ARLINGTON, Va. – The Consumer Brands Association, leading a coalition of 28 domestic manufacturers, food retailers, and agricultural stakeholders, has raised concerns about the potential negative impact of proposed tariffs on tin mill steel imports. The coalition submitted a letter to the U.S. International Trade Commission (ITC) and the U.S. Department of Commerce, urging a thorough review of the case facts. They argue that the analysis should lead to a conclusion of no injury to the domestic industry and therefore support the imposition of zero tariffs.
This response is directed towards a petition by Cleveland-Cliffs, a steel manufacturer, which seeks to implement tariffs of up to 300% on tin mill steel imports from eight countries. Tin mill steel is a crucial material in producing a wide range of canned goods, from food items to consumer products like sunscreen. Preliminary findings from the ITC earlier this year indicated no evidence of imports at less-than-fair-market-value from five of these countries and very low preliminary duty rates for two others, which the coalition suggests undermines Cleveland-Cliffs’ request.
Studies cited by the coalition indicate that the proposed tariffs could lead to significant negative consequences for American manufacturing, potentially resulting in the loss of nearly 40,000 domestic jobs. Additionally, these tariffs could increase the cost of canned goods by as much as 58 cents per item. The coalition emphasized the critical role of tin mill steel in various manufacturing processes and expressed concerns about the impact of even minimal tariffs on the competitive ability of U.S. manufacturers. They pointed out that the demand for tin mill imports is driven not by cost but by specific quantity and quality requirements.
Highlighting the limitations of domestic supply, the coalition noted that U.S. steel producers currently meet only about 50% of the demand from can manufacturers. They stressed that certain specifications, such as steel types and widths necessary for two-piece cans, are not sufficiently available from domestic sources, leading to reliance on imports from countries like Canada, the Netherlands, Germany, and the United Kingdom.
David Chavern, president and CEO of Consumer Brands, stated, “The proposed tariffs would likely cause considerable harm to American consumers and manufacturers, manifesting in job losses and increased prices for everyday items.” He urged the ITC and the Department of Commerce to consider the facts carefully and reject the tariff proposal. The Department of Commerce is expected to issue its final determination of duty rates on January 4, coinciding with the ITC’s hearing on the case. The conclusion of this case, which has garnered attention from various U.S. manufacturing, agricultural, and consumer groups, is anticipated shortly after these events.
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