China makes and consumes around half the world’s stainless steel, which is used to protect against corrosion in buildings, transportation and packaging.
China began an anti-dumping investigation into stainless steel imports worth $1,3 billion. The Commerce Ministry said the investigation will target imports of stainless steel billet and hot-rolled stainless steel sheet and plate from the European Union, Japan, South Korea and Indonesia, which nearly tripled last year.
The rapid increase in imports damaged the Chinese market, according to the complaint filed by Shanxi Taigang and released with the commerce ministry document.
Almost two-thirds of China’s stainless imports came from Indonesia last year, up from 5 percent in 2016 and zero in 2015, the complaint said. That rose to as high as 86 percent in the first quarter, it said.
Imported prices of the stainless steel products fell 23 percent to $1,867 a tonne in 2017 from $2,436 a year earlier.