China calls U.S. investigations into Chinese steel “imprudent”

China has labelled U.S. anti-dumping and countervailing duty investigations into steel plates from countries and regions including China “imprudent” and blamed protectionism for the troubles of American steel.

“The United States has recently taken a series of trade remedy measures against steel exports from other countries and regions. Such acts are imprudent and cannot help U.S. steel businesses solve their problems,” the commerce ministry said in a statement.

“After more than three decades of protection and subsidies, the United States has distorted competition in its domestic steel market, deprived local companies of motivation to increase investment or improve technology and subsequently blunted their competitive edge,” it said.

Against a backdrop of global slowdown and overcapacity, countries should cooperate more, follow WTO rules and promote free trade, rather than resorting to protectionism, according to the statement.

China encourages its companies to respond to the U.S. investigations according to law. “We will closely watch the case and will use WTO rules to safeguard the rights and interests of Chinese companies,” the ministry vowed.

The United States has slapped 522 percent duties on import of cold-rolled flat steel from China. It is among one of the several countries to import anti-dumping and anti-subsidy duties on Chinese steel.

China, the world’s biggest producer and consumer of steel, has been accused to dumping cheal steel as its slowing economy has created massive overcapacities.

 

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