The European Union announced import duties as high as 73.7 percent on Chinese steel, a step aimed at curbing the inflow of cheap steel from the country.

Europe is holding Asian imports as the major cause behind glut in steel market in Europe. The influx of import has severely affected the manufacturing in Europe, causing the sector to shed thousands of jobs.

Like Us on Facebook

Considering this scenario, the proposed import duties to be charged on Chinese hot-rolled steel, which is primarily used in gas containers and pipelines, will range between 13.2 percent and 22.6 percent.

Accordingly, heavy plates, which are used in civil engineering ventures, will be charged higher, ranging from 65.1 percent to 73.7 percent. Rates will vary for different companies and will be effective for six months.

In January this year, Eurofer, the European steel association, had filed a complaint on behalf of producers of various hot-rolled flat products.

With the imposition of new tariffs, the group lauded the EU for fast tracking the proceedings.

The European Commission said it was proven that Chinese products were "sold in Europe at heavily dumped prices."

China is directly affected by 15 out of the 37 different EU trade defense measures implemented relative to the importation of steel products. The steel industry in EU contributes 1.3 percent of the gross domestic product.

In 2015, the sector accounted for 328,000 jobs. However, oversupply in the segment has led to mass layoffs. It also negatively affected the metal prices, causing them to decline deeply.  

TagsEU, Eurofer, Tariff