The US Department of Commerce has decided to slash its tariffs on hot-rolled steel products from South Korean steelmakers, industry sources said Friday.
According to the sources, the US government recently decided to cut the countervailing duty on hot-rolled steel sheets produced by POSCO from 41.57 percent to 0.55 percent after its annual review.
The US commerce department originally imposed a 58.86 percent CVD on POSCO's hot-rolled steel in 2016. But the US Court of International Trade last month ordered the US government to lower the rate to 41.57 percent until its annual review session, saying that it hadn't provided reasonable grounds for the tariff calculation.
The CVD on hot-rolled steel from Hyundai Steel Co., South Korea's second largest steelmaker, was lowered from 3.95 percent to 0.58 percent, according to the sources. Other local steelmakers will get CVDs of 0.56 percent, they said.
Hot-rolled steel is used in car manufacturing and construction.
Last year, South Korean companies exported 477,000 tons of hot-rolled steel to the US. (Yonhap)