Brown Tells Commerce to Ignore Political Pressure on Tin Mill AD/CVD
Sen. Sherrod Brown, D-Ohio, told Commerce Secretary Gina Raimondo that she should not intervene in professional staff's determination of whether antidumping and countervailing duties -- they range from 43% to 294% -- should be imposed on imported tin mill steel products, used in making cans for packaging food.
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Brown, whose represents the home state of petitioner Cleveland-Cliffs, said he appreciated her response to his February letter, which said in part: "Commerce is required to initiate AD/CVD investigations when a petition is properly filed that meets all statutory requirements and is supported by the U.S. domestic industry, as was the case for the ongoing investigations on tin mill products…."
Brown is worried that she could be swayed by the concerns of other members of Congress that higher tariffs on cans will drive up the cost of food, perhaps lead to less canning in the U.S. -- and therefore fewer markets for vegetable or fruit growers -- and their argument that higher tariffs on tinplate would eliminate can-making jobs
More than 30 members of the House of Representatives said that if AD/CVD were imposed, it would not hit China, and could drive up the cost of one of the most affordable kinds of food (see 2306160045). That letter was sent in June, and Inside U.S. Trade noted that Virginia's two senators wrote in July, stating that 130 jobs in the town of Roanoke were imperiled, and that can-makers are already paying higher prices for steel than in other countries because of Section 232 tariffs.
"Unfortunately, along with the Chinese solar circumvention case against Chinese solar manufacturers in Southeast Asia, this case against the dumping of tin mill steel products has recently been on the receiving end of politicized media attention," Brown wrote, and added: "I urge you to guard against politicized interference by upholding all recommendations in the tin plate case... ."
Brown also expressed concerns about the fact that Inflation Reduction Act credits could apply to solar panels made with Chinese wafers. The IRA tax credits for residential solar have no limit on where the panels can come from. Utility scale solar does offer a 10% bonus for domestic panels, but the wafers do not have to be made in the U.S.
The issue in the solar circumvention case that Brown referred to is that the Commerce Department ruled that many solar panels built in Southeast Asia use Chinese wafers, and therefore are circumventing antidumping duty orders on Chinese cells and modules. However, Commerce said even Chinese-manufactured wafers could be used without falling within the scope of the order if "no more than two of the following components were sourced from China: silver paste, aluminum frames, glass, backsheets, ethylene-vinyl-acetate or junction boxes."
He said it is unacceptable for panels with Chinese wafers to receive IRA tax credits. "American tax dollars should support American workers," he wrote.
Brown's office did not respond to a question about whether this concern should be sent to the Treasury Department, which is responsible for implementing IRA tax credits.