19 Feb Update on U.S. International Trade Commission Investigation Report Under Statute 232
ABC has been following this closely as long-term members of the Aluminum Extruders Council and the Aluminum Association, and here, we provide an update regarding the investigation regarding imports of aluminum, primary and downstream, to the United States by the U.S. International Trade Commission, that was authorized in 2016.
Statute 232, designed to protect U.S. National Security, is rarely exercised, but with pressure from Chinese imports and overproduction, also Vietnam, on U.S. smelters, with many being shut down as a result, there has been natural concern regarding the United States’ independence regarding primary production in the event of conflict.
A full report based upon this investigation with conclusions and recommendations, was placed on the President’s desk on Friday by the Department of Commerce for a decision to potentially impose tariffs.
There is a concurrent case regarding alleged dumping of Chinese-subsidized curtain wall products that is working its way through the Courts that we also are monitoring and contributing finance for, in support of the Aluminum Extruders Council’s efforts, and that case is going well at this moment.
Also, ABC has a seat on the Aluminum Association’s Government Affairs Committee, based close to the Capitol in Washington D.C.; so, we are kept closely informed, and we participate in, all matters affecting the industry.
Within the aluminum industry, news broke on Friday, February 16th, from various sources, about the latest development concerning Investigation 232 – that the transfer of the Final Report from the Department of Commerce is now on the President’s desk.
It is possible that news and discussion will surface in the wider media, but, in any case, although taxes and tariffs have been mentioned in detail within this Report, there is no mention of Mexico. And at 229 billion dollars in trade, Mexico represents 16% of U.S. exports, only Canada is higher at 19% By contrast, China is 8.1% with a U.S. trade deficit of 337 billion dollars based upon U.S. Census Bureau’s (Dept. of Commerce) numbers.
And steel and aluminum are at the forefront of focus regarding the imbalance with China, to a lesser extent Vietnam and a few other, principally Asian countries, where detrimental origination, and, also transference of Chinese production, is thought to be taking place.
Wadih Kuri said today “We continue to monitor this evolving situation. Should there be any questions at all with news in the media regarding this Report that may raise cause for concern, please do immediately call ABC, and you can ask for me, on 619 240 3526 – Nadia Alcaraz will answer, and forward – so that we can address. Or Tim Evans, our Marketing Director on direct cell 858 380 7364. Thank you.”