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AEC Meets with Department of Commerce about the Aluminum 232

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 Last month the Aluminum Extruders Council (AEC) met with the Department of Commerce (DOC) to discuss our concerns with the Aluminum 232.  This meeting, which I was told we would never get because the new administration was simply too busy with their transition into power, was a direct result of our email campaign to our legislators last month executed by you, the members.  I want to call out Guy Charpentier with Bonnell Aluminum for his effort and result.  Working through the newly elected Senator Warnock’s office, Guy was able to persuade them to set this meeting up for us.  And, they did!

It was an excellent meeting.  We were happy to see several officials from the DOC attend, including the person responsible for the entire 232 program.  I had met with him earlier when the 232 was being considered.  I warned him of several risks to our market if the 232 was enacted.  This meeting set us up for a bit of a “I told you so!” moment.  They listened to us, and they told us they heard us.  We made it clear that we (still) opposed the 232 and demanded they reinstate the 232 extrusion tariffs they unilaterally dropped in December.  I am confident those tariffs will be reinserted.

The reason they dropped them was that no extruder had come forward to protest and exclusion requests for extruded products.  To minimize their workload, they concluded that if we aren’t going to protest, then they must not be important to us.  Therefore, if those tariffs come back online, we will have to take some stands when we see exclusion requests posted on the DOC’s site.  The AEC can help facilitate the communication about any such exclusion requests, but it can’t fight them.  That legal battle must be waged by extrusion companies. That is the law.  If we don’t fight the exclusions, they will drop the 232 tariffs again, and we will probably not get another bite of the apple.

The Biden Administration is reviewing the 232 and have not made it clear what their long-term plans are for the program.  In the near term, they are making it clear they will stay the course.  There is huge pressure on them to drop them entirely.  Manufacturers across the country are calling for the end to the tariffs.  On the other side, labor unions and the domestic producers make the case that they are dead in the water without the benefit of the 232.  Even though we are not the biggest group in the room, we are in a unique position.  We consume more than 20% of all aluminum used in the U.S. and we supply extrusions to most of the manufacturers that are lobbying against the 232.  That makes our speaking voice relevant to the discussion.  So, we will continue to work the issue, and I will continue to keep you updated.


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