Bloomberg reported that European Union has renewed tariffs as high as 58.9% on steel tube fittings from China and Thailand to help EU producers compete with cheaper imports, prolonging trade protection that is more than a decade old.

As per report, the EU imposed the duties for 5 more years to punish Chinese and Thai exporters of the fittings, which are used to join tubes or pipes mainly in the chemical, energy, construction and shipbuilding industries, for selling in Europe below cost.

The renewal of the anti dumping duties comes 10 months after the EU prolonged similar levies of up to 75% on South Korean and Malaysian steel tube fittings and highlights the threat posed to European manufacturers by lower cost Asian competitors. The duty rates are 58.6% against China and as high as 58.9% against Thailand.

China had 20% and Thailand 2% of the EU market for tube fittings in the 12 months through March 2008, a doubling compared with 2004 that generated combined sales of more than EUR 22 million. The EU also imports the goods from Israel, Turkey, Vietnam and India.

It may be noted that the EU introduced the anti dumping duties against China and Thailand in 1996 and prolonged the levies for 5 years in 2003. The latest renewal is the outcome of an inquiry that prevented the measures from lapsing in June 2008.