Brazil Opens Dumping Investigation on Steel Imports from Germany and Japan

Brazil’s Foreign Trade Secretariat has launched an investigation into alleged dumping practices involving imports of carbon steel sheet products from Germany, Japan, and the Netherlands, according to an announcement published in the Official Gazette on Monday. The measure was disclosed by the Ministry of Development, Industry, Trade and Services (MDIC).

Dumping refers to a trade practice in which a country exports products at prices lower than those charged in its domestic market—or even below production costs. Such practices are considered predatory, as they harm the competitiveness of domestic industries.

The investigation will analyze evidence gathered between July 2023 and June 2024, while the injury analysis period will cover a five-year window from July 2019 to June 2024.

U.S. Tariff Hike May Impact Brazilian Steel Exports

At the same time, Brazil faces new hurdles in the U.S. market due to rising steel prices. Last Friday, former President Donald Trump announced a doubling of tariffs on U.S. steel imports from 25% to 50%, claiming the move would help protect American steelworkers.

The increase—set to take effect this week—was announced during an event at U.S. Steel, where Trump promoted the company’s merger with Japan’s Nippon Steel.

The announcement comes as Brazilian metallurgical industry representatives assess the impact of the existing 25% tariff, which has been in place since March. Executives from the steel and aluminum sectors have expressed concern and uncertainty, seeking diplomatic efforts from the Brazilian government to obtain exemptions or tariff relief from the U.S.

The United States is the main international market for Brazilian steel and the second-largest for aluminum. In 2024, Brazil exported 4.08 million tonnes of steel to the U.S., accounting for 42.6% of Brazil’s total steel exports and generating US$ 2.99 billion, or 39.2% of the sector’s export revenue. Brazil ranked as the second-largest steel exporter to the U.S., behind only Canada.

Source: Exame

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