Ahmed Kamel – Egypt Daily News
The United States has announced the imposition of provisional countervailing duties on imports of Egyptian steel rebar after concluding that producers and exporters in Egypt benefit from government subsidies that are subject to trade remedies under U.S. law.
In a statement, the U.S. Department of Commerce said it had reached a preliminary determination that Egyptian rebar exporters receive countervailable subsidies, leading to the decision to impose duties of 29.51 percent on imports of the product into the American market. The investigation covers the period from January 1 to December 31, 2024, with the measures set to take effect on January 13, 2026.
According to the Department’s Enforcement and Compliance unit, the countervailing duty determination will be coordinated with a parallel investigation into whether Egyptian rebar is being sold in the U.S. market at less than fair value. Final rulings in both cases are expected no later than May 26, 2026, unless the deadline is extended.
The move comes at a time of fluctuating performance for Egypt’s iron and steel exports. Data from the Export Council for Building Materials show that Egypt’s iron and steel exports rose by 42 percent in September to $190 million, compared with $134 million in the same month of the previous year. However, exports declined over the first nine months of 2025 to $1.4 billion, down from $1.65 billion during the same period in 2024.
Despite the downturn, Egypt has maintained a diversified export base for steel products. Turkey ranked as the largest importer of Egyptian iron and steel during the period, with imports valued at $209 million, followed by Brazil at approximately $148 million. The United States ranked third with imports totaling $125 million, ahead of Lebanon at $85 million, Saudi Arabia at $72 million, and Italy at around $57 million.
The U.S. decision highlights mounting trade pressures facing global steel producers amid increased use of trade defense instruments by major economies seeking to protect domestic industries from subsidized or underpriced imports.
Commenting on broader U.S. tariff policies, Egypt’s Minister of Investment and Foreign Trade, Hassan El-Khatib, said Egypt has been relatively less affected by recent American trade measures. Speaking to Al Arabiya Business on the sidelines of the World Economic Forum in Davos 2026, El-Khatib noted that the tariff rate applied to Egypt stands at 10 percent, the lowest tier in the U.S. tariff schedule.
He argued that this position provides Egypt with a relative competitive advantage and presents an opportunity rather than a threat. Lower tariffs, he said, could encourage the localization of industries and attract foreign direct investment seeking to benefit from preferential access to the U.S. market.
Trade analysts note that while the countervailing duties on rebar may weigh on Egypt’s steel exports to the United States, the longer investigation period leaves room for diplomatic engagement, legal defense by exporters, and potential adjustments in export strategies. The outcome of the final rulings next year will be closely watched by both Egyptian manufacturers and international trade partners, given their implications for market access and the competitiveness of Egypt’s steel sector.
