When it comes to producing steel, China is the lead nation. In total, China’s makes more steel than every other nation combined. This impressive feat has not helped China’s steel producers in their domestic setting. Steel demand is very low in China. That is why China has been rapidly growing their export market to nations around the World. China’s global exports increased 63% in January 2015 year over year.
China’s impressive growth in steel exporting goes beyond ocean freight shipping excellence. There are some allegations of price dumping from the US. Many steel industry leaders in the US, seeing big losses because of China’s dominance, want to have a tariff against Chinese-made steel, citing that the current tariffs do not work. China’s exports of steel to the US increased by 40% in January. And hundreds of US workers in the steel industry are losing their jobs. The industry leaders would like to file a formal anti-dumping complaint with the International Trade Commission, with claims that China is lowering their price below the cost of production. In addition, China might be routing steel through third world nations to avoid some laws.
The dumping allegations with China go beyond just the US. Korea’s Hyundai Steel filed an anti-dumping duty against China. There is investigation in Australia against China’s possible price dumping. Leaders in India and in Europe are also requesting tariffs.
On top of all of these allegations against China, there seems to be overcapacity issues impacting global steel. For transportation help of steel, speak to a trusted freight forwarder.