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Tariff wars in the steel industry put Thailand in a difficult position

Thai steel producers have expressed concerns that U.S. President Donald Trump’s import tariffs will force the global steel surplus to seek new markets, prompting them to call on their government for greater protection Trump’s decision to impose a 25% tariff on imported steel has unsettled global steel mills.

Tariff wars in the steel industry put Thailand in a difficult position

Thai steel producers have expressed concerns that U.S. President Donald Trump’s import tariffs will force the global steel surplus to seek new markets, prompting them to call on their government for greater protection Trump’s decision to impose a 25% tariff on imported steel has unsettled global steel mills, which are already struggling with China’s massive exports.

“We cannot defend ourselves; the government is our only hope”

In response to China’s aggressive export policies, Trump’s tariffs have become the latest addition to the growing wave of protectionist policies within the global steel industry. It has been stated that the trade measures taken worldwide have created a chain reaction, pushing other countries to impose their own import restrictions.  Thailand’s steel sector is already in a critical condition due to slow economic growth, weak consumption, and cheap imports. The Steel Industry Club of the Federation of Thai Industries has emphasized that the Thai government should take stronger action to protect domestic producers. Pongthep Thepbangchag, the vice president of the club, stated last week in Bangkok: “We cannot defend ourselves; the government is our only hope.”

Recently, Vietnam and South Korea have imposed large-scale anti-dumping duties, while the European Union has reassessed its protection measures. Meanwhile, India has proposed new restrictions on steel imports. Currently, Thailand imposes a 31% tariff on hot-rolled steel coils imported from China.

As the fourth-largest steel producer in Southeast Asia, Thailand is reportedly in discussions with the government to introduce additional anti-dumping duties and stricter quality controls. Thepbangchag highlighted that Thailand imported over five million tons of Chinese steel last year, making it one of China’s largest customers.

Growing global backlash against Chinese steel exports increases pressure on China’s steel industry

Countries such as Indonesia, Malaysia, and Vietnam have begun implementing additional restrictions on a wide range of Chinese imports, including textiles, plastics, leather, rubber, and consumer goods. The growing global reactions against Chinese steel exports have increased pressure on China’s steel industry.

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