Lifting tariffs could threaten US Magnesium
Dec 07, 2010 | 01:02 PM
| Anne Riley
Lifting anti-dumping duties on Chinese and Russian magnesium could threaten the survival of the United States' only major producer, US Magnesium LLC, the president of the company, Michael H. Legge, told the U.S. International Trade Commission (ITC) Tuesday.
His warning came as die casters in turn argued that the duties should be lifted in order to save their industry.
The anti-dumping duties, which are being revisited by the ITC as part of a standard five-year sunset review, could be lifted as soon as the first quarter if the ITC rules in domestic die casters' favor, paving the way for a major shift in the flow of magnesium in the U.S. market.
Legge said that the revocation of anti-dumping duties would encourage foreign suppliers to flood the market with lower-cost material, causing domestic prices to plummet and jeopardizing the Rowley, Utah-based magnesium producer. "If these orders are revoked, market prices will plunge and lower prices will endanger the sufficiency of return on…investment projects and make it impossible to carry out our expansion plans," Legge said.....
To access AMM's full content, please log in below. If you do not have an AMM account, we invite you to take a free trial or subscribe below.
Already a registered amm.com user?
Access to amm.com editorial content is granted only to paid subscribers and trialists. If you do not have an active account in your own name, please either subscribe or take a trial and you will have instant access to amm.com content. Sharing your login credentials with individuals who are not subscribers represents a violation of AMM copyright.
Every morning, every minute no matter how often you follow the markets, there's an AMM subscription to fit your needs.
Not sure if you are ready to invest in a subscription right now? Take a free, no-obligation trial. Start your free trial today.