10 Percent Tariffs on Canadian Aluminum Imminent
US Trade Representative (USTR) Lighthizer previously acknowledged that, in a Senate Finance Committee hearing, there have been recent surges in aluminum from Canada and Mexico. Yesterday, the Whitehouse issued a proclamation that would impose a 10 percent tariff on “non-alloyed unwrought aluminum” from Canada. This category accounted for 59 percent of total aluminum imports from Canada during June 2019 through May 2020.”
The proclamation goes on to say, “the United States will monitor for import surges of articles that continue to be exempt from the tariff proclaimed in Proclamation 9704, to ensure that exports of non-alloyed unwrought aluminum to the United States are not simply reoriented into increased exports of alloyed, further processed, or wrought aluminum articles.”
Last year, the Trump administration exempted Canada and Mexico from the Section 232 tariffs on aluminum. Within the agreement to lift the Section 232 tariffs, the U.S. said it could levy duties again after it consults with Canada and in the event of a substantial surge beyond historic volumes.
This will go into effect on August 16, 2020 on imports of non-alloyed unwrought aluminum provided for in subheading 7601.10. This includes 7601.10.3000, 7601.10.6030, and 7601.10.6090.