The Bureau of Customs assured local steel manufacturers it will monitor the importation of finished steel products from China following complaints of alleged unfair trade practices.

Mr Peter Manzano Customs deputy commissioner made the commitment to the Philippine Iron and Steel Institute, the organization of local steel associations after the group protested the shipment of 3,000 tonnes of raw steel materials declared as finished products.

The PISI said that several reinforcing bar manufacturers imported billets from China declared as square bars a description used to identify finished products which are entitled to up to 17% tax rebate. China has more than 200 million [metric tons] of excess capacity from rogue and obsolete steel mills resorting to this malpractice, which could wipe out the local steel industry if left unchecked.

Mr Manzano in a meeting with PISI executives asked the steel group sector to closely coordinate with Customs. The shipment of 3,000 MT of steel billets declared as square bars arrived on August 13th 2012 at the Harbor Center in Manila.

Mr Roberto Cola president of PISI said that it would ask the Trade Department to conduct chemical and mechanical tests on square bars entering the country to ensure the importation is done properly. An importer should secure an import commodity clearance from the Trade Department to avoid other tests. Aside from underpricing, Chinese steel mills had questionable quality and reputation.

Source - Manila Standard Today.com

(www.steelguru.com)