Products Containing Aluminum Extrusions Beware
Importers of Products Containing Aluminum Extrusions Beware
As widely reported throughout the trade community, a coalition of domestic aluminum extrusions producers has filed expansive antidumping duty petitions against fifteen (15) countries: China, Colombia, the Dominican Republic, Ecuador, India, Indonesia, Italy, Malaysia, Mexico, South Korea, Taiwan, Thailand, Turkey, the United Arab Emirates, and Vietnam. In addition, a countervailing duty petition was filed for four of these countries: China, Indonesia, Mexico and Turkey.
The proposed scope of this action is quite broad. As currently written, the scope covers not only aluminum extrusions imported alone or with a subassembly of other components, but also any unassembled goods that contain aluminum extrusions as components such as knock-down furniture and cabinets, bicycles, picture frames and unassembled motor vehicles and trailers, just to name a few examples. As in the existing China case, the scope excludes finished goods such as motor vehicles, furniture, solar panels as long as these items do not require any processing, fabrication, finishing, or assembly or the addition of parts or material after importation. For more information on the scope of covered products see: https://files.constantcontact.com/4ea55c81401/8706286a-6e01-4c1e-8009-f708d4539dd5.pdf.
As if the broad scope of this action is not daunting enough, the duty rates petitioners suggest should apply to covered articles are high. The proposed antidumping rates range from 28.29% to 256.58% for covered articles depending on the country involved.
The proposed action is expected to move quickly. While the Department of Commerce is considering whether to initiate the case, the U.S. International Trade Commission has already begun sending out its questionnaires (which are quite lengthy and detailed) with the preliminary ITC vote scheduled for November 17, 2023.
Should the ITC find that there is a reasonable indication that a U.S. industry is materially injured or threatened with material injury from aluminum extrusions from the 15 countries, the U.S. Department of Commerce's preliminary determinations are scheduled to be issued on December 28, 2023 for the CVD case and March 12, 2024 for the AD case. Assuming that the DOC does not make an affirmative preliminary finding of critical circumstances, these dates are the earliest on which the Department can instruct U.S. Customs and Border Protection to require cash deposits on entries of subject merchandise.
Courtesy of Meeks, Sheppard, Leo & Pillsbury LLP
“Cases like this reinforce the importance of Brokers working with their importers to educate them on the potential ramifications and risks of bringing certain commodities into the country. At IB&M, we monitor AD/CVD situations like these closely to keep our Brokers informed and updated.” Bryan Smith, Business Development Manager, International Bond &Marine Brokerage LTD
Contact us at bond@Intlbondmarine.com