Indonesia KADI — Provisional Anti-Dumping Duty (BMADS) on Hot-Rolled Coil from Wuhan Iron and Steel Co., Ltd (PMK No. 32 Tahun 2026)

Mechanism

KADI initiated an anti-dumping investigation into WISCO HRC imports following a petition from the Indonesian domestic steel industry. The preliminary determination found evidence of dumping causing material injury to Indonesian flat-rolled steel producers. PMK No. 32 Tahun 2026 operationalised the provisional measure via the Kementerian Keuangan (Ministry of Finance), which is the statutory body responsible for implementing duties at the border.

The 17.50% BMADS applies to imports of uncoated/unplated hot-rolled coil of iron or non-alloy steel, width ≥600mm, classified under the following HS positions: 7208.10.00, 7208.25.00, 7208.26.00, 7208.27.11, 7208.27.19, 7208.27.91, 7208.27.99, 7208.36.00, 7208.37.00, 7208.38.00, 7208.39.10, 7208.39.20, 7208.39.30, 7208.39.40, 7208.39.90, ex7208.90.10, ex7208.90.20, ex7208.90.90.

The provisional window runs 27 May – 22 November 2026 (six months), in line with Indonesia's PP 34/2011 anti-dumping procedural regulations. KADI's statutory investigation deadline is 12 months from initiation; the definitive outcome will be a definitive duty, a duty at a different rate, or closure/archival.

Context — WISCO and Chinese steel capacity: Wuhan Iron and Steel Co., Ltd is a wholly state-owned subsidiary of China Baowu Steel Group, the world's largest steel producer by volume. WISCO's Wuhan plant (Wuhang Iron & Steel main site) is one of China's five largest integrated steel complexes, with significant HRC export capacity. Chinese HRC has been subject to anti-dumping investigations in multiple jurisdictions in 2024–26 (EU, India, Türkiye, Vietnam) amid ongoing Chinese steel overcapacity concerns.

Companion action — Definitive AD on flat-rolled non-alloy steel: KADI simultaneously operates a separate definitive anti-dumping measure on a broader basket of flat-rolled non-alloy steel products from China, India, Russia, Kazakhstan, Belarus, Taiwan and Thailand — distinct from this single-company/single-origin HRC provisional duty. That definitive measure may be filed as a separate IPTM action once its PMK citation and effective date are confirmed.

Downstream implications

• Indonesian downstream steel consumers (automotive, construction, manufacturing) face a 17.50% import cost increase on Wuhan-origin HRC until KADI renders its definitive determination; buyers will need to re-source from non-WISCO Chinese mills or alternative origins (Japan, Korea, Taiwan, India) to avoid the duty.
• The action opens the Indonesian HRC market to non-dumped-price-margin Chinese suppliers and to other exporting countries not named in the provisional measure — potential trade diversion toward non-WISCO Chinese HRC or Japanese/Korean supply.
• Highlights Indonesia's active KADI/KPPI anti-dumping and safeguard enforcement regime, a dimension underrepresented in trade-policy monitoring focused on the US and EU perimeters.

Open questions

• Will KADI's definitive investigation confirm the 17.50% margin or adjust it? Outcome expected by late-Q1 2027.
• Will other Chinese HRC exporters be included in a broadened definitive measure, or will the definitive duty remain Wuhan-only?
• Status and PMK citation of the companion KADI definitive AD on flat-rolled non-alloy steel from CN/IN/RU/KZ/BY/TW/TH — verify before filing as separate action.