Adjusting Imports of Aluminum Into the United States, 11619-11624 [2018-05477]

Agencies

• Executive Office of the President

[Federal Register Volume 83, Number 51 (Thursday, March 15, 2018)]
[Presidential Documents]
[Pages 11619-11624]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-05477]



[[Page 11617]]

Vol. 83

Thursday,

No. 51

March 15, 2018

Part III





The President





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Proclamation 9704--Adjusting Imports of Aluminum Into the United States



Proclamation 9705--Adjusting Imports of Steel Into the United States



Order of March 12, 2018--Regarding the Proposed Takeover of Qualcomm 
Incorporated by Broadcom Limited


                        Presidential Documents 



Federal Register / Vol. 83 , No. 51 / Thursday, March 15, 2018 / 
Presidential Documents

___________________________________________________________________

Title 3--
The President

[[Page 11619]]

                Proclamation 9704 of March 8, 2018

                
Adjusting Imports of Aluminum Into the United 
                States

                By the President of the United States of America

                A Proclamation

                1. On January 19, 2018, the Secretary of Commerce 
                (Secretary) transmitted to me a report on his 
                investigation into the effect of imports of aluminum on 
                the national security of the United States under 
                section 232 of the Trade Expansion Act of 1962, as 
                amended (19 U.S.C. 1862).

                2. The Secretary found and advised me of his opinion 
                that aluminum is being imported into the United States 
                in such quantities and under such circumstances as to 
                threaten to impair the national security of the United 
                States. The Secretary found that the present quantities 
                of aluminum imports and the circumstances of global 
                excess capacity for producing aluminum are ``weakening 
                our internal economy,'' leaving the United States 
                ``almost totally reliant on foreign producers of 
                primary aluminum'' and ``at risk of becoming completely 
                reliant on foreign producers of high-purity aluminum 
                that is essential for key military and commercial 
                systems.'' Because of these risks, and the risk that 
                the domestic aluminum industry would become ``unable to 
                satisfy existing national security needs or respond to 
                a national security emergency that requires a large 
                increase in domestic production,'' and taking into 
                account the close relation of the economic welfare of 
                the Nation to our national security, see 19 U.S.C. 
                1862(d), the Secretary concluded that the present 
                quantities and circumstances of aluminum imports 
                threaten to impair the national security as defined in 
                section 232 of the Trade Expansion Act of 1962, as 
                amended.

                3. In light of this conclusion, the Secretary 
                recommended actions to adjust the imports of aluminum 
                so that such imports will not threaten to impair the 
                national security. Among those recommendations was a 
                global tariff of 7.7 percent on imports of aluminum 
                articles in order to reduce imports to a level that the 
                Secretary assessed would enable domestic aluminum 
                producers to use approximately 80 percent of existing 
                domestic production capacity and thereby achieve long-
                term economic viability through increased production. 
                The Secretary has also recommended that I authorize 
                him, in response to specific requests from affected 
                domestic parties, to exclude from any adopted import 
                restrictions those aluminum articles for which the 
                Secretary determines there is a lack of sufficient U.S. 
                production capacity of comparable products, or to 
                exclude aluminum articles from such restrictions for 
                specific national security-based considerations.

                4. I concur in the Secretary's finding that aluminum 
                articles are being imported into the United States in 
                such quantities and under such circumstances as to 
                threaten to impair the national security of the United 
                States, and I have considered his recommendations.

                5. Section 232 of the Trade Expansion Act of 1962, as 
                amended, authorizes the President to adjust the imports 
                of an article and its derivatives that are being 
                imported into the United States in such quantities or 
                under such circumstances as to threaten to impair the 
                national security.

                6. Section 604 of the Trade Act of 1974, as amended (19 
                U.S.C. 2483), authorizes the President to embody in the 
                Harmonized Tariff Schedule of the United States (HTSUS) 
                the substance of acts affecting import treatment,

[[Page 11620]]

                and actions thereunder, including the removal, 
                modification, continuance, or imposition of any rate of 
                duty or other import restriction.

                7. In the exercise of these authorities, I have decided 
                to adjust the imports of aluminum articles by imposing 
                a 10 percent ad valorem tariff on aluminum articles, as 
                defined below, imported from all countries except 
                Canada and Mexico. In my judgment, this tariff is 
                necessary and appropriate in light of the many factors 
                I have considered, including the Secretary's report, 
                updated import and production numbers for 2017, the 
                failure of countries to agree on measures to reduce 
                global excess capacity, the continued high level of 
                imports since the beginning of the year, and special 
                circumstances that exist with respect to Canada and 
                Mexico. This relief will help our domestic aluminum 
                industry to revive idled facilities, open closed 
                smelters and mills, preserve necessary skills by hiring 
                new aluminum workers, and maintain or increase 
                production, which will reduce our Nation's need to rely 
                on foreign producers for aluminum and ensure that 
                domestic producers can continue to supply all the 
                aluminum necessary for critical industries and national 
                defense. Under current circumstances, this tariff is 
                necessary and appropriate to address the threat that 
                imports of aluminum articles pose to the national 
                security.

                8. In adopting this tariff, I recognize that our Nation 
                has important security relationships with some 
                countries whose exports of aluminum to the United 
                States weaken our internal economy and thereby threaten 
                to impair the national security. I also recognize our 
                shared concern about global excess capacity, a 
                circumstance that is contributing to the threatened 
                impairment of the national security. Any country with 
                which we have a security relationship is welcome to 
                discuss with the United States alternative ways to 
                address the threatened impairment of the national 
                security caused by imports from that country. Should 
                the United States and any such country arrive at a 
                satisfactory alternative means to address the threat to 
                the national security such that I determine that 
                imports from that country no longer threaten to impair 
                the national security, I may remove or modify the 
                restriction on aluminum articles imports from that 
                country and, if necessary, make any corresponding 
                adjustments to the tariff as it applies to other 
                countries as our national security interests require.

                9. I conclude that Canada and Mexico present a special 
                case. Given our shared commitment to supporting each 
                other in addressing national security concerns, our 
                shared commitment to addressing global excess capacity 
                for producing aluminum, the physical proximity of our 
                respective industrial bases, the robust economic 
                integration between our countries, the export of 
                aluminum produced in the United States to Canada and 
                Mexico, and the close relation of the economic welfare 
                of the United States to our national security, see 19 
                U.S.C. 1862(d), I have determined that the necessary 
                and appropriate means to address the threat to the 
                national security posed by imports of aluminum articles 
                from Canada and Mexico is to continue ongoing 
                discussions with these countries and to exempt aluminum 
                articles imports from these countries from the tariff, 
                at least at this time. I expect that Canada and Mexico 
                will take action to prevent transshipment of aluminum 
                articles through Canada and Mexico to the United 
                States.

                10. In the meantime, the tariff imposed by this 
                proclamation is an important first step in ensuring the 
                economic viability of our domestic aluminum industry. 
                Without this tariff and satisfactory outcomes in 
                ongoing negotiations with Canada and Mexico, the 
                industry will continue to decline, leaving the United 
                States at risk of becoming reliant on foreign producers 
                of aluminum to meet our national security needs--a 
                situation that is fundamentally inconsistent with the 
                safety and security of the American people. It is my 
                judgment that the tariff imposed by this proclamation 
                is necessary and appropriate to adjust imports of 
                aluminum articles so that such imports will not 
                threaten to impair the national security as defined in 
                section 232 of the Trade Expansion Act of 1962, as 
                amended.

[[Page 11621]]

                NOW, THEREFORE, I, DONALD J. TRUMP, President of the 
                United States of America, by the authority vested in me 
                by the Constitution and the laws of the United States 
                of America, including section 301 of title 3, United 
                States Code, section 604 of the Trade Act of 1974, as 
                amended, and section 232 of the Trade Expansion Act of 
                1962, as amended, do hereby proclaim as follows:

                (1) For the purposes of this proclamation, ``aluminum 
                articles'' are defined in the Harmonized Tariff 
                Schedule (HTS) as: (a) unwrought aluminum (HTS 7601); 
                (b) aluminum bars, rods, and profiles (HTS 7604); (c) 
                aluminum wire (HTS 7605); (d) aluminum plate, sheet, 
                strip, and foil (flat rolled products) (HTS 7606 and 
                7607); (e) aluminum tubes and pipes and tube and pipe 
                fitting (HTS 7608 and 7609); and (f) aluminum castings 
                and forgings (HTS 7616.99.51.60 and 7616.99.51.70), 
                including any subsequent revisions to these HTS 
                classifications.

                (2) In order to establish increases in the duty rate on 
                imports of aluminum articles, subchapter III of chapter 
                99 of the HTSUS is modified as provided in the Annex to 
                this proclamation. Except as otherwise provided in this 
                proclamation, or in notices published pursuant to 
                clause 3 of this proclamation, all imports of aluminum 
                articles specified in the Annex shall be subject to an 
                additional 10 percent ad valorem rate of duty with 
                respect to goods entered, or withdrawn from warehouse 
                for consumption, on or after 12:01 a.m. eastern 
                daylight time on March 23, 2018. This rate of duty, 
                which is in addition to any other duties, fees, 
                exactions, and charges applicable to such imported 
                aluminum articles, shall apply to imports of aluminum 
                articles from all countries except Canada and Mexico.

                (3) The Secretary, in consultation with the Secretary 
                of State, the Secretary of the Treasury, the Secretary 
                of Defense, the United States Trade Representative 
                (USTR), the Assistant to the President for National 
                Security Affairs, the Assistant to the President for 
                Economic Policy, and such other senior Executive Branch 
                officials as the Secretary deems appropriate, is hereby 
                authorized to provide relief from the additional duties 
                set forth in clause 2 of this proclamation for any 
                aluminum article determined not to be produced in the 
                United States in a sufficient and reasonably available 
                amount or of a satisfactory quality and is also 
                authorized to provide such relief based upon specific 
                national security considerations. Such relief shall be 
                provided for an aluminum article only after a request 
                for exclusion is made by a directly affected party 
                located in the United States. If the Secretary 
                determines that a particular aluminum article should be 
                excluded, the Secretary shall, upon publishing a notice 
                of such determination in the Federal Register, notify 
                Customs and Border Protection (CBP) of the Department 
                of Homeland Security concerning such article so that it 
                will be excluded from the duties described in clause 2 
                of this proclamation. The Secretary shall consult with 
                CBP to determine whether the HTSUS provisions created 
                by the Annex to this proclamation should be modified in 
                order to ensure the proper administration of such 
                exclusion, and, if so, shall make such modification to 
                the HTSUS through a notice in the Federal Register.

                (4) Within 10 days after the date of this proclamation, 
                the Secretary shall issue procedures for the requests 
                for exclusion described in clause 3 of this 
                proclamation. The issuance of such procedures is exempt 
                from Executive Order 13771 of January 30, 2017 
                (Reducing Regulation and Controlling Regulatory Costs).

                (5) (a) The modifications to the HTSUS made by the 
                Annex to this proclamation shall be effective with 
                respect to goods entered, or withdrawn from warehouse 
                for consumption, on or after 12:01 a.m. eastern 
                daylight time on March 23, 2018, and shall continue in 
                effect, unless such actions are expressly reduced, 
                modified, or terminated.

                    (b) The Secretary shall continue to monitor imports 
                of aluminum articles and shall, from time to time, in 
                consultation with the Secretary of State, the Secretary 
                of the Treasury, the Secretary of Defense, the USTR, 
                the Assistant to the President for National Security 
                Affairs, the Assistant to

[[Page 11622]]

                the President for Economic Policy, the Director of the 
                Office of Management and Budget, and such other senior 
                Executive Branch officials as the Secretary deems 
                appropriate, review the status of such imports with 
                respect to the national security. The Secretary shall 
                inform the President of any circumstances that in the 
                Secretary's opinion might indicate the need for further 
                action by the President under section 232 of the Trade 
                Expansion Act of 1962, as amended. The Secretary shall 
                also inform the President of any circumstance that in 
                the Secretary's opinion might indicate that the 
                increase in duty rate provided for in this proclamation 
                is no longer necessary.

                (6) Any provision of previous proclamations and 
                Executive Orders that is inconsistent with the actions 
                taken in this proclamation is superseded to the extent 
                of such inconsistency.

                IN WITNESS WHEREOF, I have hereunto set my hand this 
                eighth day of March, in the year of our Lord two 
                thousand eighteen, and of the Independence of the 
                United States of America the two hundred and forty-
                second.
                
                
                    (Presidential Sig.)

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[FR Doc. 2018-05477
Filed 3-14-18; 11:15 am]
Billing code 7020-02-C