Investigation Launched in Japan Regarding Unfair Import Pricing of Hot-Dip Galvanized Steel from China and South Korea
In August 2025, Japan initiated an anti-dumping investigation into hot-dip galvanized steel products — specifically coils, sheets, and strips — originating from China and South Korea [1][2][3]. The investigation, triggered by applications from major Japanese steelmakers like Nippon Steel and Kobe Steel, is expected to conclude within a year [1][2].
The investigation was officially launched by Japan’s Ministry of Economy, Trade and Industry (METI) and Ministry of Finance on August 13, following an application filed by Japanese firms on April 28 [2]. Tadashi Imai, chairman of the Japan Iron and Steel Federation and president of Nippon Steel, has stated that the investigation aims to address unfair import practices [6].
The influx of low-priced hot-dip galvanized steel imports from China and South Korea has been a concern for the Japanese steel industry. This surge in imports, partly due to China's domestic property market downturn reducing local demand and pushing exports outwards [1], has put pressure on domestic production and pricing. The probe is intended to shield Japanese steel producers from unfair pricing practices, aiming to stabilize domestic production and pricing [1][2].
The investigation has significant implications for the domestic industry, regional steel supply chains, and the global steel trade environment. Heightened trade tensions in Asia, with Japan and South Korea both intensifying anti-dumping duties against Chinese steel imports, are reshaping export strategies and supply chains regionally [5]. Chinese steel exporters are pivoting towards higher-value products due to declining export volumes amid these tariffs and geopolitical risks like potential U.S. tariffs and compliance costs related to carbon border adjustment mechanisms (CBAM) [5].
The protective measures could fragment the Asian steel market, increase costs for downstream industries (such as automotive and construction in Korea), and accelerate a shift toward green steel investment as competition intensifies [5]. Globally, these investigations contribute to rising protectionism and market uncertainty, impacting steel trade flows and forcing producers and investors to adapt to a more complex geopolitical and economic landscape [5].
Tadashi Imai has expressed concerns about the global rise in protectionism and its potential impact on Japan's domestic steel production [6]. He has stated that the industry will consult the government whenever necessary for further trade measures and will continue monitoring unfair import practices beyond the products under investigation [6]. The investigation excludes imports from Hong Kong and Macau.
Hot-dip galvanised steel is a material typically used in construction for elements exposed to the elements. No new details about the construction usage of hot-dip galvanised steel have been provided. Imai has also announced that the industry will not focus on new products or countries in this investigation.
Sources: [1] Nikkei Asia, (2025), Japan launches anti-dumping probe into Chinese, South Korean hot-dip galvanised steel. Retrieved from https://asia.nikkei.com/Business/Metals/Japan-launches-anti-dumping-probe-into-Chinese-South-Korean-hot-dip-galvanised-steel
[2] Reuters, (2025), Japan to investigate imports of hot-dip galvanised steel from China, South Korea. Retrieved from https://www.reuters.com/business/metals-mining/japan-to-investigate-imports-hot-dip-galvanised-steel-china-south-korea-2025-08-13/
[3] Japan Today, (2025), Japan launches anti-dumping probe into Chinese, South Korean hot-dip galvanized steel imports. Retrieved from https://japantoday.com/business/world/japan-launches-anti-dumping-probe-into-chinese-south-korean-hot-dip-galvanized-steel-imports
[4] Japan Times, (2025), Japan's steel industry grapples with surge in cheap imports. Retrieved from https://www.japantimes.co.jp/news/2025/08/14/business/japans-steel-industry-grapples-surge-cheap-imports/
[5] Asia Times, (2025), Japan and South Korea's steel tariffs reshape regional supply chains. Retrieved from https://asiatimes.com/2025/09/japan-and-south-koreas-steel-tariffs-reshape-regional-supply-chains/
[6] NHK World, (2025), Japan's steel industry chief warns of protectionism. Retrieved from https://www3.nhk.or.jp/nhkworld/en/news/20250910_26/
The investigation into hot-dip galvanized steel products aims to protect the domestic steel producers in Japan from unfair pricing practices, intending to stabilize domestic production and pricing. The concerns expressed by Tadashi Imai, chairman of the Japan Iron and Steel Federation and president of Nippon Steel, also revolve around the impact of rising protectionism on Japan's domestic steel production.
