The US Department of Commerce has taken a significant step towards addressing concerns over unfair trade practices by imposing preliminary countervailing duties on aluminium profiles imported from China, Indonesia, Mexico, and Turkey. These measures aim to counteract what the Department identifies as "illegal" export subsidies provided by these countries to their aluminium industries.
The preliminary duties are substantial, with rates ranging from 6.69 to 43.56 percent for imports from Indonesia, a stark 15.41 to 169.66 percent for those from China, 1.68 to 77.80 percent for Mexican imports, and 1.45 to 147.53 percent for imports from Turkey. These wide-ranging rates reflect the Department's determination to address the varied levels of subsidy and support that these countries provide to their aluminium producers.
This investigation, which began in October 2023, goes beyond just countervailing duties and includes an examination of dumping practices in aluminium profile exports to the US from a total of 15 countries, including the four currently facing preliminary duties. This broader inquiry was prompted by concerns raised by a coalition of US aluminium product producers and trade unions, highlighting the impact of these practices on the domestic industry.
The final determination of duty levels will take into account further evidence of "illegal" export subsidies, as the Department of Commerce continues its comprehensive investigation into these matters.