Trade Orders Extended on Aluminum Extrusions from China

The Aluminum Extruders Council (AEC; Wauconda, IL) commends the U.S. International Trade Commission (USITC; Washington, DC) for their unanimous vote to extend the existing antidumping and countervailing duties orders on aluminum extrusions from China. The orders have allowed the domestic aluminum extrusion industry to increase production, market share and employment, and have truly brought the domestic industry back from near extinction prior to the orders when unfairly priced Chinese extrusions surged into the market in the depths a down economy.

“We are gratified by the Commission’s vote, finding that revocation of the antidumping and countervailing duty orders on aluminum extrusions from China would likely lead to the continuation or recurrence of material injury within a reasonably foreseeable time,” said Jeff Henderson, the president of AEC. The Commission recognized that the orders have been effective, but are still necessary as the domestic industry is still vulnerable to Chinese overcapacity and demonstrated efforts by Chinese producers continuing to target the U.S. market, notwithstanding the orders.

The affirmative vote in the Five-Year (Sunset) Reviews concerning aluminum extrusions from the People’s Republic of China is a major victory for the U.S. extrusion industry. Since the orders have been in place, the domestic industry has been recovering from the ravages of Chinese unfair trade. Domestic extrusion capacity, production, and employment have continued to increase since the orders have been put in place. Production increased from 848,569 short tons in 2009 to over 1.3 million short tons in 2015, while the number of production workers increased from 9,793 in 2009 to over 15,000 in 2015.

“These figures are just some of the indicators that the orders have been effective and evidence that profitability has returned and stabilized in the domestic aluminum extrusion industry. None of this would have been possible without the relief provided by the orders,” added Henderson. However, the battle is not over. While antidumping and countervailing duty orders in industries affected by Chinese overcapacity, such as aluminum and steel, are necessary and critical, it is imperative that the new administration addresses the root cause of the problem of Chinese overcapacity.

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