Steel pipe producers demand govt to re-impose countervailing duties for imported steel pipe
Wednesday, May 9 2001 - 04:30 AM WIB
Local steel pipe producers have demanded the government to re-impose countervailing duties for imported steel pipe to prevent another dumping practices that could kill local steel pipe producers, Suara Karya reported on Wednesday (May 9).
The president of PT Bakrie Brothers, Irwan Sjarkawi, said in Cilegon on Tuesday that local pipe producers had filed their demand since four months ago, but the government had not even responded to the demand.
"We hope the minister of industry and trade pay serious attention to steel pipe dumping practices that we have helped proven," Irwan said when officiating the export of 5,000 tons of seamless pipes worth US$5 million to Egypt. The pipe is produced by PT Seamless Piple Indonesia Jaya (SPIJ), a subsidiary of Bakrie Brothers.
The government, through the finance minister, has lifted the countervailing duties of ranging from 5 percent to 50 percent imposed on steel pipes imported from Japan, South Korea, China and Singapore.
The lifting of the anti-dumping duties has angered local industries that accused the government of not protecting local industries from hostile competition from foreign players.
Responding to the demand, Minister of Industry and Trade Luhut B. Pandjaitan, who was also present at the ceremony, promised to pay serious attention to the demand. However, Luhut warned that the government must consider all aspects, including rules in the World Trade Organization, before re-imposing the anti-dumping duties. Otherwise, Indonesia will face similar penalties from other countries.
Luhut also said that local steel pipe industry should grab more opportunities from the new development of the local oil and gas industries. He noted that the recent oil find by ExxonMobil in Cepu, Central Java, would serve as an opportunity for local steel pipe industries to sell their products there.
Also, export markets for steel pipe, especially in Middle Eastern countries, are also open for local steel pipe producers, such as SPIJ, he said. (*)