The U.S. Aluminum Extruders Coalition and the United Steelworkers have filed petitions against 15 countries alleging the sale of aluminum extrusions in the U.S. at less than fair value. The petitioners argue the imports materially injure the U.S. aluminum extrusion industry, resulting in lower sales despite higher demand. The petitions were filed with the U.S. Department of Commerce and the U.S. International Trade Commission (USITC).
Officials from Wiley Rein LLP, who represent the petitioners, say the filing is in response to increasing volumes of unfairly priced imports of aluminum extrusions since 2019, which have negatively affected American workers.
Officials claim dump rates are as high as 256%, distorting the U.S. market. The petitioners say the worst dumping offenders are China (256%), Colombia (181%), Indonesia (112%), Mexico (111%) and Taiwan (99%). Antidumping duties aim to offset the amount a product is sold at less than fair value, or “dumped,” in the U.S. The Commerce Department calculates the margin of dumping.
“The action seeks to put an end to foreign producers’ attempts to take market share using dumped and subsidized prices at the expense of the U.S. aluminum extrusion industry and their workers,” says Robert DeFrancesco, a partner in Wiley’s International Trade Practice and counsel to the petitioners. “We urge the Commerce Department and the USITC to thoroughly investigate these unfair trade practices and effectively apply the trade laws to dumped and subsidized aluminum extrusions from the 15 countries subject to the petitions.”
The 15 countries alleged to sell extrusions in the U.S. at less than fair value include:
- The Dominican Republic
- South Korea
- The United Arab Emirates
The petitioners argue because these countries are using highly dumped and subsidized prices, they have gained a significant and increasing share of the U.S. market at the direct expense of the U.S. industry. Officials say the vast amount of dumped and subsidized imports have stymied U.S. extruders’ ability to grow production and sales despite growing demand.
“For years, American extruders and workers have lost huge amounts of sales to unfairly traded, dumped and subsidized imports of aluminum extrusions,” says Jeff Henderson, president of the Aluminum Extruders Council. “It’s time to take a stand for American manufacturing and take on these illegally traded products.”
The petitions were filed on Oct. 4, 2023. The Commerce Department will determine whether to initiate the investigations by Oct. 24, 2023. The USITC will reach a preliminary determination of material injury or threat of material injury within 45 days. Officials say the investigative process could take up to one year, with final determinations of dumping, subsidization and injury likely occurring in mid-2024.