Indonesia has decided to levy anti-dumping tax on steel imported from China, Japan, the Republic of Korea, Vietnam and Chinese Taiwan to protect its local producers.

According to Head of the state income policy center at the Finance Ministry’s Fiscal Policy Agency Astera Primanto Bhakti, the additional duties, ranging from 5.9 to 55.6 percent, will be applied to steel imported these five countries and territories for three years.

The maximum level of 55.6 percent will be levied on Japan’s Nippon Steel Corporation and Sumitomo Metal Industries Ltd, while the lowest of 5.9 percent on Taiwan-based SYNN Industrial.

The decision on the additional tax, which had been approved by the Indonesian Ministry of Trade, was signed by the Finance Minister on March 19 in compliance with a proposal of the Indonesian Anti-Dumping Commission.

The commission’s Chairman Bachrul Chairi said that the decision came out following an investigation conducted on cold-rolled coil and sheet imports since June 2011 upon an appeal filed by Krakatau Steel, the biggest steel producer of Indonesia , claiming that it had suffered significant loss due to foreign imports sold at lower prices in the domestic market.

The commission had requested the maximum anti-dumping tax rate of up to 74 percent, the chairman added.

In October 2012, the Ministry of Finance imposed the anti-dumping tax on steel and hot sheet imported from China (10.47 percent), Singapore (12.33 percent) and Ukraine (12.5 percent) upon request of the commission.-VNA