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EU sets permanent import duty on China steel pipes

Published 07/28/2009, 12:23 PM
Updated 07/28/2009, 12:32 PM

BRUSSELS, July 28 (Reuters) - European Union trade experts agreed on Tuesday to apply permanent penalties on imports of Chinese steel pipes, replacing a series of provisional six-month duties, EU officials said.

Permanent or definitive EU trade duties usually last for five years. While details of the duty rates have yet to emerge, officials said they were expected to range up to around 40 percent, depending on the product concerned.

The experts represented each of the EU's 27 member countries and were voting on a proposal tabled by the European Commission, the EU's executive arm. Once their decision is published in the EU's Official Journal, it will enter into force.

Brussels imposed the duties on imports of "certain seamless pipes and tubes of iron or steel", mainly used in construction, in April following a complaint from the EU steel industry. Those duties ranged from 15 to 25 percent.

The European producers accused China of giving its own steel companies an unfair advantage by restricting exports of raw materials, driving down their domestic costs, and subsidising Chinese manufacturers.

Trade disputes between Brussels and Beijing are on the rise since the EU's trade deficit with China has ballooned. The EU has imposed a number of anti-dumping tariffs on imports of Chinese goods ranging from shoes to steel products. (Reporting by Jeremy Smith, editing by Anthony Barker)

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