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  • Writer's pictureStephen Fodor

Chinese Vinyl Flooring, Canadian Aluminum are the latest in Trump Tariffs

Monday Morning Wake Up Call

August 10, 2020

Floor covering prices expected to rise as U.S. slaps tariffs back on China-made luxury vinyl tiles

The U.S. government is restoring the 25% tariff tax on China-made LVT products nine months after the tariffs were lifted last November to allow for a reconsideration of their impact. China is one of the major developers and suppliers of the popular vinyl tiles or planks that resemble hardwood floors and snap together during installation and the restoration of the tariffs is projected to again boost their price significantly.

Trump Reimposes Canadian Aluminum Import Tariff to Stem ‘Flood’

President Donald Trump announced Thursday that he’s removing Canada’s exemption from 10% tariffs, effective Aug. 16. The decision comes more than a month after U.S. Trade Representative Robert Lighthizer expressed concern about recent struggles by American aluminum producers, who have said they are hurting from a “surge” of metal from Canada flowing into the U.S.

Proclamation on Adjusting Imports of Aluminum Into the United States

U.S. Chamber Statement on White House Trade Actions

“Today more than ever, American businesses of all sizes depend on trade as an engine of growth and job creation. However, the administration’s move to re-impose tariffs on aluminum from Canada is a step in the wrong direction.

“These tariffs will raise costs for American manufacturers, are opposed by most U.S. aluminum producers, and will draw retaliation against U.S. exports — just as they did before. We urge the administration to reconsider this move.

Reinstating Section 232 Aluminum Tariffs the Wrong Approach for U.S. Industry

New Tariffs Harmful to Aluminum Comeback, U.S. Jobs

“We’re incredibly disappointed that the administration failed to listen to the vast majority of domestic aluminum companies and users by reinstating Section 232 tariffs on Canadian aluminum. After years of complex negotiations and hard work by government, industry and other leaders across North America to make the U.S.-Mexico-Canada Agreement (USMCA) a reality, this ill-advised action on a key trading partner undermines the deal’s benefits at a time when U.S. businesses and consumers can least afford it. While we understand that the president is attempting to help the aluminum industry, the volatility of implementing, removing and then re-imposing trade barriers threatens U.S. growth and investment at a time when domestic demand is already down nearly 25 percent year-to-date. This Groundhog’s Day revival of Section 232 tariffs on a key trading partner does not address the underlying issue of China’s overcapacity and makes U.S. aluminum companies less competitive when trying to sell their goods to industrial customers across North America. As the Aluminum Association has extensively documented, reports of a ‘surge’ of primary aluminum imports from Canada are grossly exaggerated. Data released just yesterday by the U.S. Census Bureau showed that overall primary aluminum imports from the U.S. to Canada declined about 2.6 percent from May to June and are below levels seen as recently as 2017. The few companies that stand to benefit from reinstated 232 tariffs on aluminum have cherry-picked government data and omitted important context to build their case, which unfortunately won the day. The Aluminum Association will continue to monitor trade flows and advocate for the removal of Section 232 aluminum tariffs on all market economy countries. The industry strongly favors continued targeted trade enforcement that addresses the real problem in the market today – massive Chinese metal subsidies that drive massive overcapacity.”

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