The Anti-Dumping and Countervailing Duty Operations of the International Trade Administration (ITA) have agreed with Tesla Wall Systems LLC and MBM Supply Company LLC, which had requested that the Department of Commerce (DOC) issue a scope ruling confirming that aluminum extrusions from Thailand used as part of the process of manufacturing and assembling curtainwalls in China, as well as the curtainwalls into which the Thai extrusions are incorporated, are outside of the scope of the Department’s antidumping (AD) and countervailing duty (CVD) orders on aluminum extrusions from the People’s Republic of China (PRC).
In their initial request, Tesla and MBM, asked the Department to “find that the information presented in this request and the language of the orders is a sufficient basis on which to exclude these aluminum extrusions from Thailand, as well as the curtainwalls in which they are subsequently incorporated, from the scope of the orders.” The companies noted “that while the current manufacturing operations that are the subject of this request involve aluminum extrusions produced in Thailand, the ruling on this request should apply equally to the treatment of aluminum extrusions produced in any country other than China (and to curtainwalls produced in China from such third country extrusions), and further requests that the Department find accordingly.”
According to Tesla and MBM’s filing, they were seeking a ruling that aluminum extrusions from Thailand used as part of the process of constructing curtainwalls in China, as well as the curtainwalls into which they are incorporated, are outside of the scope of the Department’s AD and CVD orders on aluminum extrusions from the PRC.
“This is a clear case: where the importation into the United States involves materials that do not contain the subject product on which the duties are imposed, no duties apply,” states the request, which also states that the “Department’s November 30, 2012 scope ruling, where it found that certain curtainwall units containing aluminum extrusions from China are within the scope of the orders, did not change the country-specific nature of the scope of the orders. The scope does not include curtainwalls made from non-Chinese extrusions. Notably, the Department’s scope language states that ‘subject aluminum extrusions may be described at the time of importation as parts for final finished products that are assembled after importation, including curtainwalls’ and ‘such parts that otherwise meet the definition of aluminum extrusions are included in the scope.’ … Here, the Thai aluminum extrusions in this request cannot “otherwise meet the definition of aluminum extrusions” under the orders; the orders by definition cover subject aluminum extrusions aluminum extrusions from China only.”
In its ruling, the ITA writes, “the scope of an order is limited to merchandise that originates in the country covered by the order. As such, aluminum extrusions produced in Thailand cannot be considered within the scope of the Orders on aluminum extrusions from the PRC. Moreover, the scope of the Orders does not include the non-aluminum extrusion components of subassemblies or subject kits, thus the non-aluminum extrusion components that are assembled into curtainwall units and other curtainwall parts and components in the PRC are not subject merchandise.”
