U.S. DOC self-initiates historic AD and CVD investigations on common alloy aluminum sheet from China
Wednesday, November 29, 2017
In an historic move, the U.S. Department of Commerce announced it is self-initiating antidumping (AD) and countervailing duty (CVD) investigations of imports of common alloy aluminum sheet from the People's Republic of China.
These historic investigations, the first in over a quarter century, were self-initiated pursuant to the authority granted to the Secretary under the Tariff Act of 1930, as amended.
“President Trump made it clear from day one that unfair trade practices will not be tolerated under this administration, and today we take one more step in fulfilling that promise,” said Secretary Ross. “We are self-initiating the first trade case in over a quarter century, showing once again that we stand in constant vigilance in support of free, fair, and reciprocal trade.”
In 2016, imports of common alloy sheet from China were valued at an estimated $603.6 million.
Normally, AD and CVD investigations are initiated in response to petitions filed by a domestic industry alleging that dumped or unfairly subsidized goods are being exported into the U.S. market. By contrast, self-initiation authority can be exercised whenever the Secretary determines, from information available, that a formal AD or CVD investigation is warranted.
The AD and CVD investigations will proceed like any other trade remedy investigation. If the Commerce Department determines that common alloy sheet from China is being dumped into the U.S. market, and/or receiving unfair government subsidies, and if the U.S. International Trade Commission (ITC) determines that dumped and/or unfairly subsidized U.S. imports of common alloy sheet from China are causing injury to the U.S. industry, the Commerce Department will impose duties on those imports in the amount of dumping and/or unfair subsidization found to exist. More...
In a statement, Heidi Brock, President & CEO of the Aluminum Association, said, "The Aluminum Association and its members enthusiastically support the decision announced today by the Department of Commerce and Secretary Wilbur Ross to self-initiate unfair trade investigations concerning imports of common alloy sheet from China. We are extremely grateful for the efforts and leadership of Secretary Ross in vigorously enforcing the U.S. trade laws. The Aluminum Association and its members seek to help ensure that common alloy sheet from China entering the United States is fairly traded.”
Overall, the U.S. aluminum industry supports 161,000 direct jobs and more than 700,000 jobs when indirect and induced impacts are considered. Further, the industry creates $75 billion in direct economic impact and $186 billion in total impact, around 1 percent of U.S. GDP. The industry has been operating in a very challenging environment for a number of years largely as a consequence of Chinese overcapacity distorting the marketplace, according to the statement. More...