Europe can forbid the Ukrainian pipes

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Yesterday it became known that the European commission excited anti-dumping investigation concerning import of square and rectangular pipes from Ukraine. In the conditions of world crisis of liquidity loss of the European sales market sounds even more threateningly for the main Ukrainian producers of this production - Dneprovsky metal works of Komintern and Lugansk pipe plant. However, experts consider that membership of Ukraine in the WTO can smooth possible consequences.

The European commission excited anti-dumping investigation concerning import of square and rectangular steel pipes of the Ukrainian, Belarusian and Turkish origin, reported yesterday Interfax — Ukraine agency with reference to the official magazine of the European Union of November 13. Import of this type of pipes from these countries causes damage to the European producers of similar production, is spoken in the message.

Investigation was begun on the basis of the application of committee submitted on September 29 on protection of Association of producers of welded steel pipes (The Defence Committee of the Welded Steel Tubes Industry of the European Union). The studied period - from October 1, 2007 to September 30, 2008. It is supposed to finish it within 15 months from the date of the publication in the EU official magazine. Thus preliminary measures can be established not later than in nine months.

The main producers of square and rectangular steel pipes in Ukraine are Dneprovsky steel works of Komintern and Lugansk pipe plant, the analyst of IK Alfa Capital Oleg Yuzefovich speaks. According to Goskomstat, for the period investigated by European Commission from Ukraine 213 thousand tons of such pipes were exported. To EU countries in nine months of the current year - about 123 thousand tons of profile (not round) pipes for the sum of 116,7 million dollars.From the European countries to Germany - 68 thousand tons, to Poland - 19 thousand tons, to Estonia - 11 thousand tons, to Lithuania - 11 thousand tons, to Latvia - 6 thousand tons.

In Dneprovsky metal works of Komintern yesterday declared that the fact of a dumping don't admit and we are ready to defend the interests in European Commission. "We realize pipes in the EU markets at the price of domestic market plus costs for transportation and other expenses", - reported at the enterprise, having refused more detailed comments. The analyst of IG "Socrates" Dmitry Horoshun agrees that the prices in Ukraine on profile pipes were at the level of the export. "Therefore it is difficult to speak about a dumping. For 2008 of the price in EU practically didn't differ from the prices for other countries", - he emphasizes. According to Alfa Capital, at the beginning of October, 2007 the cost of profile steel pipes on the terms of DAF Ukraine made 700 dollars for ton, and on September 30 this year - 1100 dollars for ton.

According to the vice-the president on Research&CIS countries Consulting Group AG of Alexander Sirik, in the conditions of world crisis of liquidity loss of the European sales market sounds even more threateningly for the main Ukrainian producers. "As practice shows, the end user as the producer wishes to transfer additional costs for the buyer usually suffers from introduction of anti-dumping duties, but in the conditions of world financial crisis demand practically is absent, - he speaks. - Besides, there is no organized large consumer of the profile pipes, ready to lobby interests and to prove European Commissions that it will do harm". However, according to mister Sirik, membership of Ukraine in the WTO can reduce probability of loss of the market considerably. "It gives the chance to challenge the decisions passed by European Commission", - he notes.

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