The U.S. Department of Commerce has set an antidumping duty of 83.94% on aluminum imports from Romanian producer Alro Slatina, according to a preliminary determination published on October 6.

The Department of Commerce decided to impose such antidumping rates on the imports of common alloy aluminum sheet from Bahrain, Brazil, Croatia, Egypt, Germany, Greece, India, Indonesia, Italy, Oman, Romania, Serbia, Slovenia, South Africa, South Korea, Spain, Taiwan, and Turkey.

“The Department’s aluminum sheet investigations constitute the broadest U.S. trade enforcement action in two decades,” said Secretary of Commerce Wilbur Ross in a press release. “We look forward to receiving parties’ comments on the preliminary determinations that aluminum sheet imports from 18 countries have been dumped, and in some cases unfairly subsidized, into the U.S. market.”

The decision comes after U.S. aluminum producers filed a petition with the Department of Commerce complaining about the low rates of aluminum sheets imported from these 18 countries. The Department of Commerce will announce its final determinations in these cases on or about February 22, 2021.

“If Commerce’s final determinations are affirmative, the U.S. International Trade Commission (ITC) will be scheduled to make its final injury determination on or about April 5, 2021. If Commerce makes affirmative final determinations of dumping and the ITC makes an affirmative final injury determination, Commerce will issue A.D. orders. If Commerce makes a negative final determination or the ITC makes a negative final determination of injury in an investigation, the investigation will be terminated, and no order will be issued,” reads the press release.

According to the U.S. Department of Commerce, foreign companies that price their products in the U.S. market below the cost of production or below prices in their home markets are subject to antidumping duties. Foreign companies that receive financial assistance from foreign governments that benefits their production of goods, and is limited to specific enterprises or industries, or is contingent either upon export performance or upon the use of domestic goods over imported goods, are subject to countervailing duty duties (CVD).

Alro’s aluminum sheet exports to the U.S. increased significantly, from 1,321 tons (USD 4.3 mln) in 2017 to 10,058 tons (USD 29.3 mln) in 2019. The exports to the U.S. represented close to 5% of Alro’s sales in 2019 (USD 588 mln).

Alro considers the petition as unfounded and the calculations which are behind it as erroneous. The company intends to “vigorously defend its position in front of the American authorities involved.”

Alro is listed on the Bucharest Stock Exchange and has a market capitalization of EUR 288 mln. The company's majority shareholder is Vimetco, a Dutch-based group controlled by Russian investor Vitaliy Machitski, which holds a 54% stake. Romanian investors Adrian and Dragos Paval, the owners of DIY retailer Dedeman, hold a 23% stake, and investment fund Fondul Proprietatea holds 10%.

editor@romania-insider.com

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