The US International Trade Commission (ITC) has recently decided to uphold tariffs on steel rebar imports from Egypt, following a final assessment that these imports have caused material injury to the US industry. This decision effectively closes the latest phase of investigations conducted by the US into allegations of government subsidies and dumping of Egyptian steel. The tariffs, which include anti-dumping and countervailing duties, were initially imposed after the US Department of Commerce found that Egyptian steel was being sold in the US at below fair market value, with the benefit of government subsidies.
The ITC's decision, published in the US Federal Register on September 15, confirms that the US industry has been materially injured by steel rebar imports from Egypt, Bulgaria, and Vietnam. The US Department of Commerce had previously determined that Egyptian steel producers were selling their products in the US at dumping margins of 34.20% for Egypt's Ezz Steel and other Egyptian companies, and 52.73% for Egyptian companies such as El-Marakby Steel and Suez Steel. Countervailing duties were set at 23.27% for all Egyptian companies.
According to a source in the Egyptian Chamber of Metallurgical Industries, the variation in dumping margins among companies reflects, among other factors, the level of cooperation each company exhibited during the investigation. The source noted that Egyptian steel companies have faced three types of tariffs when exporting to the US market since early 2023, significantly increasing the cost of exports and weakening their competitive position.
The US initially imposed a general tariff of 25% on steel imports from all countries in February 2025, which was later increased to 50% in June of the same year, under Section 232 of the US Trade Expansion Act. This general tariff is separate from the anti-dumping and countervailing duties imposed on Egyptian steel rebar. The Egyptian government and industry representatives engaged in negotiations with US authorities earlier this year, hoping to reduce the tariffs, but the final decision maintained the existing rates.
The US Department of Commerce had previously determined that Egyptian steel imports increased from nearly zero in 2022 to 243.1 thousand tons in 2023, valued at $145.2 million, before declining to 205.8 thousand tons valued at $114.8 million in 2024. Data from the US Trade Commission showed that Egyptian steel exports to the US plummeted by 97.3% in the first half of this year, with their value dropping to approximately $3.41 million from $128.36 million in the same period of 2025.
An industry source indicated that the cumulative tariffs have been the primary factor behind the sharp decline in exports to the US market, and the ITC's decision will likely make it difficult for Egyptian steel to continue flowing into the US market due to the increased cost. The source also noted that periodic reviews of anti-dumping and countervailing duty orders are conducted, including annual reviews and a comprehensive review after five years to assess whether eliminating the tariffs would lead to continued or recurrent dumping, subsidies, and injury to the US industry.
In response to the ongoing tariffs, Egyptian steel companies are likely to seek alternative markets, with potential destinations including countries in the Mercosur bloc, such as Brazil and Argentina, and markets in Southeastern Europe, like Albania and Bulgaria. However, these markets are unlikely to fully absorb the volumes previously exported to the US. Egyptian steel producers are focusing on markets with active demand, aiming to maintain stable export levels despite the challenges posed by the US tariffs.
Key points
- The US International Trade Commission has upheld tariffs on Egyptian steel rebar imports, citing material injury to the US industry.
- The tariffs, which include anti-dumping and countervailing duties, were initially imposed after the US Department of Commerce found that Egyptian steel was being sold in the US at below fair market value, with the benefit of government subsidies.
- Egyptian steel companies are likely to seek alternative markets in response to the ongoing tariffs, with potential destinations including countries in the Mercosur bloc and Southeastern Europe.
