EU Launches Anti-Dumping Investigation into Aluminum Extrusions Imported from China

The European Union (EU) has initiated an anti-dumping proceeding concerning imports of aluminum extrusions originating in the People’s Republic of China. The European Commission received a complaint on January 3, 2020 by European Aluminium on behalf of seven producers representing more than 25% of the total Union production of aluminum extrusions.

The products subject to this investigation include bars, rods, profiles (whether or not hollow), tubes, pipes; unassembled; whether or not prepared for use in structures (e.g. cut-to-length, drilled, bent, chamfered or threaded); made from aluminum, whether or not alloyed, containing not more than 99.3% of aluminum.

Products not covered by the investigation include:
• Products attached to form subassemblies;
• Welded tubes and pipes; and
• Products in a packaged kit with the necessary parts to assemble a finished product without further finishing or fabrication of the parts.

Therefore, linear extrusions that can be fabricated into curtainwall, storefront or other glazing extrusions are covered under the investigation. However, if the extrusions are imported to the EU from China pre-fabricated, they will not be covered by this investigation.

The complaint alleges that raw material distortions are resulting in prices that are lower than those quoted on international markets of the same product.

“Since Chinese aluminum capacities systematically exceed domestic demand, an increasing number of producers have—government-incentivized—focused primarily on export markets and, in particular, the EU. This overcapacity and the consequences thereof are also identified in the report issued by the EU Chamber of Commerce in Beijing,” reads the notice.

The investigation of dumping and injury will cover the period from January 1, 2019 to December 31, 2019. The examination of trends relevant for the assessment of injury will cover the period from January 1, 2016 until the end of the investigation period.

“Chinese imports have risen in EU nations over the last few years. This action has been rumored for years, but now, under the leadership of the European Aluminum Association, the countries that make up the EU have decided to move forward. Their action follows similar efforts by the United States, Canada, Australia and several other countries across the world,” reads a statement from the Aluminum Extruders Council in support of the move.

In March 2019 the U.S. Court of Appeals for the Federal Circuit affirmed a decision ruling that Chinese curtainwall is subject to U.S. tariffs on aluminum extrusions imported from China. The scope of that ruling includes finished good kits and fabricated extrusions.

NSG’s Vietnamese Solar Glass Float Furnace Now Operational

NSG Group is now producing glass in Vietnam for the production of transparent conductive oxide (TCO) coated glass for solar panels. The previously dormant float furnace was upgraded as part of the plan announced in May 2018 to expand production capacity of TCO glass.

The restarted float furnace is one of the two lines at NSG Vietnam Glass Industries Ltd. (VGI), located near Ho Chi Minh City, Vietnam. TCO glass production at VGI has been positioned to support a long-term supply agreement with First Solar, a provider of comprehensive photovoltaic solar systems.

NSG’s TCO glass is manufactured with an on-line coating technology in which a conductive oxide on the glass surface is formed during its passage through the float line. On-line coating also enables cost effective production of coated glass in high volume, according to the company.

With the expanded supply capability for value-added products NSG Group intends to drive its growth strategy while supporting the expansion of renewable energy.

CORRECTION

Due to an error in the information provided by the company, the annual sales information for Harmon Inc. listed in the February 2020 issue of the Top 50 Contract Glaziers was incorrect. The company’s 2019 annual sales were $261 million. Harmon Inc. is now listed in the No. 2 spot and Enclos is ranked No. 1. To see the corrected article in full please visit https://bit.ly/38pvjeV.

Steel and Aluminum Tariffs Widened Following Increase in Imports

The U.S. government issued a proclamation on January 24 widening tariffs on the imports of derivative aluminum and steel products into the U.S., citing increased import volumes in an effort to circumvent the duties on aluminum and steel articles. Derivative aluminum products will be subject to a 10% tariff and derivative steel products will be subject to a 25% tariff in addition to any other duties to which the products are already subject.

This proclamation applies to any derivative products that were entered for consumption or withdrawn from warehouse for consumption on or after February 8, 2020. Derivative products are described as being, on average, two-thirds or more of the total cost of materials of the derivative article. This includes steel nails, tacks, drawing pins, corrugated nails, staples, aluminum stranded wire, cables, plaited bands, slings and similar products.

Argentina, Australia, Canada and Mexico are exempt from the derivative aluminum tariffs and Argentina, Australia, Brazil, Canada, Mexico and South Korea are exempt from the derivative steel tariffs.

The U.S. government is using Section 232 of the Trade Expansion Act to impose the tariffs, which the president also used for the original metal tariffs imposed in March 2018. It’s a law passed in 1962 that allows tariffs to be imposed by the president when imports are deemed to be damaging to U.S. national security.

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