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Aluminum Extruders Council Pleased With Indictments in Pallet AD/CVD Evasion Scheme

The criminal charges filed against a China-based aluminum extrusions manufacturer, its owner and several related companies over tariff evasion (see 1907310040) is good news for the aluminum extrusion industry, the Aluminum Extruders Council said in an email. The charges allege…

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that Zhongtian Liu, his company China Zhongwang Holdings, and several other companies controlled by Liu, including Perfectus, imported aluminum extrusions but declared them exempt from antidumping and countervailing duties. "ZhongWang and its affiliates have been an ongoing and disruptive force in the U.S. aluminum industry, especially regarding aluminum extrusions," the AEC said. "ZhongWang and its affiliates dumped tens of millions of pounds of aluminum extrusions into the U.S. market for months leading up to our victory in our Fair Trade Case. Although the shipments stopped after the orders took place, soon afterward extrusions were being shipped into Mexico by ZhongWang and stored in the desert. Later, fake pallets, comprised solely of aluminum extrusions, began entering the United States. Once uncovered, the AEC launched its scope clarification case, in which the Department of Commerce sided with the industry and declared the fake pallets were covered merchandise and thus subject to duties. At every turn, the AEC was actively involved in thwarting ZhongWang’s attempt to avoid duties."