Around 5 years ago, China struggles to compete in steel production with other countries as it lags behind in producing stainless steel. Due to manufacturing and electricity, it consumes a lot of steel. However due to recent funding on two premier steel manufacturing companies, China became one of the world’s top producer of stainless steel, joining the United States and Japan who has been lording the industry for the last twenty years. Also, China was one of the biggest consumers of stainless steel that relied on importing its steel from the aforementioned countries.

Because of the progressive growth of China’s steel industry, a lot of developed countries felt threatened by rapid expansion of imported steel from China. Foremost among the countries that felt China’s might is the European bloc which caused them to issue a 24% dumping duty on imported steel products from China according to a news report from China daily. The imported steel wire rods from China were alleged to have badly hurt the local steel industries in Europe. Likewise, China also made some tax levies on Russian and American steel imports. Perception views China as becoming a superpower due to massive growth in its steel industry.

The two main reasons why China holds an advantage over their counterparts is their unlimited supply of manpower and their affordable capital expenditures. Production cost is cut by 40% in China compared to that of European countries due to low power costs. That is why China produces affordable steel compared to its Western counterparts. However, China still imports from other countries steel like ores and other types for its power plants. If one is interested in importing steel from China, it is important to do some research if there are tariffs and levies that are imposed on steel by checking with the local trade industry. It is also helpful to secure advice from importer specialists in gaining a better understanding of importing steel from China so there would be no legal implications.