New AD/CVD Petitions: Aluminum Extrusions
On October 4, 2023, antidumping (AD) and countervailing duty (CVD) petitions were filed against Aluminum Extrusions from fifteen countries, Colombia, the Dominican Republic, Ecuador, India, Indonesia, Italy, Malaysia, Mexico, the People’s Republic of China, South Korea, Taiwan, Thailand, Turkey, the United Arab Emirates, and Vietnam. The petitions were filed by the U.S. Aluminum Extruders Coalition, which is comprised of fourteen U.S. aluminum extruders, and the union representing workers at U.S. aluminum extruders.
This case looks to be one of the biggest cases in recent years, as the imports of aluminum extrusion from the 15 listed countries in 2022 was $3.19 billion. These petitions start a sequel round of AD/CVD cases that follows the AD/CVD orders that were imposed on Aluminum Extrusions from China in 2011. The proposed scope definition of this case is broader than the scope of the prior AD/CVD orders on Aluminum Extrusions from China, and specifically includes products that had been excluded from the prior scope definition.
Aluminum Extrusion Investigations
The U.S. Department of Commerce (“DOC”) and U.S. International Trade Commission (“ITC”) will investigate the allegations made in the petition to determine whether the named subject imports are being sold to the United States at less than fair value (“dumping”) or benefit from unfair government subsidies. ITC will investigate whether the subject imports are causing “material injury” or “threat of material injury” to the domestic industry. Both agencies have to make affirmative findings of injury or threat of injury (ITC) or of dumping or subsidies (DOC) for AD/CVD duties to be imposed on the subject imports.
Scope Definition of the Aluminum Extrusion
As with the prior case on Aluminum Extrusions from China (on which I worked) the scope definition of this case will likely cause significant debate about what products are included or excluded from the coverage of this case.
The proposed scope definition of this case:
The merchandise subject to this investigation is aluminum extrusions, regardless of form, finishing or fabrication, whether assembled with other parts or unassembled, whether coated, painted, anodized or thermally improved. Aluminum extrusions are shapes and forms, produced by an extrusion process, made from aluminum alloys having metallic elements corresponding to the alloy series designations published by the Aluminum Association commencing with the numbers 1, 3 and 6 (or proprietary equivalents or other certifying body equivalents). Specifically, subject aluminum extrusions made from an aluminum alloy with an Aluminum Association series designation commencing with the number 1 contain not less than 99% aluminum by weight. Subject aluminum extrusions made from an aluminum alloy with an Aluminum Association series designation commencing with the number 3 contain manganese as the major alloying element, with manganese accounting for not more than 3% of total materials by weight. Subject aluminum extrusions made from an aluminum alloy with an Aluminum Association series designation commencing with the number 6 contain magnesium and silicon as the major alloying elements, with magnesium accounting for at least 0.1% but not more than 2% of total materials by weight, and silicon accounting for at least 0.1% but not more than 3% of total materials by weight. The scope also includes merchandise made from an aluminum alloy with an Aluminum Association series designation commencing with the number 5 (or proprietary equivalents or other certifying body equivalents) that have a magnesium content accounting for up to but not more than 2% of total materials by weight.
The country of origin of the aluminum extrusion is determined by where the metal is extruded (i.e., pressed through a die).
The scope also includes a non-exhaustive list of further processed products that includes aluminum extrusions that were intended by Petitioners to be covered by this investigation. These products include vehicle roof rails, sun/moon roof framing, solar panel racking rails and framing, tradeshow display fixtures and framing, parts for tents or clear span structures, fence posts, drapery rails or rods, electrical conduits, door thresholds, flooring trim, electrical vehicle battery trays, heat sinks, signage or advertising poles, picture frames, telescoping poles, or cleaning system components.
Excluded Aluminum Products
There are a number of exclusions from the scope of the investigation:
- Assembled merchandise containing non-extruded aluminum components beyond fasteners that is not part or subassembly of a larger product or system and that is used as imported without undergoing after importation any processing, fabrication, finishing, or assembly or the addition of parts or material, regardless of whether the additional parts or materials are interchangeable (e.g., windows with glass, door units with door panel and glass, motor vehicles, trailers, furniture, appliances, solar panels).
- Aluminum extrusions made from an aluminum alloy with an Aluminum Association series designations commencing with the number 2, 5 or 7 (or other certifying body equivalents)
- Aluminum alloy sheet or plates produced by means other than the extrusion process, such as continuous casting or rolling.
- Unwrought aluminum
- Collapsible tubular containers composed of alloy code 1080A and meet certain dimension limits
- Rectangular wire, imported in bulk rolls or precut strips and produced from continuously cast rolled aluminum wire rod, which is subsequently extruded to dimension to form rectangular wire with or without rounded edges.
See the full proposed scope definition (here).
The scope definition of the prior AD/CVD orders on Aluminum Extrusions from China was vague and confusing and generated the most scope ruling requests of any case before DOC. Many of the products DOC determined were outside the scope of the prior AD/CVD orders have been specifically included within the scope of this petition.
Alleged AD/CVD Margins, By Country
Petitioner calculated estimated dumping margins for the subject countries:
China – 256.58%
Colombia – 179.53%
Ecuador – 66.46%
India – 43.41%
Indonesia – 112.21%
Italy – 37.52%
Malaysia – 53.91%
Mexico – 111.38%
S. Korea – 71.03%
Taiwan – 116.19%
Thailand – 72.20%
Turkey – 33.79%
UAE – 39.80%
Vietnam – 53.75%
Petitioner did not provide any specific subsidy margin calculations.
Named Exporters/ Producers
Petitioner included a list of companies it believes are producers and exporters of the subject merchandise. See attached list here.
Named U.S. Importers
Petitioner included a list of companies that it believes are U.S. importers of the subject merchandise. See attached list here.
October 4, 2023 – Petitions filed
October 24, 2023 – DOC initiates investigation
October 25, 2023 – ITC Staff Conference
November 20, 2023 – ITC preliminary determination
March 2, 2024 – DOC CVD preliminary determination (assuming extended deadline) (12/28/23 – unextended)
May 1, 2024 – DOC AD preliminary determination (assuming extended deadline) (3/12/24 – unextended)
September 13, 2024 – DOC final determination (extended)
October 28, 2024 – ITC final determination (extended)
November 4, 2024 – DOC AD/CVD orders issued (extended)