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European steel group welcomes exposure of 6.5 million euro duties fraud

Published 07/06/2023, 15:33
Updated 07/06/2023, 15:37
© Reuters. FILE PHOTO: Workers wearing face masks following the coronavirus disease (COVID-19) outbreak load steel products for export to a cargo ship at a port in Lianyungang, Jiangsu province, China May 27, 2020. China Daily via REUTERS
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LONDON (Reuters) - Industry group Eurofer said on Wednesday it welcomed the discovery by EU anti-fraud authorities of a scheme to evade 6.5 million euros in duties on steel imports from China.

Last month, the European Union renewed for another five years anti-dumping duties ranging from 65.1% to 73.7% on Chinese imports of heavy plate steel, the European Steel Association said in a statement.

An importer used the wrong import codes so it would not have to pay the high duties, the European Anti Fraud Office (OLAF) said in its annual report.

The investigation started in 2019 when it received a tip-off about a single consignment of steel, but the agency found "that the company had carried out alleged similar frauds across the EU".

Eurofer said it worked with OLAF and the European Public Prosecutor Office to uncover the fraud.

"It is of utmost importance that these fraudulent practices are investigated and penalised to enforce trade defence measures and achieve a level playing field," said Axel Eggert, director general of Eurofer.

© Reuters. FILE PHOTO: Workers wearing face masks following the coronavirus disease (COVID-19) outbreak load steel products for export to a cargo ship at a port in Lianyungang, Jiangsu province, China May 27, 2020. China Daily via REUTERS

While the duties have helped to curb Chinese imports, other countries have stepped up exports, Eurofer said.

South Korea, Indonesia, India, Japan, and Turkey in 2022 exported 1.2 million tonnes of heavy plate steel to the EU, up almost 500% compared to 2015, the group added.

 

 

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