Essar Steel, one of the major domestic producers of high-end API grade HR (hot rolled) coil, plans to commence exports to the US market despite the 30% anti-dumping duty.

The company's move follows prices of the high-end API (American petroleum industry) grade HR products piercing the $400 per tonne mark.

According to market sources, the prices of these products are currently ruling in the $420-$430 per tonne range, up from $330-350 per tonne range a couple of months back. Essar Steel manufactures X65 grade API grade HR coils which are used for gas and petroleum product pipelines.

Sources said though SAIL, Tisco and Ispat also manufacture API grade HR coils, their products are lower grade (X42 & X50 grades) for which the prices are still below the $400 per tonne level.

Sources said Essar Steel is also contemplating filing a review petition with the US government after commencing the exports which could bring down the anti-dumping duty on this product. This, however, could be a time consuming process and it would involve re-investigation on the costing and related issues.

A senior Essar Steel executive told ET that the company is considering starting exports of high-end API grade HR (hot rolled) coils to the US market since the prices of these products have crossed the $400 per tonne mark.

"At this price level, exports to the US market could be economical even after paying up the high anti-dumping duty,'' the company executive said.

Ispat officials, however, said the company has no immediate plans for exports to the US market as prices of only some of the high grade HR products have gone up.

"We are now focusing mainly on the European markets for the exports,'' a senior Ispat group executive said. SAIL and Tisco are learnt to be not planning any immediate moves to commence exports to the US market.