ISLAMABAD: The National Tariff Commission (NTC) has extended the existing anti-dumping duty of 40.47 percent on imports of Galvalume Steel Coils/Sheets originating in or exported from China, bringing the aluminium-zinc coated steel products under the same trade protection applicable to Chinese galvanized steel imports.
According to an official notification, the Commission, in terms of Section 63 of the Anti-Dumping Duties Act, 2015, has extended the anti-dumping duty rate of 40.47 percent, applicable to all other exporters/foreign producers of Galvanized Steel Coils/Sheets originating in or exported from China, to imports of Galvalume Steel Coils/Sheets classified under Pakistan Customs Tariff (PCT) headings 7210.6110, 7210.6190, 7210.6910 and 7210.6990.
The anti-dumping duty imposed on Galvalume Steel Coils/Sheets shall remain in force co-terminously with the anti-dumping duty imposed on Galvanized Steel Coils/Sheets.
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The decision follows the Commission’s earlier anti-circumvention investigation, which concluded that Chinese exporters had been circumventing existing anti-dumping duties on galvanized steel through slight modification of the product, thereby undermining the remedial effects of the trade protection measures.
The investigation was initiated following an application submitted by International Steels Limited and Aisha Steel Mills Limited, Karachi, the country’s domestic manufacturers of galvanized steel coils and sheets.
The applicants alleged that Chinese exporters were shifting exports towards Galvalume Steel Coils/Sheets to evade the anti-dumping duties imposed on galvanized steel, resulting in increased imports of the alternative product and continued injury to the domestic industry.
The Commission, in its final determination issued on June 27, 2025, established that Galvalume Steel Coils/Sheets had the same essential characteristics and were in direct competition with galvanized steel coils and sheets.
According to the Commission’s findings, the products were being used as substitutes in several applications, while the change in import patterns following the imposition of anti-dumping duties indicated circumvention through slight modification of the product.
The investigation also established that the remedial effects of anti-dumping duties imposed on galvanized steel imports from China were being undermined in terms of prices and/or quantities of the domestic like product.
The Commission noted that galvanized steel coils and sheets had been subject to definitive anti-dumping duties ranging from 6.09 percent to 40.47 percent since February 8, 2017. These duties were subsequently extended for another five years with effect from February 8, 2022, following the conclusion of a sunset review.
Under the original anti-dumping determination, Angang Steel Company Limited, China, was subjected to a duty of 40.47 percent, while Bengang Steel Plates Company Limited faced 9.13 percent, Hebei Iron & Steel Company Limited 13.31 percent and Maanshan Iron & Steel Company Limited 6.09 percent. All other Chinese producers/exporters were subjected to 40.47 percent.
The domestic producers approached the Commission in June 2024, maintaining that Chinese exporters were circumventing the existing duties by changing the coating composition of steel products from zinc-coated galvanized steel to aluminium-zinc coated Galvalume steel.
Galvalume Steel Coils/Sheets, also known as Alu-zinc Steel or Zinc-Aluminium Steel, are flat-rolled steel products coated through hot-dip galvanization using aluminium and zinc as the major coating elements.
The product investigated by the Commission comprised steel coated with approximately 43.5 percent zinc, 55 percent aluminium and 1.5 percent silicon and other metals in small proportions.
The Commission initiated the anti-circumvention investigation on August 24, 2024, after examining evidence provided by the applicants regarding the alleged product modification and its impact on domestic industry.
During the investigation, the Commission sent questionnaires to Chinese exporters and producers, but none of the exporters or foreign producers cooperated or provided the required information.
The Commission also sought information from Pakistani importers and user industries, including manufacturers of pre-engineered steel buildings, while obtaining import statistics from Pakistan Revenue Automation Limited and the Pakistan Single Window database.
The applicants argued that the increased imports of Galvalume Steel Coils/Sheets from China were not justified for any economic reason other than evading anti-dumping duties on galvanized steel. They maintained that the products were substantially similar in their essential characteristics and end-use applications and were competing directly with domestically manufactured galvanized steel.
The Commission’s final determination concluded that the change in the pattern of trade between China and Pakistan resulted from a practice, process or work for which there was insufficient economic justification other than the imposition of anti-dumping duties.
It also found that the circumvention had undermined the remedial effects of the existing anti-dumping duties in terms of prices and quantities of the domestic like product.
Consequently, the Commission decided to extend the existing anti-dumping duties on galvanized steel imports to Galvalume Steel Coils/Sheets originating in or exported from China in accordance with Section 63 of the Act.
The measure is aimed at preventing Chinese exporters from bypassing existing trade protection through product modification and restoring the effectiveness of anti-dumping measures intended to protect domestic steel manufacturers against injurious imports.
The Commission has also clarified that the anti-dumping duty shall be in addition to other taxes and duties leviable on imports under any other law and shall be collected in the same manner as customs duty under the Customs Act, 1969.
Imports of the product originating in or exported from sources other than China shall not be subject to the extended anti-dumping duty.
Similarly, in accordance with Section 51(1)(ea) of the Act, the extended duty shall not be levied on imports used as inputs in products destined solely for exports or for foreign grant-in-aid projects, where such imports are covered under schemes exempting customs duties under the Customs Act, 1969.
Copyright Business Recorder, 2026
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