EnPresident Donald Trump’s cabinet meeting yesterday included references to sending new rules for aluminum and steel trade rules to Congress, according to Press Secretary Sean Spicer. This is not a surprise following recent commentary from the President about steel, as outlined in Panjiva research of June 8.
While the definition of aluminum exports as a national security issue offer the President significant latitude to act unilaterally, Congress may prove resistant. Indeed, World Trade report that other government agencies are pushing back against draconian rules. Their concerns are that higher aluminum costs – either due to tariffs or new, higher cost U.S. production – could harm user industries including autos.
Panjiva data shows U.S. aluminum imports have taken a marked step-up recently, possibly as a reaction to the broad “section 232” investigation. Total imports increased 36.5% on a year earlier in April in dollar terms, led by a 52.8% rise in imports from Canada and 49.9% from China. As a consequence the 12 month rolling total is 19.6% higher than a year earlier and the highest since at least 2009.
Source: Panjiva
