Gerdau CEO expects Brazil to apply antidumping on Chinese steel

Gerdau CEO expects Brazil to apply antidumping on Chinese steel

Brazil’s Steel Industry Seeks Protection as Antidumping Measures Target Chinese Imports

Brazilian steelmaker Gerdau’s chairman, André B. Gerdau Johannpeter, has emphasized the urgency of enforcing antidumping measures against Chinese steel imports, warning that the industry faces “a point of near unsustainability” due to surging foreign competition according to Gerdau leadership. The Brazilian government has already taken action, imposing antidumping duties of up to $670 per tonne on cold-rolled and hot-dip galvanized steel from China, following an investigation launched in 2024 after a petition by domestic producer Usiminas as reported by SCMP.

Imports of Chinese steel now account for 22–25% of Brazil’s domestic consumption, more than double levels in recent years, according to Johannpeter. This influx has left local mills operating with 35% idle capacity, far exceeding sustainable thresholds. The antidumping duties, which apply to 25 steel products, aim to counter what Brazilian producers describe as “predatory” pricing driven by Chinese subsidies and export discounts according to industry analysis.

The U.S. government’s recent 50% tariff hike on steel imports has further complicated the landscape, redirecting steel flows to Brazil and intensifying pressure on local producers as noted in industry reports. Industry groups, including the National Institute of Steel Distributors (INDA), have echoed calls for strict enforcement of antidumping rules, stressing that delays could irreversibly harm Brazil’s steel value chain according to Fastmarkets analysis.

Aço Brasil, the national steel association, projects a 2.2% decline in domestic production for 2026 compared to 2025, with rolled steel imports expected to rise 10% to 6.324 million tonnes. While the government’s quota-tariff system has provided some relief, industry leaders argue it falls short of addressing systemic challenges posed by global trade dynamics and Chinese state-backed exports as Brazil Stock Guide reports.

With antidumping duties set to remain in place for five years, Brazilian producers are cautiously optimistic but urge continued vigilance to prevent further market destabilization according to GMK Center coverage. As Johannpeter noted, the stakes extend beyond industry survival: “Where will the jobs remain: in Asia or in Brazil?” according to Gerdau leadership.

(https://www.scmp.com/news/china/diplomacy/article/3343943/chinese-steel-hit-duties-us670-tonne-brazil-dumping-probe-concludes): SCMP
(https://brazilstockguide.com/insights/gerdau-brazil-steel-industry-import-crisis/): Brazil Stock Guide
(https://brazilstockguide.com/insights/gerdau-brazil-steel-industry-import-crisis/): Brazil Stock Guide (duplicate)
(https://gmk.center/en/news/brazil-imposes-anti-dumping-duties-on-chinese-steel-products/): GMK Center
(https://www.fastmarkets.com/insights/brazil-steel-outlook-hinges-on-anti-dumping-measures-inda/): Fastmarkets