GlobalUpdate  
China Zhongwang Disputes  
Allegations About its U.S. Activity  
he controversial subject of im- claims. “Pallets of this type are made- merce filed the revised decision“under  
ported Chinese aluminum prod- to-order and sold at relatively higher protest,” the opportunity to appeal the  
ucts is once again making news. prices, and it would make no com- decision is open.“That’s what the coa-  
In one case, aluminum company China mercial sense to re-melt them as some lition is getting ready for.”  
Zhongwang is pushing back against what third parties have alleged. The com-  
T
it says are“misrepresentations”of its U.S. pany is also not aware of these pallets The Defense  
market participation and “groundless” being used by others for such purpose.”  
Yuanda is at the center of the CWC’s  
accusations that it is evading duties.  
The company says that between opposition, alongside Jango Curtain Wall  
The company has been at the cen- 2001 and 2015, “total export of alumi- Americas, Permasteelisa and their affil-  
ter of a trade dispute with members num products from Mexico to the U.S. iates. In late June, the three parties filed  
of the American aluminum extruders amounted to 291,000 tons, accounting separate responses to the CWC’s com-  
industry, led by the Aluminum Ex- for only 1.57 percent of total U.S. im- ments following the revised decision.  
truders Council (AEC). Last year, the ports.… The allegations against Zhong-  
“Our defense has an unlimited  
AEC petitioned the U.S. Department of wang transshipping products to Mexico amount of funds, and we enjoy seeing  
Commerce (DOC) to investigate China or the implied exaggerated impact of the the CWC continue to burn through their  
Zhongwang after a detailed report was small volume of exports from Mexico to money,” says John D’Amario, Northwest  
published by short seller Dupre Analyt- the U.S. are groundless.”  
USA sales manager of Yuanda’s Ameri-  
can division. “It’s very laughable. We’re  
not going anywhere. Get used to it.”  
The revised decision in favor of Yu-  
Coast-based curtainwall producers in a anda came after a federal judge in the  
The DOC has since been investi- legal battle regarding tariffs is looking Court of International Trade (CIT) de-  
gating the company concerning its to take its campaign to a national level. termined in February that the original  
In May, the Commerce Department scope ruling “redefines key terms con-  
ics, laying out alleged duty circumven-  
tion and other illegitimate practices.  
Tariff Discussions  
In related news, an alliance of West  
Investigating Claims  
5
050 alloy extrusions. In September,  
Zhongwang asserted that it ceased revised a decision that initially asserted trary to the plain language of the [or-  
production of 5050 alloy in early 2015, certain curtainwall parts imported from ders] … does not reasonably consider  
approximately eight months prior to China were subjected to tariffs on alu- the characteristics of Plaintiffs’ mer-  
the initiation of the investigation. It minum extrusions. Both Commerce chandise and the evidence that weighs  
also claims it exported “a very small and the Court of Appeals previously had against the agency’s determination  
amount of that product between 2013 affirmed the parts were covered in the and offers insufficient reasons for  
and 2015, consisting of approximately scope of the tariffs.(The tariffs had been treating similar products differently.”  
1
,500 tons.” The company says the vol- in place in 2011, but the recent revision  
ume of exports of that product “were excused them from the scope.)  
insignificant,constituting less than one  
The CWC says it is “confident that  
we will prevail in the current litiga-  
The“Curtainwall Coalition”(CWC)— tion” but that winning “may require  
percent of the company’s total sales consisting of Architectural Glass and a second hearing before the Court of  
over that period,” adding that it has no Aluminum,Walters and Wolf and Baga- Appeals, a hearing in which we are  
plans to sell the product in the future. telos Architectural Glass—filed a court opposed by three law firms and their  
Zhongwang has been accused of brief in June opposing the revision.  
re-melting aluminum pallets into “Curtainwall products are clearly the Chinese industry has an“unfair ad-  
raw material in order to evade duties, and specifically covered in those or- vantage because it is subsidized by its  
which it denies.  
ders,” says AEC president Jeff Hen- government, making it impossible for  
Pallets are a wholly different prod- derson. “Up until earlier this year, U.S. manufacturers to compete. They  
Chinese company clients.” It also says  
uct in finished form sold to a wholly every attempt to remove curtainwall go into a target country and undercut  
different customer and for different use parts from the scope of the orders has prices so much that they drive virtually  
than extruded products,” the company failed.” Henderson says because Com- all competitors out of business.” n  
20  
USGlass, Metal & Glazing | December 2016  
www.usglassmag.com