Interpipe will study the economic feasibility of supplying line pipes to the United States after the introduction of duties
Ukrainian industrial company Interpipe will study the economic feasibility of continuing to supply line pipes to the United States after the introduction of the final anti-dumping duties of 23.75%.
This was announced by Denis Morozov, First Deputy General Director of Interpipe, in an interview with Metal Courier.
“This is definitely not the solution we expected. Interpipe submitted justifications and arguments against the introduction of the duty, but they were not taken into account. Of course, the new rate of 23.75% is better than the initially announced option of 41.23%, but in any case, the economic efficiency and expediency of deliveries to the United States is significantly reduced, "he said.
At the same time, according to him, taking into account the 25% customs duty previously introduced by Donald Trump, the total size of trade barriers becomes a barrier for the company's products.
“Of course, Interpipe continues to supply the American market, but in the future we will study their economic efficiency and hope that new relations will be built with the new US President Joe Biden. Accordingly, Ukraine will be able to reopen negotiations to abolish Section 232, which is a significant barrier to supply growth. However, all this will take time ", - noted D. Morozov.
The top manager also drew attention to the fact that now in the United States there is again a boom in the oil and gas sector amid rising prices for hydrocarbons, and American companies have resumed drilling.
“Now is just the right time for us to ramp up our supply of threaded OCTG pipes, including premium and semi-premium products. We are actively engaged in its production and promotion, ”he said.
D. Morozov noted that in the first half of 2021, Interpipe has already increased the supply of OCTG pipes to the United States and expects that positive dynamics will continue in the second half of this year. In addition, one of the achievements of this year in the American market, the top manager named the successful launch of a string of semi-premium pipes from Interpipe.
“We have always strived to supply more high-margin OCTG pipes to the American market. Since the beginning of 2021, the share of threaded pipes in total supplies has returned to a high level - 77%, ”he stated.