SEOUL: The POSCO Research Institute said on September 7 that South Korea’s steel product imports are likely to hit an all-time high this year.
“The amount of steel products imported from China alone is estimated to add up to 14.91 million tons this year,” it remarked, adding, “South Korea is one of the three largest steel product importers in the world with an import-to-domestic demand ratio of 41%, second to none, but the country has yet to come up with measures for not being negatively affected by imported steel products with global suppliers targeting the South Korean market to deal with excessive supply and declining profits in the industry intertwined with various diplomatic and political issues.”
The institute went on to say that the steel industry of South Korea has import barriers much lower than those in other countries. It also advised that the South Korean government make efforts by mean of, for example, mandatory country-of-origin labeling at construction sites and completed buildings and structures and mandatory declarations of product specifications and manufacturer information during declaration for import.
About 30 countries around the world, including the United States and China, have already set up safety nets for the protection of their steel industries. The examples include mandatory use of domestically-supplied products in public projects, compulsory earthquake-resistant building design, replacement of imports with domestic supply, strict quality control standards applied to recycled building materials and prior quality certification by professional organizations. The institute mentioned that the South Korean government can refer to these examples.
