Steel products allegedly dumped on the Australian market have cost BlueScope Steel an estimated $50 million, the embattled company claimed.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
The Customs and Border Protection Service has launched an investigation into the alleged dumping of hot rolled coil from Japan, Korea, Malaysia and Taiwan.
The move comes after BlueScope claimed to have suffered as a result of steel products exported to Australia at dumped prices.
The steelmaker said it had been forced to cut its own prices to protect its market share.
An initial Customs report on BlueScope's complaint found it had merit.
The investigation will cover exports to Australia from April 2011 to March 2012.
BlueScope is Australia's only maker of hot rolled coil, which it produces at Port Kembla.
Chief executive Australia and New Zealand Mark Vassella said allegedly dumped goods had caused the company "material injury" in the order of an estimated $50 million.
"BlueScope Steel supports free and fair trade and is concerned at the level of 'unfair competition' in the Australian steel market," Mr Vassella said.
"Anti-dumping is a right countries have under WTO rules, and is not considered an exception to these rules nor a form of protectionism."
Dumping involves goods being exported to Australia for a price less than their normal value.
While it is not prohibited, remedial action can be taken when it could harm an Australian industry, according to the Customs website.
BlueScope's application for a dumping duty notice alleged hot rolled coil was exported to Australia below its normal value and had caused damage through price depression, price suppression, reduced revenues, reduced employment and reduced return on investment.
The original Customs report agreed it appeared there had been material injury.
It said that while the Australian industry's share of the market had remained stable since 2008-09, the company's application showed imports had undercut its prices.
"This has inhibited BlueScope's ability to raise prices in line with the increase in the cost to make and sell the locally manufactured product," it said.
BlueScope submitted its anti-dumping application in May.
It said the Customs investigation could take up to six months.
Interested parties can lodge submissions until July 25.