U.S. Commerce Sets High Subsidy Rates on Chinese Aluminum Cable Imports
The aluminum wire and cable CVD investigation led by the U.S. Department of Commerce (DoC) has resulted in preliminary subsidy rates of up to 164% on Chinese imports. This action reflects ongoing efforts to address unfair trade practices and support domestic manufacturers.
Aluminum Wire and Cable CVD Investigation Findings
The investigation began after petitions from Encore Wire Corporation (https://www.encorewire.com) and Southwire Company (https://www.southwire.com). The DoC released its preliminary findings on April 2 and plans to issue a final determination around August 13, 2019.
If the final ruling confirms these findings, and the U.S. International Trade Commission (ITC) determines that imports harm domestic producers, authorities will implement a countervailing duty order.
Learn more about the Department of Commerce: https://www.commerce.gov
Aluminum Wire and Cable CVD Investigation Subsidy Rates
The DoC assigned the following preliminary subsidy rates:
- Shanghai Silin Special Equipment Co., Ltd.: 15.77%
- Chanfeng Wire & Cable Co., Ltd.: 11.57%
- Shanghai Yang Pu Qu Gong: 164.16% (based on adverse facts available)
- All other producers/exporters: 13.67%
These rates reflect the extent of subsidies identified during the investigation.
Industry Response and Market Impact
U.S. manufacturers have welcomed the ruling. Encore Wire CEO Daniel Jones stated that subsidized imports have harmed domestic investment in aluminum wire production. The decision represents an important step toward restoring fair competition.
Product Scope and Technical Specifications
The investigation covers aluminum wire and cable assemblies made from:
- 8000 Series Aluminum Alloys
- Aluminum Alloy 1350
- Aluminum Alloy 6201
These products include insulated conductors rated between 80 and 1000 volts and meet defined size and construction criteria. Manufacturers may also include grounding conductors, shielding, jackets, and other protective components.