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Trade Enforcement and Rumors about the 232

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 The U.S. extrusion industry is analyzing trade data to determine the best strategy to address the rising imports we’ve seen over the last four years.  This deep analysis has not stopped us from pursuing trade remedies within our existing orders against China.  So, over the last month we have seen activity in the China case in trade enforcement.  We currently have two EAPA allegations that are active.  One is in the fencing industry, the other is in automotive applications.  The first has significant volume implications, while the second is a key precedent regarding Chinese extrusions being sent to Mexico for fabrication prior to export to the U.S.  Each case is proceeding and when we can comment publicly about it, we will.

Meanwhile, reports began to surface out of D.C. last week of movement in the 232 program.  As I write this entry, I am still not clear if this is a legislative effort intended to redefine the nature of how 232 Orders can be launched, versus a pending announcement from the Department of Commerce about the Generally Accepted Exclusions (GAEs) that dropped our extrusion duties.  Once this is made clear I will issue a trade alert.  I continue to lean on my contacts in Washington to provide me with an update.  Their silence can mean an announcement is imminent and they must keep quiet, or it could mean they’ve moved on and aren’t bothering to tell us.  Either way, I think it is clear to the U.S. industry that it is best for us just to take matters into our own hands and seek the protection we need.

It is important for the international community to know that dumping products into the U.S. market is illegal.  The aluminum price discrepancies create an unfair trade advantage.  Period.  Faced with this level of competition, these illegal and unfair advantages would put any industry at risk.  And that is where we find ourselves today.  These extruders deserve better.  When we gather for the AEC Management Conference, September 19-21, in Chicago this will be the loudest ‘unspoken’’ issue in play.  It will remain unspoken until the veil has been lifted.  Then everyone will know who, what, and where we plan to fight back.  But fight we will.  We’ve faced this before, beat it, and prospered.  We are prepared to do it again.  See you in Chicago!


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