Importers of Aluminum Extrusions from the People's Republic of China may be Subject to Increased Duty
On October 28, 2010, the Department of Commerce (the "Department") announced its preliminary determination in an antidumping duty investigation of imports of aluminum extrusions from the People's Republic of China ("PRC").
In the preliminary determination, the Department found that aluminum extrusions from the PRC are being sold in the United States at less than fair value, which may be materially injuring the domestic aluminum extrusion market. Consequently, the Department is considering imposing 59.31% dumping margin on the importation of effectively all of the aluminum extrusion products from the PRC within the broad scope of the investigation. This 59.31% dumping margin would be combined with the Department's previous preliminary determination of a 137.65% countervailing duty margin on all aluminum extrusions from the PRC. If these rates are accepted in the final determination, importers of aluminum extrusions could face an additional import duty of up to 196.96% on all covered merchandise.
The antidumping preliminary determination is the most recent action in Department's ongoing countervailing and antidumping duty investigations that were initiated on April 20, 2010. The outcome of this investigation will significantly increase cost for all companies that import covered aluminum extrusions, which are forms produced by an extrusion process, made from aluminum alloys having certain metallic elements. These extrusions are produced and imported in a wide variety of shapes and forms, including, but not limited to, hollow profiles, other solid profiles, pipes, tubes, bars, and rods. The covered extrusions also include those that have been mill finished, brushed, buffed, polished, anodized, liquid painted, or powder coated. These extrusions are incorporated into a number of finished products such as heat sinks, door thresholds, and carpet trim.
Frost Brown Todd LLC is currently advocating for a client's product to be excluded from the scope of the on-going antidumping and countervailing duty investigations. The Trade Compliance Service Team at Frost Brown Todd also has significant experience in various trade remedy proceedings and issues such as country of origin marking, international trademark infringement, export compliance, and penalty proceedings before the U.S. Customs and Border Protection.
If you would like additional information regarding the contents of this Legal Update, please contact Greg Mitchell at firstname.lastname@example.org, Jan de Beer at email@example.com, or any other attorney in Frost Brown Todd's Trade Compliance Service Team.
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Joseph J. Dehner Joe Dehner concentrates his practice on multinational business and securities disputes. He counsels a wide variety of companies, domestic and foreign, on issues confronting global business, including transnational investment, mergers and acquisitions, joint ventures, customs and trade issues, international business structures, distribution and agency agreements and the resolution of international disputes.