AEC says aluminum tariffs should target China

The Aluminum Extruders Council (AEC), Wauconda, Ill., cautions President Trump not to miss the opportunity to confront the real threat to the U.S. aluminum industry: China. AEC says that a global tariff on aluminum products will have the opposite effect than intended and actually play into China’s hands.

China does not export primary aluminum to the U.S. but instead targets downstream aluminum markets with their unfair trade practices, and a global tariff as proposed by the president will not stop those imports, says the AEC.

“We simply cannot afford to get this wrong. The remedy should be a tariff targeted at China and countries that allow Chinese transshipment,” said AEC President Jeff Henderson.

Since 2009 AEC has successfully battled the unfair and illegal trade practices of the Chinese aluminum extrusion industry. As a result of pursuing measures specifically targeted at China, the U.S. aluminum extrusion industry has been able to recover and grow. Employment has increased by 50 percent, and the industry has invested more than $1 billion in U.S. manufacturing and R&D.

A recent analysis released by Harbor Intelligence related to the administration’s tariff announcement states, “U.S. primary aluminum smelting direct jobs will increase by around 1,900 positions, but the duty is expected to destroy at least 23,000 and as many as 90,000 direct jobs in the U.S. manufacturing sector.”

“Yes, we may see a crisis in the U.S. aluminum industry, and yes it threatens our national security,” said Henderson. “However, the threat is coming from China, and we must take this moment to do the right thing and confront them in the loudest possible way.”