On June 21, the newly created UK Trade Remedies Authority (TRA) initiated its first case in response to an application from the domestic industry, against aluminium extrusions from China. As the TRA explained in a press release: "Aluminium extrusions are commonly used in the manufacture of heavy equipment, such as components for infrastructure projects like mining, oil and gas, chemical and refinery equipment. They can also be found in windows, doors and railings, cars, buses and trains, and air conditioners, personal watercraft and medical equipment."
The non-confidential version of the application from the UK company Hydro Aluminium UK Ltd can be downloaded here. In the application, the company stated that: "The overall dumping margin calculated across all product types/models is 54.8%."
The TRA's notice of initiation is here. The notice explains the allegations as follows:
Allegations of dumping and injury
The Application alleges that the market for aluminium extrusions, as well as the markets for the different factors of production for aluminium extrusions in the People’s Republic of China, are distorted. The consequence of the distortions is that the costs and prices for aluminium extrusions and the factors of production used to make aluminium extrusions are distorted. Normal value cannot therefore be a price for the comparable product on the domestic Chinese market but must be a value constructed within the terms of Regulation 8(1)(a) of the Trade Remedies (Dumping and Subsidisation) (EU Exit) Regulations 2019. The allegations of dumping are based on the comparison of a constructed normal value with the export price adjusted to ex-works level when sold in the United Kingdom. This calculation has produced a dumping margin more than minimal.
The applicant claims that the alleged dumping has caused and is causing material injury to the applicant through price undercutting which has led to decreased domestic production, decrease value of sales and decreased profitability. The value of sales to unrelated parties decreased leading to decreased profitability over the injury period. The applicant also decreased in market share over the same period and the alleged dumping has also led to price depression of the United Kingdom industry. The applicant further considers that the recent imposition by the EU of antidumping measures against aluminium extrusions exported from the People’s Republic of China, could lead to trade deflection from the EU to the UK which could increase the material injury currently suffered by the domestic industry.
The investigation is No. AD0012.