ITC Aluminum Wire and Cable Tariffs Target China
The ITC aluminum wire and cable tariffs mark a decisive move to protect U.S. manufacturers from unfair trade practices. The U.S. International Trade Commission (ITC) determined that Chinese imports entered the U.S. market at below-market prices and benefited from illegal government subsidies.
This ruling supports earlier findings from the U.S. Department of Commerce (DoC), which you can explore at https://www.commerce.gov.
Dumping and Subsidy Rates Under ITC Aluminum Wire and Cable Tariffs
The Department of Commerce established significant penalty rates for Chinese manufacturers. These include:
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63.47% dumping rate for Shanghai Silin Special Equipment Co., Ltd. and Hebei Huatong Wires and Cables Group Co., Ltd.
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58.51% dumping rate for select additional companies
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165.63% subsidy rate for key respondents, including Shanghai Silin and Shanghai Yang Pu Qu Gong
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33.44% subsidy rate for Changfeng Wire & Cable Co., Ltd. and other producers
The ITC approved these penalties, reinforcing enforcement against unfair pricing and subsidization.
Impact on U.S. Manufacturers
U.S. cable producers, including Southwire Company (https://www.southwire.com) and Encore Wire Corporation (https://www.encorewire.com), pushed for these measures.
Southwire Executive Vice President Norman Adkins emphasized that the decision strengthens fair competition. He noted that enforcing trade laws allows U.S. manufacturers to compete on a level playing field against subsidized imports.
Enforcement and Market Impact
Following the ITC decision, the Department of Commerce will issue antidumping (AD) and countervailing duty (CVD) orders. U.S. Customs and Border Protection (https://www.cbp.gov) will begin collecting cash deposits on imports, with rates ranging from 81.27% to 218.42%.
In 2018, the U.S. imported approximately $115 million worth of aluminum wire and cable from China. These new tariffs will significantly impact future import volumes and pricing.
