Questions & Answers About Turkey's Safeguard Measure 21/09/2018

Questions & Answers About Turkey


What is imposed with the preliminary safeguard measure?
Quota for product groups and when the quota filled 25% additional import duty for all products under measure.

How long will the preliminary safeguard measures will be active?
The preliminary measures will be active for 200 days period. Within this time the Ministry of Trade should determine the final measure to be adapted.

When will the measure be effective?
The measure in the Official Gazette is an advisory circular and is not effective from the date of publishing in the official gazette.

What will happen next?
The notification published in the official gazette will be submitted to the President of the Turkish Republic. After the the notification is signed and approved by the President, it will be published as a decree and come into force.

Is the quota determined for general product groups, for example a general quota for all flat steels?
Yes currently the defined quota is for general product groups. However with the Presidential decree we expect to see the breakdown of that single quota to spesific HS Codes.

How will be the quota used?
The quotas is expected to be used on first come first serve basis.

How is the quota determined?
The quota is determined according to the average import of the under-investigation products in 2015, 2016, 2017 as in the EU case. 

Are all countries targeted with that safeguard measure?
The notification in the Official Gazette makes referencec to only developing countries. The developing countries are mentioned as the country group whose steel might be excluded. At least that  is suggested in the notification to the approval of the President. 

Are the main exporters such as China, Russia, Ukraine and Brazil listed in the developing countries?

No. None of them are listed in the developing countries category. 

Are EU countries targeted?
There is no reference to EU countries in the notification. However, as a retaliation to the EU measure, it is highly protable that EU origin steel will be targeted.

Are there import duties currently applied to those products?
Yes currently import duties of the steel products under safeguard measure range between 0 % to 40 % depending on the products.

How will the additional duties be applied during quota period and after quota filled?
Firstly, quota will be active as in the EU measure. While the quota is filled (during that time) current import duties will be active. For instance HRC import duty will be 9% from third country imports such as Russia, Ukraine and China, while quota is effective. After the quota is filled, import duty of HRC from third countries will be 9 % + 25 % = 34%

Is there any exclusion for the quotas and additional 25% tariffs?
Yes there seems to be some exclusions for the quotas and additional 25% tariffs.

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