The US Department of Commerce (USDOC) has initiated a country-wide circumvention investigation into corrosion-resistant steel products from Indonesia.

Steel Dynamics Inc. and Nucor Corporation requested the probe, alleging that products finished in Indonesia actually use hot-rolled steel and cold-rolled steel from China and cold-rolled steel from Vietnam to bypass existing anti-dumping (AD) and countervailing duty (CVD) orders.

The inquiry focuses on whether Indonesian processing is minor or insignificant compared to the original manufacturing of hot-rolled and cold-rolled steel in the source countries. If officials find evidence of circumvention, the current AD and CVD on Chinese and Vietnamese goods will apply to these Indonesian imports.

The products involved are flat-rolled steel products with metallic protective layers like zinc, aluminum, or specialized alloys. These items may also undergo additional processing, including corrugation, painting, or lamination with plastic and other non-metallic coatings to prevent corrosion.

A preliminary ruling is expected within 150 days from the initiation of this circumvention inquiry notice.