The Coalition of American Metal Manufacturers and Users (CAMMU), representative of more than 30,000 US manufacturing companies and more than one million American workers, has released a letter sent to US President Joe Biden requesting the immediate termination of the Section 232 tariffs on steel and aluminum imports imposed almost three years ago. The Coalition claimed that the Section 232 steel and aluminum tariffs have damaged US consuming industries and small manufacturers. The tariffs also feed current steel supply shortages and high prices during significant challenges amid the coronavirus pandemic, CAMMU stated.
The letter said that the tariffs have also hurt the relations with overseas trading partners, inciting them to retaliate in their trade measures. The letter also emphasized that the exclusion process alone cannot address the shortages and price spikes that are hurting steel and aluminum-using manufacturers.
CAMMU pointed out that the Section 232 tariffs allowed domestic producers to raise prices of their products by effectively placing an added tax on competing imports. As a result, even manufacturers who only buy steel from domestic producers are unable to obtain the steel they need because of the domestic industry’s capacity, or cannot purchase steel at a competitive price.
“We ask that you move at once to terminate the Section 232 steel and aluminum tariffs and focus instead on re-engaging with our trading partners on a coordinated response to address the root cause of global oversupply in steel and aluminum: excess capacity in China,” the letter said.
