The U.S. Department of Commerce today announced the initiation of new antidumping duty (AD) and countervailing duty (CVD) investigations of aluminum foil from the People’s Republic of China (China). Initiation of these investigations follows other action the Department has taken on aluminum products, including the issuance of AD/CVD orders on imports of aluminum extrusions from China in May of 2011.
“The Department of Commerce intends to act swiftly to halt any unfair trade practices and will render our decisions at the earliest opportunity, while also assuring a full and fair assessment of the facts,” said U.S. Secretary of Commerce Wilbur Ross. “The Trump Administration is unequivocally committed to the vigorous enforcement of America’s trade laws and will ensure U.S. businesses and workers are treated fairly.”
The Aluminum Association Trade Enforcement Working Group, a coalition of U.S. aluminum foil producers, filed the petition on March 9 seeking relief from the effects of dumped and unfairly subsidized aluminum foil on the U.S. industry. More than 230 Chinese companies are identified in the petition. The estimated dumping margins range from 38.40 percent to 140.21 percent. Regarding subsidies, Commerce has initiated an investigation into 26 separately alleged subsidy programs.
Click HERE for a fact sheet on these initiations.
In 2016, imports of aluminum foil from China were valued at an estimated $389 million.
AD and CVD laws provide U.S. businesses and workers with an internationally accepted mechanism to seek relief from the injurious effects of dumping and unfairly subsidized imports into the United States. Today’s action launches AD and CVD investigations that will determine if Chinese exporters of aluminum foil have received government subsidies and sold these products at below the cost of production in the United States.
In addition, the U.S. International Trade Commission (ITC) is conducting investigations to determine whether or not the domestic industry is injured or threatened with material injury by imports of aluminum foil from China. The ITC is currently scheduled to make its preliminary injury determinations on or before April 24. If the ITC issues affirmative preliminary injury decisions, the investigations will continue and Commerce will be scheduled to make its preliminary CVD and AD determinations on June 2, and August 16, respectively, unless the statutory deadlines are extended.
Should the Department of Commerce preliminarily find dumping and/or subsidization has occurred, the Department will instruct U.S. Customs and Border Protection to collect cash deposits based on the preliminary dumping margins from all U.S. companies importing aluminum foil from China.