This is a strong warning when importing goods made out of aluminum extrusions or containing parts that are made from an aluminum extrusion process. Aluminum extrusions are found in a range of products ranging from furniture to camping goods to auto parts to electronics. Importers need to closely examine the construction of their products to ascertain if the product may be subject to this new antidumping and countervailing investigation.
Last October 2023, the Department of Commerce (DOC) initiated antidumping and countervailing investigations covering aluminum extrusions from 15 countries. You may be aware that there already is an active antidumping case (A-570-967) and countervailing case (C-570-968) covering aluminum extrusions from China. This new investigation expands on the old case in several important ways that will seriously affect the future of imports of products containing aluminum extrusions.
1.) The countries named in this new investigation are as follows:
- China
- Colombia
- Dominican Republic
- Ecuador
- India
- Indonesia
- Italy
- Korea
- Malaysia
- Mexico
- Taiwan
- Thailand
- Turkey
- UAE
- Vietnam
This is a massive expansion on the old AD-CVD case.
2.) The new investigation broadens the scope of aluminum extrusion products covered.
You may wonder why China is named in this second antidumping investigation if there are active AD and CVD cases covering aluminum extrusions from China. This is because the new investigation appears to be designed to close certain loopholes that the first case had. Importers who believe their products were excluded from the first AD and CVD cases will need to re-evaluate if their products fall under the scope of this new investigation.
If you read the intended scope of the new investigation, you will find this to be possibly the most convoluted AD and CVD case published. Here are some concerning aspects of the scope:
A.) The scope of the new case specifically names extruded aluminum products that have been further finished. These include:
- heat sinks (regardless of whether they are designed for a specific thermal performance)
- picture frames
- tradeshow display fixtures
A number of these named products had been specifically excluded from the old AD-CVD cases covering aluminum extrusions from China. However they are specifically brought under the scope of this new investigation.
B.) Subassemblies
The scope also covers aluminum extrusions that are imported with non-extruded aluminum components beyond fasteners, whether assembled at the time of importation or unassembled, that are designed to be a part or subassembly of a larger product or system.
Based on the way this is written, if the importer is importing a subassembly that contains aluminum extrusions as a component, the subassembly will be subject to the new AD-CVD case. Note that only the value of the aluminum extruded component would be used for purposes of calculating the AD-CVD duties. This brings up some important points:
- How would the importer calculate this component cost?
- Even if the component cost is marginal, the entry is still filed as an 03 AD/CVD entry
Here is a list of examples of supposed subassemblies that may be covered within the new investigation. These examples include, but are not limited to the following:
- window parts window subassemblies
- door parts and subassemblies
- shower and baths system parts
- furniture parts or subassemblies
- fence system parts
- motor vehicle parts or subassemblies such as bumpers
- electric vehicle charging station parts or subassemblies
- trailer parts or subassemblies
C.) Goods made in 3rd countries with aluminum extrusions from one of the 15 named countries in this investigation
Even if the importer’s product is not made in one of the 15 named coutnries, if the product contains aluminum extrusions from one of the 15 named countries, the product may still be subject to the scope of the investigation. Importers therefore need to be very careful to question their manufacturing partners to determine not just whether their product has aluminum extrusions, but also the origin of the extrusions.
The DOC understands that there are issues regarding the scope of this investigation. The DOC is therefore reviewing comments and evaluating the scope.
The DOC’s preliminary determination was supposed to be published on March 12, 2024. As of today, the DOC prelminary determination hasn’t been published yet. We’re expecting a decision soon.
Importers need to review their products carefully to make sure whether they contain components that are made from extruded aluminum.
