High duty imposed on KS exports

JAKARTA (JP): Indonesia's PT Krakatau Steel has been slapped with a 47.86 percent countervailing duty for its hot-rolled carbon steel flats (HRC) exports to the United States, the Ministry of Industry and Trade has said.

A statement from the ministry said on Friday that Indonesia was also fined 10.21 percent for subsidizing the commodity.

State-owned Krakatau Steel is Indonesia's major exporter for hot-rolled carbon steel, it said, adding that Indonesia holds 3.98 percent of the U.S. import market for the product.

"During the investigation period, HRC exports to the U.S. totaled 189,200 tons valued at US$52.08 million," the ministry said.

Indonesia was initially charged with causing material injury to the U.S. industry and was petitioned for a 59.25 percent countervailing duty and subsidy fine of 31.12 percent.

According to the statement, the final figures were reached after extensive lobbying by the Indonesian government, particularly the Ministry of Industry and Trade, Ministry of Finance and Bank Indonesia.

The final affirmation is pending a decision by the U.S. International Trade Commission, which will convene on Nov. 8, and if affirmed, the duties will become effective Nov. 15.(tnt)