Aluminum Association Responds to Delay in Preliminary Antidumping Decision in Chinese Aluminum Foil Investigation

ARLINGTON, VA, Oct. 06, 2017 -- The Aluminum Association responded today to the Commerce Department’s decision to defer a preliminary determination on whether imports of certain aluminum foil from China are being sold at less than fair value (or “dumped”) in the United States. The determination was originally slated to be announced on Thursday, October 5, but was delayed to allow the Commerce Department time to analyze information regarding China’s status as a non-market economy, which is being considered in the context of this investigation. The Commerce Department now expects to announce its preliminary antidumping decision no later than November 30, 2017.  

“While a delay on an issue of this importance is disappointing, we understand and appreciate the Commerce Department’s decision,” said Heidi Brock, President & CEO of the Aluminum Association. “We remain very confident in the strength of our case and were heartened by the Commerce Department’s preliminary decision over the summer on countervailing duties. Ultimately, a positive outcome here will be good news for the U.S. aluminum foil industry which supports more than 20,000 total American jobs, and accounts for $6.8 billion in economic activity – not to mention the broader cause of enforcing a rules-based global trading system.”  

In August, the Commerce Department announced a preliminary determination that imports of certain types of imported foil were benefiting from unfair subsidies provided by the Government of China. As a result of the preliminary subsidy decision, U.S. importers of aluminum foil from China are now required to deposit at the time of import estimated countervailing duties ranging from 16.56 to 80.97 percent of the value of the imported aluminum foil. The Commerce Department is investigating 26 different subsidy programs maintained by the Government of China.

In March of this year, the Aluminum Association’s Trade Enforcement Working Group filed an antidumping and countervailing duty (AD/CVD) petition on behalf of domestic foil producers. This was the first unfair trade case filed by the Aluminum Association in its near 85-year history.

The aluminum industry supports the Commerce Department’s current position maintaining China’s treatment as a non-market economy under the U.S. unfair trade laws and encourages a continuation of that policy. In recent comments submitted to the U.S. Trade Representative, the Aluminum Association noted that “China’s state-controlled economy does not meet the basic requirements set forth by the Department of Commerce for a market economy, and the Chinese economy continues to meet the definition of a ‘non-market economy’ for purposes of the U.S. antidumping law.”

The Aluminum Association is also a member, along with representatives from the steel, textile, chemical and other industries of the Manufacturers for Trade Enforcement coalition, which also favors continuing the policy. China has not proven that it operates as a market economy. Granting market economy status prematurely would remove a key tool for industries seeking relief from unfair trade practices.

In March of 2017, the Aluminum Association’s Trade Enforcement Working Group filed anti-dumping and countervailing duty (AD/CVD) petitions against the import of aluminum foil products from China – the first such action in the association’s near 85-year history. Twelve years ago, U.S. production accounted for about 84 percent of all domestic aluminum foil demand and today that has dropped to 69 percent. At the same time, Chinese imports grew from essentially 0 percent of the total U.S. aluminum foil market in 2004 to 22 percent of the market today.

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About the Aluminum Association
The Aluminum Association represents aluminum production and jobs in the United States, ranging from primary production to value added products to recycling, as well as suppliers to the industry. The Association is the industry’s leading voice, providing global standards, business intelligence, sustainability research and industry expertise to member companies, policymakers and the general public. The aluminum industry helps manufacturers produce sustainable and innovative products, including more fuel efficient vehicles, recyclable packaging, greener buildings and modern electronics.  In the U.S., the aluminum industry creates $186 billion in economic activity. For more information visit www.Aluminum.org, on Twitter @AluminumNews or at Facebook.com/AluminumAssociation.

Attachments:

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/f05640f8-47e8-4d43-a135-38ccb808f2be

Attachments:

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/c6379187-28ba-4a23-8342-bf71dd3afd0b

Matt Meenan
Aluminum Association
703-358-2977
[email protected]