anti-dumping and safeguard measures are in force at the same time, an compensatory mechanism should be introduced,
· Ukraine is a developing country for the purpose of defense investigations (enshrined in Article 43 of the EU-Ukraine Association Agreement), and, in accordance with the provisions of the WTO agreements, imports of Ukrainian products with a share of less than 3% of total imports into the EU should be excluded from - under the action measures (in case of their introduction).
According to the published decision of the European Commission, only 11 types of Ukrainian metal products were subjected to protective measures, namely:
· Hot Rolled Sheets and Strips,
· Cold Rolled Sheets,
· Steel Quartz Quarto Plates (Quarto Plates),
· Rebars
· Stainless steel and light sections (Stainless Bars and Light Sections)
· Non Alloy and Other Alloy Wire Rod,
· Angles, Shapes and Sections;
· Pipes for gas pipelines (Gas pipes),
· Profile sections (Hollow Sections),
· Seamless Stainless Tubes and Pipes, Seamless Stainless Tubes
· Non-Alloy wire.
17 kinds of Ukrainian metal products, in relation to which the investigation will continue, are currently not limited to protective measures, including:
· Electrical Sheets (other than GOES),
· Metallic Coated Sheets,
· Organic Coated Sheets,
· Galvanic and other coating (Tin Mill Products)
· Stainless Hot Rolled Sheets and Strips, Stainless Hot Rolled Sheets and Strips
· Stainless Cold Rolled Sheets and Strips, Cold Rolled Sheets and Strips,
· Small-scale rental and light sections (Merchant Bars and Light Sections)
· Stainless Wire Rod (Stainless Wire Rod)
· Sheet Piling,
· Pipe (Bearing Tubes and Pipes)
· Large Welded Tubes (Large Welded Tubes)
· Other Welded Tubes
· Stainless Hot Rolled Quarto Plates Hot Stainless Steel Plates
· Textured Steel Sheets (Grain Oriented Electrical Sheet),
· Products for Railways (Railway Material),
· Other Seamless Tubes,
· Non Alloy and Other Alloy Cold Finished bars.
Export of steel products from Ukraine to the EU
(data of the State Statistics Service of Ukraine)
Year Quantity (tonnes) Cost (thousands of US dollars)
2013 2 144 825.6 1 517 532.5
2014 5 550 693.9 1 626 758.7
2015 2,838,609.8 1,326,019.7
2016 3 314 778.1 1 399 249.8
2017 2 470 868.4 1 438 152.7
 
It is important to note that:
1) the volume of export of Ukrainian goods for which duty free access to the European market is maintained exceeds 12% of the total export of Ukrainian metal products to the EU under investigation,
2) the decision of the European Commission stipulates that antidumping duties will be suspended or reduced in order to prevent dual protection of the European industry by means of trade defense instruments. That is, if the quota is exceeded and 25% of the security fee is applied, the combined application of the antidumping and security duty should not exceed the highest value of one of these duties.
The Ministry of Economic Development, together with Ukrainian producers, continues to defend Ukraine's interests in the framework of the investigation procedure. So, in September, scheduled for hearings, which will be attended by representatives of the Ministry of Economic Development and the number of Ukrainian producers who will represent the position of the Ukrainian side before the European Commission.
For reference
At present, two anti-dumping measures have been applied to Ukrainian products: for seamless pipes (duty 12.3%, 25.7% and 13.8% depending on the exporter) and hot rolled products (duty 60.5 euros per ton).

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