EU Launches Expiry Review R871 on Stainless Cold-Rolled Flat Imports from China and Taiwan

The European Commission has officially opened an Expiry Review (Case R871) regarding the definitive anti-dumping duties on stainless steel cold-rolled flat products originating in the People’s Republic of China and Taiwan.

The initiation of Case R871 under Article 11(2) of Regulation (EU) 2016/1036 follows a formal petition lodged by the European Steel Association (EUROFER) on behalf of domestic EU stainless steel producers. Existing protective duties will remain enforced throughout the investigation period, which typically spans 12 to 15 months.

1. Background & Scope of Existing Anti-Dumping Measures

The anti-dumping duties initially established against Chinese and Taiwanese stainless cold-rolled producers were extended following an earlier review. The duty structure applies across key flat product lines (including HS codes 7219 31 00, 7219 32 10, 7219 33 10, 7219 34 10, 7219 35 10, 7220 20 21, among others):

• China Duty Rates: Ranging from 24.4% to 25.3% across primary exporters (such as Shanxi Taigang Stainless Steel and Tianjin TISCO & TPCO) and non-cooperating producers.

• Taiwan Duty Rates: Set at a residual rate of 6.8% for most Taiwanese exporters, with specific individual company exceptions (e.g., Chia Far Industrial Factory Co. holding a 0% rate).

EUROFER argues that if the current duties expire, dumping practices from Chinese and Taiwanese mills will recur, causing substantial economic injury to European steelmakers operating at sub-capacity utilization rates.

2. Intersecting Trade Defense Measures

Case R871 coincides with a broader tightening of European trade restrictions on stainless steel imports:

1. Parallel Review on India and Indonesia (Case R872): The Commission initiated a simultaneous Expiry Review (Case R872) for stainless cold-rolled products from India and Indonesia, targeting anti-dumping duties ranging from 9.3% to 35.3%.

2. Anti-Circumvention Regulations: Previous investigations extended anti-dumping duties to secondary processors in Vietnam, Taiwan, and Turkey found to be rerouting or assembling Chinese- or Indonesian-origin stainless cold-rolled stock.

3. Mandatory “Melt and Pour” Requirement: Effective October 1, 2026, all stainless steel imports entering the EU must present EN 10204 3.1 Mill Test Certificates verifying the country of initial furnace melt. Imports lacking traceable Heat Numbers face a 50% out-of-quota tariff under Regulation (EU) 2026/1384.

[Case R871 Expiry Review Initiated] ──> Anti-Dumping Duties Remain Active During Review
                 │
[Parallel Case R872 (India/Indo)] ──> EU Moves to Secure Regional Trade Defense Barrier
                 │
[Oct 1 Melt & Pour Mandate]      ──> Traceability Rules Eliminate Third-Country Rerouting

3. Market Outlook & Strategic Guidance for Buyers

• Stable Duty Protection During Investigation: Because anti-dumping measures remain active during an expiry review, importers ordering cold-rolled coils (CRC) or sheet from China and Taiwan must continue budgeting for the existing 6.8% (Taiwan) and 24.4%–25.3% (China) duty margins.

• Verification of Melt Origins: Global traders supplying European service centers must ensure all shipments from Asian mills include complete, heat-traceable Mill Test Certificates. Material melted in China or Indonesia and cold-rolled in Taiwan will not bypass duty liabilities under current rules.

Regulatory Summary Table