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Antonio Marcegaglia: there is no invasion of stainless steel from Indonesia

Chairman and CEO Antonio Marcegaglia has sent a letter to the President of the European Parliament Antonio Tajani and for information to the outgoing President of the European Commission Jean-Claude Juncker to clarify the dynamics of stainless steel coil imports.
The letter comes in response to what Antonio Tajani wrote to the European Commission on 27 March, in which he denounced abnormal increases in stainless steel arriving in the EU from Indonesia.
“The demand for stainless steel coils recently increased and is expected to further increase by +3-5% in the coming years”, Antonio Marcegaglia writes. “It is evident that to limit the imports of stainless steel hot-rolled black coils to the EU would put at risk the viability of our stainless steel business.”
“Marcegaglia regularly purchases stainless steel black coil from the only Union producer having spare capacity for this product, namely AST - Acciai Speciali Terni”, the Chairman continues. “AST is the main supplier of Marcegaglia which is, conversely, by the far the main customer of AST. Nevertheless, such volumes account for roughly one third of Marcegaglia’s needs: Marcegaglia represents almost 90% of the total imports of black stainless coils into the EU and 60% of hot-rolled stainless coils imports.”
The letter shows that the data on imports must be assessed as a whole: the growth of 33,000 tons of material arrived from Indonesia in the first 5 months of 2019 is balanced by a drop of 16,000 tons from China and 24,000 tons from the USA. Overall, therefore, total imports of hot rolled stainless steel coils decreased by 10% compared to 2018.
“A limitation of imports of hot-rolled stainless coils from third countries, and especially from Indonesia, would not help the Union steel industry while damaging the interests of a big European player such as Marcegaglia”, the Chairman ends. “I am fully confident that the Commission will review the existing measures and will take in due account the above specific issues.”
Read the full letter here:
 Letter to Mr. Antonio Tajani President European Parliament

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