Turkish rebar exporters have taken a proactive approach to
countering accusations that they have been dumping product in
the United States, hoping to halt talk of a possible trade case
before it becomes a reality.
Members of the Turkish
Steel Exporters Association toured the United States in
late June to present their case to a variety of
groupsincluding the U.S. Commerce Department, the Port of
Houston Authority and the American-Turkish Friendship Council,
as well as several congressmenthat Turkish steelmakers
are not receiving subsidies or dumping steel in the United
States at below cost, members of the delegation told
"The basic issue is
that we are not doing dumping. Thats for sure. And our
competitors are well aware that (we) are not doing this,"
Veysel Yayan, secretary-general of the Turkish Iron and Steel
Producers Association, told AMM July 9. "If (U.S.
mills) apply for dumping (duties), this is not a good-faith
The groups U.S.
tour came at a time when speculation of a possible trade case
against Turkish rebar was mounting. Domestic rebar mills
reportedly have been discussing the possibility of filing a
trade case against Turkey for some time, with advocates of
trade action arguing that Turkish producers are selling rebar
into the United States at below their cost of production and in
increasingly large volumes (
amm.com, May 2). Although a trade case hasnt
been filed yet, industry leadersincluding top executives
at Nucor Corp.have suggested that the domestic industry
may be close to taking action.
"Unfortunately, we in
the United States are the worlds dumping ground,
including Turkeys, for rebar and other products," Daniel
DiMicco, executive chairman of Charlotte, N.C.-based Nucor,
said in a keynote address at AMMs Steel Success
Strategies XXVIII conference in New York last month (
amm.com, June 19).
conference attendees that Turkish mills produce 35 million
tonnes of steel annually and export 20 million tonnes.
"Thats ridiculous," he said at the time. "That is
basically flaunting and making a laughing stock out of the
concept of market-driven economies and free trade."
Namik Ekinci, chairman
of the Turkish Steel Exporters Association, confirmed
DiMiccos numbers, but noted that Turkey also imports 13
million tonnes of steel, helping to balance out its trade
surplus. In addition, Turkish long products output is around 24
million tonnes annually, but Turkey exports only about 9
million tonnes, he said.
"We always choose to
proceed within the world trade rules," Ekinci said.
shipments to the United States surpassed 101,000 tonnes in May,
more than double shipments in the same month last year,
according to Commerce Department data.
Domestic players have
said such volumes indicate the Turks are dumping material in
the United States, with some arguing that Turkish rebar prices
are lower than their cost of production.
"The math just
doesnt work out," one domestic mill source said.
Nucor in particular
has been vocal about the need to enforce fair trade laws
against Turkey. "The data certainly supports moving forward on
something like this," president and chief executive officer
John Ferriola said of a potential trade case against Turkey in
an interview with AMM. "We look at all this data; we
work with a great law firm in Washington that helps us with all
of this and lets just say it this waythey are on
our radar screen. Turkey is on our radar screen."
Ferriola declined to
comment on the timeline for a potential trade case, but some
sources have suggested that a filing could be imminent.
But Yayan maintains
such action is unnecessary since the country has boosted its
steel consumption and lowered its production, all while
importing "even for items that we are the biggest exporters
"The U.S. is the
father of free trade," Yayan added. "(The Turkish mills)
dont have any state aid. We should keep free and fair