G/SG/N/8/THA/3  
G/SG/N/10/THA/3  
G/SG/N/11/THA/4  
 
15 January 2015  
(15-0278)  Page: 1/8  
Committee on Safeguards  Original: English  
 
 NOTIFICATION UNDER ARTICLE 12.1(B) OF THE AGREEMENT ON 
SAFEGUARDS ON FINDING SERIOUS INJURY OR THREAT 
THEREOF CAUSED BY INCREASED IMPORTS 
NOTIFICATION PURSUANT TO ARTICLE 12.1(C) OF  
THE AGREEMENT ON SAFEGUARDS 
 
NOTIFICATION PURSUANT TO ARTICLE 9, FOOTNOTE 2, 
OF THE AGREEMENT ON SAFEGUARDS 
THAILAND  
(Non Alloy Hot Rolled Steel Flat Products in Coils and Not in Coils) 
The following communication, dated 13 January 2015, is being circulated at the request of the 
Delegation of Thailand.  
_______________ 
  Pursuant to Article 12.1(b), 12.1(c) and 9, footnote 2 of the Agreement on Safeguards , Thailand 
hereby submits notification to the Committee on Safeguards on findings of serious injury or threat 
thereof caused by increased imports, on taking the decision to apply definitive safeguard measure, and on taking the decision not to apply the measure to products originating in developing 
countries. 
 The initiation of the investigation, the imposition of provisional safeguard measures as well as the 
decision not to apply provisional safeguard measures  to non alloy hot rolled steel flat products in 
coils and not in coils (hereinafter refer to as "the products concerned") originating in or exported from certain developing countries have been notified to the Committee on Safeguards in G/SG/N/6/THA/4 (3 February 2014), G/SG/N/7/THA/3-G/SG/N/11/THA/3 (28 May 2014), 
G/SG/N/7/THA/3/Suppl.1-G/SG/N/11/T HA/3/Suppl.1 (25 September 2014). 
 Consistent with Article 12.2 of the Agreement on Safeguards, this notification contains all pertinent 
information relating to the decision to apply the definitive safeguard measure on product 
concerned and the definitive safeguard measure applied.   
1  EVIDENCE OF SERIOUS INJURY OR THREAT THEREOF CAUSED BY INCREASED 
IMPORTS  During the period of investigation commencing from 1 January 2010 to 31 December 2013, import 
volume of the products concerned into Thailand increased significantly both in absolute and 
relative terms. An evaluation of the overall position  of the domestic industry, in the light of almost 
all the relevant factors, having a bearing on the situation of the Thai domestic industry, shows a 
significant overall impairment. It was thus concluded that the domestic industry has suffered 
serious injury in terms of shrinking market share; declining production and domestic sales; underutilizing production capacity and decreasing employment level. 
 G/SG/N/8/THA/3 • G/SG/N/10/THA/3 • G/SG/N/11/THA/4 
 
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  2  INFORMATION ON WHETHER THERE IS AN ABSOLUTE INCREASE IN IMPORTS OR AN 
INCREASE IN IMPORTS RELATIVE TO DOMESTIC PRODUCTION  During the period of investigation, the imports of the products concerned into Thailand increased 
sharply from year to year, in both absolute and relative terms. 
 Absolute Term: 
Unit: Metric Ton 
Year  Total Import (MT)  Change % Change 
2010  69,489  - - 
2011  112,717  43,228  62.21  
2012  276,749 164,032  145.52  
2013  942,291  665,542  240.48  
 
In absolute terms, the volume of imports amou nt of the products concerned increased rapidly 
throughout the investigation period from 69,489 metric ton in 2010 to 942,291 metric ton in 2013. 
Particularly from 2012 to 2013, the imports increased steeply by 240.48%.  
Relative Term: 
Unit: Metric Ton 
Year Total Import 
(MT ) Domestic Production  (MT ) Import in relation to Domestic 
Production  (%) 
2010  69,489  3,736,160  1.86 
2011  112,717  3,199,815  3.52  
2012  276,749 2,874,521  9.63  
2013  942,291  2,842,901  33.15  
 
While the imports of the products concerned rose sharply during the investigation period, the 
domestic production, on the contrary, has shown a steady decline. The table above shows that in 
relation to the production of domestic industry, the imports of the products concerned rose rapidly 
from 1.86% in 2010 to 33.15% in 2013. 
 
3  EVIDENCE OF SERIOUS INJURY AND THREAT THEREOF 
 
A substantive evaluation of the effect of all the relevant factors having a bearing on the situation of the domestic industry has been conducted. It was concluded that the increased imports of the 
products concerned into Thailand have caused serious injury to the domestic producers as 
reflected by the following parameters:  
a. Market Share of Imports 
ITEM 2010  2011 2012 2013 
Market Share of Imports 
(%) 1.48  2.34  5.00 16.58 
 
The market share of imports continuously rose from 1.48% in 2010 to 16.58% in 2013. Especially, 
from 2012 to 2013, it substantially increased from 5% to 16.58%.  G/SG/N/8/THA/3 • G/SG/N/10/THA/3 • G/SG/N/11/THA/4 
 
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  b. Domestic Sales 
Index form 
ITEM 2010  2011 2012 2013 
Domestic Sales  100 90.3  85.7 79.4 
 
The sales of domestic industry continuously de clined over the period of investigation. In 
comparison with the sales of 2010, the sales of the domestic industry significantly decreased 
by 20.6% in 2013, despite the increasing in domestic demand.  
 
c. Domestic Production 
Index form 
ITEM 2010  2011 2012 2013 
Domestic Production  100 86 77 76 
 
The domestic production has shown a sign of do wnward trend over the investigation period. It 
decreased by 24% in 2013 when compared with 2010 as the base year.  
 
d. Productivity 
 Index form 
ITEM 2010  2011 2012 2013 
Productivity (%)  100 97.9  100 101.1 
 
There was no significant change in the level of productivity of the domestic industry, but remained 
relatively stable over the investigation period.  
e. Capacity Utilization 
 
Index form 
ITEM 2010  2011 2012 2013 
Capacity Utilization (%)  100 85.1  76.6 76.6 
 
Despite high demand of the product concerned in the domestic market, the overall capacity utilization of the domestic industry was relatively low. In comparison with 2010, the capacity 
utilization continuously decreased to the lowest at 76.6% in 2012 and 2013. 
 
f. Profit/Loss 
Index Form 
ITEM 2010  2011 2012 2013 
Profit/Loss  (100)  (28)  (64) (31) 
 
The domestic industry has faced extensive loss over the period of investigation as they were unable to improve capacity utilization as domestic sales continued to decline due to significant 
increase in imports.   
 G/SG/N/8/THA/3 • G/SG/N/10/THA/3 • G/SG/N/11/THA/4 
 
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  g. Employment 
Index Form 
ITEM 2010  2011 2012 2013 
Employment  100 98 93 88  
 
The level of employment has shown a negative tr end over the investigation period. It decreased 
to 98%, 93% and 88%, respectively, when compared with employment level in 2010. 
 
h. Inventory 
 Index Form 
ITEM 2010 
 2011 2012 2013 
Inventory  100 98 46 54  
 
Compared with 2010, the level of inventory substantially decreased in 2012 and 2013 as the 
domestic industry reduced inventory levels corresponding with the decline in production and domestic sales. 
 
i. Unforeseen Developments 
 The increase of imports was sudden, sharp and significant in the recent past. Particularly from 
2012 to 2013, the import increased steeply by 240. 48%. This significant increase of imports was 
attributed to the adverse effect of global econom ic slowdown resulting from the Euro-Zone crisis 
and the recession in the United States causing the oversupply of steel products in the countries of 
major steel producers. Hence, the major steel producers needed to export their products to other 
possible markets, including Thailand, to absorb the oversupply products available in their home countries and to utilize their excessive capacities. In addition, the significant increase of imports 
was attributed to the trade diversion due to the imposition of trade remedies measures in various 
importing countries against several major exporting producers/countries such as India, Chinese Taipei, Russia, Japan and Korea. The shift of pr oduct concerned exporting to the markets without 
such measures was a consequence. This situatio n can be regarded as an unforeseen development 
resulting in increase in imports causing serious injury to the domestic industry. 
 4  PRECISE DESCRIPTION OF THE PRODUCTS CONCERNED 
 
The products concerned are non alloy hot rolled steel flat products in coils and not in coils, of a thickness of 0.9 – 50.0 mm. and a width of 600.0 – 3,048.0 mm. The products concerned are 
currently classified under the Thai Customs Tariff Code at subheadings: 7208.36.00.031, 
7208.36.00.032, 7208.36.00.033, 7208.36.00.090, 7208.37.00.041, 7208.37.00.042, 7208.37.00.043, 7208.37.00.090, 7208.38.00.041, 7208.38.00.042, 7208.38.00.043, 7208.38.00.090, 7208.39.00.041, 7208.39.00.042, 7208.39.00.043, 7208.39.00.090, 
7208.51.00.090, 7208.52.00.090, 7208.53.00.011, 7208.53.00.012, 7208.53.00.013, 
7208.53.00.090, 7208.54.00.011, 7208.54.00.012, 7208.54.00.013, 7208.54.00.090, originating in or exported from various countries. 
 
5  PRECISE DESCRIPTION OF THE PROPOSED MEASURE 
 
The definitive safeguard measure is applied in relation to increased imports in order to remedy or 
prevent the serious injury suffered by the domestic industry.  
The Committee on Safeguard Measures of Thailand, the competent authority, has recommended 
imposing the safeguard duty for a period of three years starting from 7 June 2014, i.e., the date when the provisional measure took effect, until 6 June 2017. In accordance with the relevant 
provisions of the Thai Safeguard Measures on Increased Imports Act B.E.2550 (2007), which refer 
to Thailand's obligations under Article XIX of the GATT and the WTO Agreement on Safeguards, the measure shall be progressively liberalized du ring the period of thei r validity as follows: G/SG/N/8/THA/3 • G/SG/N/10/THA/3 • G/SG/N/11/THA/4 
 
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Duration Definitive Safeguard Duty 
24 December 2014 - 6 June 2015 21.92% of C.I.F. price 
7 June 2015 – 6 June 2016 21.52% of C.I.F. price 
7 June 2016 – 6 June 2017 21.13% of C.I.F. price 
 
The definitive measure will not be applied against the products concerned originating in or 
exported from any developing country as long as its share of imports of the products concerned 
into Thailand does not exceed 3%. The list of developing countries excluded from the definitive measure is attached herewith. 
 
In addition, the exemptions of the imposition of definitive safeguard measure are granted for 
i) imports of products classified as special grade steels; ii) imports for the production of spiral pipe 
products; and iii) imports for export, i.e., imports of products that are intended to be 
manufactured, further processed or incorporated into  a finished product that will be exported from 
Thailand under the Industrial Estate Authority of Thailand Act; or, the Investment Promotion Act; or, the Customs Act. 
 
6  THE MAJOR EXPORTING MEMBERS OF IMPORTS OF THE PRODUCT INVOLVED  
The products concerned are mainly imported from Republic of India, Russian Federation, Australia, 
and Republic of Korea, with the share of im ports in 2013 of 33.5%, 15.2%, 13.2% and 12.9% 
respectively. 
 
7  FURTHER INFORMATION  The Final Findings was published in the Thai Government Gazette of Thailand on 
22 December 2014. G/SG/N/8/THA/3 • G/SG/N/10/THA/3 • G/SG/N/11/THA/4 
 
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  ANNEX 
LIST OF DEVELOPING COUNTRIES AND SEPARATE CUSTOMS TERRITORIES EXCLUDED FROM 
THE IMPOSITION OF DEFINITIVE SAFEGUARD MEASURE ON NON ALLOY HOT ROLLED STEEL FLAT 
PRODUCTS IN COILS AND NOT IN COILS 
No. COUNTRY No. COUNTRY 
1. 
2. 3. 
4. 
5. 6. 7. 
8. 
9. 
10. 
11. 
12. 13. 
14. 
15. 16. 17. 
18. 
19. 20. 
21. 
22. 23. 
24. 
25. 26. 27. 
28. 
29. 30. 
31. 
32. 33. 
34. 
35. 36. 
 Afghanistan 
Albania Algeria 
American Samoa 
Angola  
Anguilla Antigua and Barbuda 
Argentina 
Armenia Aruba 
Azerbaijan 
Bahamas Bahrain 
Bangladesh 
Barbados Belarus Belize 
Benin 
Bhutan Bolivia (Plurinational State of)  
Bonaire, Sint Eustatius and Saba 
Bosnia and Herzegovina Botswana 
British Virgin Islands 
Brunei Darussalam Burkina Faso Burundi 
Cambodia 
Cameroon Cape Verde 
Cayman Islands 
Central African Republic Chad 
Chile 
China Colombia  37. 
38. 39. 
40. 
41. 42. 43. 
44. 
45. 46. 
47. 
48. 49. 
50. 
51. 52. 53. 
54. 
55. 56. 
57. 
58. 59. 
60. 
61. 62. 63. 
64. 
65. 66. 
67. 
68. 69. 
70. 
71. 72. 
 Comoros 
Congo Cook Islands 
Costa Rica 
Cote d'Ivoire Croatia Cuba 
Curacao 
Democratic People's Republic of Korea Democratic Republic of the Congo 
Djibouti 
Dominica Dominican Republic 
Ecuador 
Egypt El Salvador Equatorial Guinea 
Eritrea 
Ethiopia Falkland Islands (Malvinas) 
Fiji 
French Polynesia Gabon 
Gambia 
Georgia Ghana Grenada 
Guam 
Guatemala Guinea 
Guinea-Bissau 
Guyana Haiti 
Honduras 
Hong Kong, Special Administrative Region of China Indonesia G/SG/N/8/THA/3 • G/SG/N/10/THA/3 • G/SG/N/11/THA/4 
 
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  No. COUNTRY No. COUNTRY 
73. 
74. 75. 76. 
77. 
78. 79. 
80. 
81. 82. 83. 
84. 
85. 86. 
87. 
88. 89. 
90. 
91. 92. 93. 
94. 
95. 96. 
97. 
98. 99. 
100. 
101. 102. 103. 
104. 
105. 106. 
107. 
108. 109. 
110. 
111. 112. Iraq 
Iran (Islamic Republic of) Jamaica Jordan 
Kazakhstan 
Kenya Kiribati 
Kuwait 
Kyrgyzstan  Lao People's Democratic Republic Lebanon 
Lesotho 
Liberia Libya 
Macao, Special Administrative Region of 
China Madagascar 
Malawi 
Malaysia Maldives Mali 
Marshall Islands 
Mauritania Mauritius 
Mexico 
Micronesia (Federated States of) Mongolia 
Montenegro 
Montserrat Morocco Mozambique 
Myanmar 
Namibia Nauru 
Nepal 
New Caledonia Nicaragua 
Niger 
Nigeria Niue Northern Mariana Islands 
 113. 
114. 115. 116. 
117. 
118. 119. 
120. 
121. 122. 123. 
124. 
125. 126. 
127. 
128. 129. 
130. 
131. 132. 133. 
134. 
135. 136. 
137. 
138. 139. 
140. 
141. 142. 143. 
144. 
145. 146. 
147. 
148. 149. 
150. 
151. 152. Oman 
Pakistan Palau Panama 
Papua New Guinea 
Paraguay Peru 
Philippines 
Qatar Republic of Moldova Rwanda 
Saint Helena 
Saint Kitts and Nevis Saint Lucia 
Saint Vincent and the Grenadines 
Samoa Sao Tome and Principe 
Saudi Arabia 
Senegal Serbia Seychelles 
Sierra Leone 
Singapore Sint Maarten (Dutch part) 
Solomon Islands 
Somalia South Africa 
South Sudan 
Sri Lanka State of Palestine Sudan 
Suriname 
Swaziland Syrian Arab Republic 
Tajikistan 
The former Yugoslav Republic of Macedonia Timor-Leste 
Togo 
Tokelau  Tonga  G/SG/N/8/THA/3 • G/SG/N/10/THA/3 • G/SG/N/11/THA/4 
 
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  No. COUNTRY No. COUNTRY 
153. 
154. 155. 156. 
157. 
158. 159. 
160. 
161. 162. Trinidad and Tobago 
Tunisia Turkmenistan Turks and Caicos Islands 
Tuvalu 
Uganda Ukraine 
United Arab Emirates 
United Republic of Tanzania Uruguay 163. 
164. 165. 166. 
167. 
168. 169. 
170. 
171. 
 Uzbekistan 
Vanuatu Venezuela (Bolivarian Republic of) Viet Nam 
Wallis and Futuna Islands 
Western Sahara Yemen 
Zambia 
Zimbabwe 
  
 
__________