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📦 Hot-rolled strip of stainless steel (provided for in subheading 7220.12.10 or 7220.12.50)

Hot-rolled strip of stainless steel (provided for in subheading 7220.12.10 or 7220.12.50)

HS Code:

📦

Overview

Hot-rolled strip of stainless steel, classified under HS subheadings 7220.12.10 and 7220.12.50, refers to flat-rolled products of stainless steel, of a width less than 600 mm, hot-rolled and not further worked. These products are used extensively in industries such as automotive, construction, and manufacturing for applications requiring corrosion resistance and high strength. This category is critical in global trade due to its role in industrial production and infrastructure development.

Total Trade Volume

Approximately $2.5 billion USD

Data from 2022

Source

United Nations Comtrade Database and International Trade Centre (ITC)

Tariff Analysis

Average Rate

5.2% ad valorem

Highest Rate

25% (imposed by certain countries under anti-dumping measures)

Lowest Rate

0% (under free trade agreements like EU-Japan EPA)

Common Restrictions

  • Anti-dumping duties on imports from specific countries (e.g., China)
  • Quotas in certain markets to protect domestic industries
  • Safeguard measures during periods of import surges
  • Technical barriers to trade (TBT) such as quality and safety standards

Market Trends

Rising demand in automotive and renewable energy sectors

Increased production and export from major stainless steel producers like China and South Korea due to demand for lightweight, corrosion-resistant materials in electric vehicle (EV) manufacturing and solar panel frames.

2021-2023

Shift towards sustainable production methods

European countries, particularly Germany, are investing in low-carbon steel production technologies, influencing trade patterns by prioritizing eco-friendly suppliers.

2022-2023

Supply chain disruptions due to geopolitical tensions

Trade flows have been affected by sanctions, export controls, and raw material shortages (e.g., nickel), leading to price volatility and regional supply shifts.

2022

Recent Developments

EU Imposes Anti-Dumping Duties on Chinese Stainless Steel

The European Union extended anti-dumping duties on hot-rolled stainless steel strips from China to prevent market distortion and protect domestic producers.

March 2023

Reduction in Chinese exports to the EU, potential redirection of trade to other markets like Southeast Asia.

US Steel Tariffs Under Section 232 Review

The United States is reviewing its Section 232 tariffs on steel imports, including stainless steel products, with potential adjustments to exemptions for allied countries.

June 2023

Possible easing of trade barriers for countries like Japan and South Korea, increasing their export volumes to the US.

Nickel Price Surge Affects Production Costs

A significant increase in nickel prices, a key component of stainless steel, has raised production costs, impacting trade margins and pricing strategies globally.

February 2022

Higher costs for end-users, reduced competitiveness of smaller exporters, and increased focus on alternative materials.