Steel News

As one of the first steel conglomerates in the United States, US Steel has played a crucial role in the development of the country's steel industry. However, currently, US Steel has been acquired by Japan's Nippon Steel for $14 billion USD.US Steel was founded in 1901 by some of America's most prominent tycoons, including Andrew Carnegie, J.P. Morgan, and Charles Schwab. The company played a vital role in the recovery of the American industry after the Great Depression and World War II. In 2022, US Steel ranked as the 24th largest steel producer globally and the second-largest in the United States, following Nucor Corporation.In recent times, the stocks of US Steel, based in Pittsburgh, have been performing poorly after several quarters of declining revenue and profits, making the company an attractive acquisition target for competitors. On December 18, 2023, Nippon Steel announced an agreement with US Steel to acquire the company for $14.1 billion USD. This deal positions Nippon Steel to expand global crude steel capacity toward the goal of 100 million tons. This strategic move comes after Nippon Steel outbid competing rivals, including Cleveland-Cliffs Inc., in an auction.According to the World Steel Association, in 2022, Nippon Steel's production of high-quality crude steel reached 44.37 million tons, ranking fourth globally. Therefore, the acquisition of US Steel will elevate Nippon Steel to the third position in global steel production. This represents a significant step for Nippon Steel in its efforts to strengthen its position in the steel industry and enhance production capabilities on a global scale.Accordingly, after announcing the acquisition of the US Steel Group, Nippon Steel's stocks experienced a nearly 5% decrease. The stock decline occurred as shares of the steel manufacturer based in Tokyo opened with an excess of sellers, leading to a trading price of around 3,085 yen, marking a 4.7% decrease compared to the previous day's closing value.The acquisition takes place at a time when the steel industry is facing several challenges, including fluctuating demand and the need for technological advancements to reduce carbon emissions. Nippon Steel's move to acquire US Steel is expected to create a synergistic strength that could lead to more efficient production and help ensure a more stable supply of raw materials for Nippon Steel.US Steel has announced that the transaction with Nippon is expected to conclude in either the second or third quarter of 2024, depending on regulatory approval. However, the Committee on Foreign Investment in the United States, an agency that carefully examines transactions to identify potential national security risks, is expected to reassess this deal. If the agreement is not approved in this case, Nippon will owe US Steel USD 565 million.Here is the latest information on Nippon Steel's acquisition of the US Steel plant in the United States. However, there is still no official result in this matter. Stay tuned to MRS Steel, as we will provide the most up-to-date and accurate information on this transaction for our readers.

Malaysia has imposed definitive anti-dumping duties on Japanese cold-rolled steel coils after the Ministry of Investment, Trade and Industry (MITI) concluded its investigation earlier this year. At the same time, Malaysia also announced the end of trade defense measures on cold rolled steel imported from Vietnam.1. Malaysia: Anti-dumping investigation on Japanese cold rolled steelAccording to MITI's report, Malaysia's steel plate demand in 2022 reached 3.5 million tons, down 5.4% compared to the previous year. In the same year, import and export of steel plates both decreased by about 6-7% compared to 2021. Meanwhile, Malaysian cold-rolled steel prices remained highly competitive due to the massive import of cheap steel from abroad.This posed a significant threat to the development and business operations of domestic factories. Therefore, the Malaysian government is forced to take trade defense measures to protect the domestic market to a certain extent.On January 31, 2023, the authorities conducted an AD investigation on cold-rolled coils of iron or non-alloy steel with a width above 1300mm from Japan. The affected products are classified under the following HS code groups: 7209.15.00 00, 7209.16.10 00, 7209.16.90 00, 7209.17.10 00, 7209.17.90 00, 7209.18.99 00, 7209.25.00 00, 720 9.26. 10 00, 7209.26.90 00, 7209.27.10 00, 7209.27.90 00, 7209.28.90 00, 7209.90.90 00, 7211.23.20 00, 7211.23.90 00, 7211.29.2 0 00, 7211.29.90 00, 7211.90. 11 00, 7211.90.12 00, 7225.50.90 00, 7225.99.90 00, 7226.92.10 00 and 7226.92.90 00.2. Malaysia: Applying anti-dumping duty on Japanese cold rolling millsOn September 29, 2023, Malaysia imposed anti-dumping duties on Japanese cold-rolled coils of iron or non-alloy steel with thickness of 0.2-2.6mm and width of 700-1300m after completing the investigation. Accordingly, the Malaysian government has imposed a duty rate of 9.03% on Nippon Steel Corporation and 22.62% on other manufacturers, effective until September 28, 2028. However, due to the benefits of black plate and cold-rolled steel coils for the automobile, electronics industries are so great, Malaysia has excluded AD for these products.3. Malaysia: Ending anti-dumping measures on Vietnam's cold-rolled steelAccording to the Trade Defense Department, on March 21, 2019, MITI initiated an investigation of cold-rolled coils of iron or non-alloy steel with a width above 1300mm imported from Japan, Korea, China and Vietnam.By December 17, 2019, the government had applied definitive anti-dumping duty rates as follows: China 4.76% - 26.38% of the CIF value, Japan 26.39% of the CIF value, Korea 7.7% or 20.13% of the CIF value. This rate is effective for 5 years, from December 25, 2019 to December 24, 2024.In addition, other products from Vietnam and Korea are also under investigation including alloy/non-alloy cold rolled steel coils with thicknesses 0.2 - 2.6mm and widths 700 - 1300mm. The case has undergone many sunset reviews and received a decision to continue imposing anti-dumping duty, effective until October 8, 2026 at a rate of 0 - 21.64% for Korea and 7.42 - 33.7% for Vietnam. However, under the petition efforts of the Vietnamese government, MITI founded that Vietnam did not violate export conditions, the dumping margin was less than 2% of the export price. Therefore, Malaysia ended anti-dumping measures on the above products. In conclusion, Malaysian importers continue to enjoy preferential duty rates and cheap, quality steel sources from Vietnam.Vietnam is proud to be one of Malaysia's largest steel exporters with 653.7 million USD of iron and steel of all kinds and 48.1 million USD of steel products in 2022. Additionally, Vietnam and Malaysia are both members of the Association of Southeast Asian Nations (ASEAN) and ASEAN Free Trade Area (AFTA). There are many favorable opportunities for increased trade and two-way economic cooperation. If customers have any questions about the latest policies and procedures for importing Vietnamese steel, please contact MRS Steel via Email vanloc@mrssteel.com.vn for the most thoughtful support.