The U.S. International Trade Commission (ITC) recently issued its final decision in the antidumping and countervailing duty investigations into the imported common alloy aluminium sheet from China. The common alloy aluminium sheet will be subjected to Trump administration’s 96.3 per cent to 176.2 per cent duties.
Reacting to ITC’s decision, the National Marine Manufacturers Association urged the government to remove all duties on aluminium sheet in official comments and testimony, as the tariffs were causing harm to the industry.
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NMMA President Thom Dammrich alleged that the administration and the commission are not analysing the impacts of tariffs on the downstream sector. They said that ITC’s approval of the 96.3 to 176.2 per cent duties on common aluminium sheet from China will be taking a worse toll on multiple American industries, including marine manufacturing. The industry according to them has been hit since the U.S. Department of Commerce self-initiated these investigations nearly a year ago.
“Unfortunately, the antidumping and countervailing duties are on top of the Trump administration’s 10 per cent tariff on virtually all aluminium imports,” Dammrich said.
The investigations and the resulting duties have already caused higher production costs and material shortages on the marine and boating industry. Boat builders are seeing a 30 to 40 per cent price increase for aluminium sheet due to 10% tariffs on aluminium raw material, despite sourcing the material domestically.
The compounding tariffs on imports of Chinese aluminium sheet would tighten global supply, making it difficult for the marine industry to source aluminium sheets to keep up with growing manufacturing demand.
“In simple terms, this is troubling news for marine manufacturers and the people they employ. Aluminum boats represent 44 per cent of new boats sold each year and account for approximately 22,000 American jobs,” he said.
Dammrich said that they agree on the fact that the trading relationship between China and the U.S. needs to be reformed. However, the tariff strategy is counterproductive and that needs to be reconsidered.
“Striking long-term, binding agreements that foster free and fair trade is the most prudent way to protect America’s economic interests and workers,” Dammrich said.
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