Aluminum Association applauds the implantation of USMCA; appeals for trade monitoring and enforcement

Leaders from the domestic aluminium industry met with policymakers in Washington including Commerce Secretary Wilbur Ross, White House Director of Trade and Manufacturing Policy Peter Navarro and members of Congress to discuss some trade issues. They also discussed U.S-Mexico-Canada Agreement (USMCA) and applauded the administration and the Congress for moving the agreement forward.

“The aluminium industry in the United States relies on free, open and fair trade within North America, which has supported three consecutive years of historically high demand for aluminium within the region,” said Lauren Wilk, vice president for policy and international trade at the Aluminum Association.

“However, we also emphasized the need for effective trade monitoring and enforcement, including the creation of formal aluminium import monitoring programs in the United States and Mexico.”

The Association emphasised the need for effective trade monitoring and enforcement and a formal aluminium import monitoring programme for the US and Mexico.

Canadian government announced in August that the country would add certain aluminium products to its Import Control List (ICL) as part of a commitment to the United States on trade monitoring and enforcement. Mexico made a similar commitment earlier this year to prevent import of subsidised aluminium and steel.

“While the final USMCA agreement still contains a number of protections promoting North American aluminium use, particularly in the automotive sector, there’s no question we must be vigilant to ensure that unfairly traded aluminium does not enter the region,” added Wilk.

Wilk highlighted that aluminium sheet and plate imports from China into Mexico have increased by nearly 150 per cent in the past year and more than 1,700 per cent since 2014, which is a concern. He urged all three USMCA countries to come together in order to address concerns about aluminium import surges, circumvention or evasion of duties.

The USMCA agreement includes Regional Value Content (RVC) requirements for vehicles as well as auto parts, and automakers will be required to certify that at least 70 per cent of the aluminium they purchase directly qualifies as originating within North America.

“A significant amount of automotive aluminium is produced and transformed within North America today, and we anticipate that the car makers will increasingly rely on innovative solutions from U.S. aluminium companies in future model years,” he concluded.

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