Skip to main content

Aluminum Extruders Coalition Files Historic Case; Customs Says “Yes”

Well, in case you missed it, a group of Aluminum Extruders Council members filed a historic AD/CVD case against 15 countries.  All 15 countries will be sued for dumping (AD), and four will be sued for subsidies (CVD).  In a press release issued earlier this week, which you can read here, the countries were identified as well as the projected duties the coalition seeks. 

Anyone within the four walls of the Aluminum Extruders Council knew this was coming.  It has been discussed for four years.  To address rising imports, we battled in the enforcement arena, we went hard after products under assault in scope challenges and worked hard on the 232.  After exhausting every available option, and never seeing a dent in the import stats, we were faced with this hard decision.  That is where we are today.  The Hearing will be held later this month, and decisions will start to be rendered in the weeks that follow.  Communications about the details of this case will be handled by the Coalition, who have committed to underwriting the first two years of expenses in this case, and those that donate to the effort.  If you are interested in joining the coalition or donating to the effort, please contact me at jhenderson@tso.net.

Meanwhile, we continue to manage an active China case.  This month we’ve received positive news as we work on issues at Customs, and in the courts.  Two EAPA claims alleging transshipment are moving forward.  Briefs in these cases will be issued in the coming weeks.  The door threshold matter, which is still in the courts, is expected to hold oral arguments in Q1 2024.  During that same period, we expect oral arguments in the Kingtom EAPA claims.  The ball is moving in our direction, and it’s about time!

On the Aluminum 232 tariffs, we have submitted comments in the latest round of inquiries by the Department of Commerce.  As ridiculous as this has gotten – the same arguments repeatedly leading only to another hearing – it does seem we have a real chance of getting our 232 aluminum extrusion tariffs re-instated.  This is important as it creates a partial barrier to entry into our market that could discourage future “Belt and Road” projects by the Chinese in third countries.  The comment period is ending, and we will be conducting a webinar for members in which we provide you with a letter you can customize and send to your elected officials.  We will also have their contact information.  If you are an AEC member register for the webinar here.

Clearly, there are several high-powered issues we are pushing to protect and save our industry from unfair and illegal trade practices.  This is the foundation on which we stand.  We believe in free trade, but it must be fair.  It is not fair today, and we aim to fix that.


Comments

Popular posts from this blog

Valuation, USMCA, and Fair Trade Priorities

 The primary focus of our government affairs work at this moment centers on the Section 232 valuation issue currently under discussion in Washington, D.C.  As highlighted during the recent Aluminum Summit and in prior AEC communications, there remains uncertainty regarding how the Administration intends to resolve this matter. The original Executive Order that established the Section 232 aluminum tariffs made clear that the tariffs were intended to apply to the full value of the imported aluminum extrusion, not solely the value of the aluminum content within the product.  At this time, it remains unclear whether the Administration will seek to address the issue by issuing a new Executive Order or by providing additional interpretive guidance through U.S. Customs and Border Protection (CBP).  The AEC is actively monitoring these discussions and will update members as soon as a definitive course of action emerges. Parallel to the valuation discussions, attention is tur...

Section 232 Updates & Enforcement Expands

 The Administration issued another update to the Section 232 steel, aluminum and copper tariff program on June 1.  The program now reaches a growing list of derivative products and downstream imported goods where aluminum content is part of a larger product. The June 1 action modifies several of the 232 product annexes and makes temporary adjustments for certain equipment categories.  According to the White House fact sheet, certain agricultural equipment and other equipment will be adjusted from a 25 percent tariff to a 15 percent tariff.  The action also expands the category of industrial equipment eligible for the temporary 15 percent tariff treatment to include certain mobile industrial equipment, such as bulldozers and forklifts, when imported from trade deal countries eligible for that treatment.  These temporary changes are scheduled to remain in place through December 31, 2027. There were also modifications to the HTS codes covered by the annexes.  ...

Section 232 Update: Focus on Aluminum Derivative Products

 Over the past several weeks, we have started to get a clearer picture of how the updated Section 232 framework will impact aluminum, especially when it comes to derivative and finished products tied to the markets our members serve. The most important change is how the tariffs are applied. Covered products are now generally assessed on the full value of the imported product, rather than only the aluminum content. For finished goods, that is a meaningful change in how duty exposure is calculated. Looking at the annex structure, several key extrusion-driven products are now clearly defined. Aluminum windows, doors, and structural components (7610.10.00 and 7610.90.00) fall under Annex I-A and are generally subject to a 50% Section 232 tariff applied to full value. Trailers and aluminum ladders (8716.10.00 and 7616.99.5130) fall under Annex I-B and are generally subject to a 25% Section 232 tariff, also applied to full value. The takeaway is straightforward. Tariff treatment is drive...