Section 232 update

Section 232 update

Whilst reviewing the report released by the US Department of Commerce (DoC) on the effect of imports of aluminium on national security, European Aluminium reconfirms its belief that the root cause of the main challenges faced by the aluminium industry is global excess capacity, in particular in China.

Potential measures should address these imbalances without distorting global trade flows and interfering with the current trading relationship between the United States and Europe.

“Last year, we provided data and evidence during the US Congress hearing on the Section 232 investigation that prove European aluminium imports, in view of both their quantity and characteristics, do not pose any threat to US national security. Both parties know that overcapacity is a global and structural problem that requires a global and long term solution such as the creation of a Global Aluminium Forum within G20. We believe that we need to stick to an approach based on multilateral rules and common enforcement in creating an enforceable global playing field for all producers that can promote competitiveness and jobs on a regional level but can also encourage innovation across our unique transatlantic hubs,” said Gerd Götz, Director General of European Aluminium.

The American and European value chains are strongly interlinked, adding value to both societies as a whole and strengthening national security in the US. Today, 15 multinationals are members of both European Aluminium and the American Aluminum Association and supply a vast majority of the entire aluminium value chain on both sides of the Atlantic on a daily basis.

“The proposed unilateral measures would cause great harm to the European aluminium industry and further imbalance global trade flows without addressing the increasing overcapacities in China. Should the US decide to enforce these measures, we count on the support of the European Commission to use all its possible trade defence instruments to protect the European industry against further harm,” concluded Götz.

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