OneSteel Limited - s.87B undertaking

OneSteel Limited (OneSteel) requested informal clearance from the ACCC for its proposed acquisition of Smorgon Steel Group Limited (Smorgon). The ACCC had concerns that anti-dumping applications had the ability to significantly disrupt supply of imports of steel long products into Australia. Since the proposed acquisition would lead to a single domestic manufacturer of most types of steel long products, the ACCC considered that preserving the ability of legitimate imports to provide a competitive constraint would be crucial.

OneSteel provided a court enforceable undertaking to the ACCC that, for a period of 5 years (with potential for extension by negotiation), it will compensate importers who have incurred expenses or losses as a result of unsuccessful anti-dumping applications.

A public competition assessment will be issued in relation to the proposed acquisition.