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Aluminum March 07, 2018 01:30:49 PM

Aluminum Trade Association Raises Deep Concerns Over Proposed US Tariffs

Paul Ploumis
ScrapMonster Author
The letter calls for immediate negotiations with Chinese administration to address persistent overcapacity in primary and semi-fabricated aluminum sectors.
Aluminum Trade Association Raises Deep Concerns Over Proposed US Tariffs

SEATTLE (Scrap Monster): The Aluminum Association has expressed deep concerns over the potential damages that could arise due to implementation of global aluminum tariff by the US administration. The concerns were shared by the Association President & CEO Heidi Brock in an open letter addressed to the US President.

Brock expressed gratitude to the attention dedicated to the domestic aluminum industry by the US administration. However, he noted that all the member companies that are represented by the Association are deeply concerned over the effects of global aluminum tariffs on domestic aluminum production and the thousands of jobs supported by the industry. The proposed tariffs, in no ways, could address the massive aluminum overcapacity in China, which is considered to be the primary threat to US aluminum makers. Also, the tariffs are feared to do more harm than good to large number of industry jobs.

The letter calls for immediate negotiations with Chinese administration to address persistent overcapacity in primary and semi-fabricated aluminum sectors. The Association calls for targeted action on China and other countries known for duty evasion and circumvention, rather than implementing uniform tariffs on all countries. Further, the letter proposes administration to grant exemption for vital trading partners including Canada and the European Union in order to avoid disruption of current trading relationships.

The Aluminum Association highlighted the need for an effective aluminum import monitoring system to provide greater transparency and clarity to aluminum and aluminum products entering the US. Any decision taken is bound to affect entire domestic aluminum value chain, the Association warned. Brock stated that the trade body would appreciate an opportunity to discuss the recommended alternative actions with members of the US administration.