Skip to main content

Fair Trade Update: Curtain Wall, Door Thresholds & Vietnam

Well, our year is off and running with a bang. Scope issues, Administrative Review, and circumvention top our list in early 2018.

This month we learned that there will be an appeal in the curtain wall scope case.  Permasteelisa and Jangho filed a notice of appeal last week.  It is expected that Yuanda will almost surely file their own notice of appeal by the deadline, which is February 12. The Chinese industry signaled that they would appeal in a recent article in US Glass magazine.   

Additionally, our scope challenge related to door thresholds continues to move forward.  This is a significant case because door thresholds are expressly mentioned as subject merchandise in our trade orders.  So, to lose this application could open the door to many applications clearly covered by our case.  Finally, we continue to await the judges’ (there are more than one judge at the CIT) decision in the appliance handles cases we defended last fall.  We believe we will win.  However, we are mostly interested to know the basis on which the judges’ rule in our favor.  This could open the door for us to go back to the Department of Commerce (DOC) and ask them to reverse earlier exclusions in key product categories.  So, stay tuned to this one.

The DOC announced its preliminary decision in the Administrative Review in the Anti-Dumping (AD) case.  They announced tariffs would remain at 86%.  This is very good for us, especially in imports from China that are kitted, like curtain wall.  We have not yet seen an announcement from the DOC on the Countervailing Duty (CVD) case.  Hopefully we will have that for you next month.  It currently stands at 20% making our combined rate 106%.

As you would have read in a Trade Alert in January, the AEC did file a circumvention case against Vietnam.  That timeline allows for the DOC to review the petition for 45 days and announce if it will move forward with a full investigation.  We should hear the DOC’s decision later this month.  Therefore, the final decision should occur before the end of 2018.  However, there are many legal maneuvers and DOC actions that could delay both the initial 45 days and the 300 days thereafter.  In the 5000-series and pallet cases, it took almost two years for the final decision. So, we shall see.  The good news is that we got the case filed and it is very strong.

So, even though the 232 Investigation has been the key focus for our industry in recent weeks, it is good to know that we continue to move forward with positive results in the key areas of our trade case against China.  AEC members can read my analysis of the 232 Investigation in this month’s issue of teh AEC member newsletter, essentiALs.

Comments

Popular posts from this blog

AEC Duties Unchanged; “Trumponomics” Impacts Extruders

Our 6th Annual Administrative Review results have been announced.  As previously reported, the Department of Commerce (DOC) maintained extrusion tariffs at 86.01% for our subsidy, or countervailing duty (CVD), case and 20% for our anti-dumping (AD) case.  The combined duty of 106% has been stable since 2016.  This is a good number for the industry, which continues to contain Chinese aluminum extrusion at less than 1% market share. Furthermore, the DOC also assigned the Adverse Facts Available (AFA) rate of 198.61% to the two mandatory respondents, Liaoning Zhongwang Group Co., Ltd. and Liaoyang Zhongwang Aluminum Profile Co. Ltd., which has been the AFA rate since the 5th review.  The 7th Annual Administrative Review has begun with the selection of mandatory respondents. 

Elsewhere in our case, there is nothing new to report on the scope issues we are battling.  We continue to wait for court dates or decisions depending on the matter.  Our trade enforcement actions and results have ma…

Great News! The 5050 Appeal has been Won!

Since the industry won its 5050 alloy circumvention case, extruders across the country saw a return of orders from customers that went that direction.  With this case on appeal, there were legitimate concerns that all of this would be reversed.  However, the Department of Commerce (DOC) won its case at the Court of International Trade (CIT), and the industry is spared another round of disruption.  This is good news, indeed!

This win comes on the heels of our victory in the Vietnam circumvention case.  Since that preliminary decision was made, Vietnam has placed duties on Chinese imports.  We believe this in response to our circumvention case as reported here.

Also noteworthy: on May 1, 2019, the Department initiated anti-circumvention inquiries to determine whether imports of aluminum jalousie shutters that are processed in the Dominican Republic from window frame extrusions produced in China are circumventing the Orders. The Department also self-initiated a scope inquiry to determine…

Work Focuses on Scope Challenges and Imports

This month our Fair Trade focus has shifted back to scope challenges.  At the same time, other issues are developing, which I will touch on in this report.  However, the key decision this month actually came from an adversary.  Whirlpool has dismissed its appeal in the appliance handle case.  This is a great development for us, as we have one less opponent in our quest to push the Department of Commerce (DOC) to return the interpretation of our scope back to the original language and its intent.  This decision from the courts confirms that the DOC cannot rule an item out of scope simply because it has additional non-extruded components.  It also reinforces the principle that a part cannot be ruled out of scope if it is a subassembly of a larger product.  These two issues are the legal pillars that will enhance our ability to keep more applications covered by our orders, and possibly seek a reversal from the DOC on items previously ruled out of scope.

One of those product categories in…