BEIJING: Pakistan’s recent decision imposing anti-dumping duties on color-coated coil imports from China will not affect the growing Sino-Pak deep-rooted relationship, says a report published in the Global Times on Wednesday.

Imposing the tariff by the Pakistan's National Tariff Commission triggered doubts about the China-Pak relationship, but these concerns are unfounded. The case is an economic one, rather than a political dispute, and it's not necessary to read too much into it.

China and Pakistan have a firm and burgeoning relationship. The Belt and Road initiative has been fruitful in Pakistan. Gwadar Port and the China-Pakistan Economic Corridor have set good examples for the B&R.

Yet some observers claimed to be shocked by Pakistan's anti-dumping move against the Chinese products, since the two countries are on great terms.

This mindset overlooks Pakistan's demand to develop its own steel industry, as well as the realities of the steel industries on both sides.

The anti-dumping move was taken to protect Pakistan's steel industry. According to reports by the Pakistan media, the main reason to enact a punitive tariff on color-coated coil was that some commercial importers deliberately declared corrugated galvanized sheet, which was already on the anti-dumping list, as color-coated coil to avoid paying tariffs.

As a result, profits of domestic corrugated galvanized sheet producers have been sliced from $80 to $20 per ton. This situation has affected the production and inventory of steel companies in Pakistan. Every country has the incentive to protect its industries, and China understands that. China's steel industry has an overcapacity problem. In 2017, China - with 830 million tons of output - was still the largest steel producer in the world.