Egypt Imposes Temporary Duty on Hot-Rolled Steel Imports at 13.6%

Egypt Imposes Temporary Duty on Hot-Rolled Steel Imports Amid Surge

Egypt has introduced a temporary safeguard duty of 13.6% on hot-rolled flat steel imports. This measure, effective from September 14, 2024, to April 1, 2026, aims to curb rising imports that surged 31% year-on-year in 2024. The duty applies to various hot-rolled steel product codes and will be charged as a percentage of CIF value or a minimum amount per ton in Egyptian pounds. Authorities launched the investigation in April and notified the World Trade Organization accordingly.

The Egyptian government’s move targets protecting domestic steel producers by slowing import growth. This duty covers imports from all producing countries, signaling a firm stance on market stabilization. Additionally, similar temporary duties affect semi-finished products, cold-rolled steel, and galvanized steel. These measures demonstrate Egypt’s commitment to sustaining its local steel market amid global supply fluctuations.

Impact of Temporary Duties on Egypt’s Steel Market and Regional Trade

Temporary duties on billets, cold-rolled, and galvanized steel range between 11.11% and 16.2%, with minimum values set in Egyptian pounds per ton. The government imposed these duties as imports of billets increased sharply by 227% in 2024. Meanwhile, neighboring markets observe similar protectionist trends. For instance, South Korea recently introduced anti-dumping duties on hot-rolled steel coils from China and Japan, reinforcing regional efforts to regulate steel imports and protect local industries.

Egypt’s temporary duty signals growing protectionism in the global steel market, reflecting supply chain pressures and trade imbalances. As a result, local producers may gain competitive advantage, but importers face higher costs. The broader implications extend to steel exporters worldwide, who must navigate increased tariffs and shifting market dynamics in key regions.

SuperMetalPrice Commentary:

Egypt’s temporary duty on hot-rolled steel imports highlights the ongoing trend of protective trade policies in metals markets. Such measures aim to shield domestic producers amid surging imports and volatile commodity prices. However, they may also tighten global supply chains and influence regional trade flows. Industry stakeholders should monitor evolving policies closely, as these shifts could affect pricing, sourcing strategies, and market access in emerging steel markets.