Importers recently required to start paying cash deposits to cover potential antidumping and countervailing duties on imports of active anode material have until Aug. 6 to take advantage of a rare opportunity to seek exclusions from these duties for their products.
AAM is most commonly used as the primary component in the anode of lithium-ion batteries, which are used to power electric vehicles, consumer electronics, medical equipment, and other applications.
The International Trade Administration issued this month a preliminary determination on the scope of potential AD/CVD orders on AAM. In relevant part this determination made no changes to the part of the scope that states:
“Subject merchandise is covered regardless of whether it is imported independently, as part of a compound, in a battery, as a component of an anode slurry, or in a subassembly of a battery such as an electrode. Only the anode grade graphite material is covered when entered as part of a mixture with silicon based active materials, as part of a compound, in a battery, as a component of an anode slurry, or in a subassembly of a battery such as an electrode.”
The ITA stated that while the petitioner in this case is not seeking AD/CVD duties on AAM in batteries assembled into further downstream products (e.g., cell phones or electric vehicles), it does want them on AAM in downstream battery cells, battery modules, and battery packs.
To clarify this point, the ITA’s preliminary determination said that the following products are not covered by the scope: battery energy storage systems containers, mobile charging stations, portable power stations, micro power banks, cellular phones, electric vehicles, and energy outdoor liquid cooling racks.
However, in an unusual move, the ITA is also providing parties with the opportunity to comment on both exclusionary language that could be added to the scope and additional products that should be explicitly excluded from the scope. Comments are due by Aug. 6 and rebuttal comments are due by Aug. 13.
This is a unique opportunity for importers to ensure that the products they import will not be covered by the orders resulting from this case, and those potentially affected should therefore seriously consider submitting comments. For more information, or for assistance drafting and submitting comments, please contact ST&R.
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