Making and shaping a steel market the Chinese way

Jul 30, 2008 | 11:39 AM |

SINGAPORE The usual chorus of indignation from China's steel industry followed the U.S. government's imposition of stringent anti-dumping and countervailing measures against welded steel pipe from China.

The measures will effectively wipe out the U.S. market as a destination for Chinese welded pipe, and the Chinese producers are understandably unhappy. As in all of China's myriad trade disputes, various bodies in Beijing asked that the "long-term interests of Sino-U.S. trade" be taken into account, and appealed for harmony and better understanding.

There is some politicking on both sides, but in general the opacity of Chinese industry makes it easy to assume wrongdoing. And often that's been the case, with U.S. lobby groups alleging that the Chinese steel industry benefits from huge energy subsidies.

Across the board, whether it be pipe to the United States or any product exported to a different, sensitive market, the Chinese are fighting a variety of disputes, and the way their internal markets work doesn't inspire much confidence.....