Australia plans to impose a provisional dumping duty of 16 percent on certain aluminium extrusions from China starting Nov. 6, the Australian Customs and Border Protection Service said on its website.
The Australian customs authorities launched an investigation into the case in June and are due to report to the Minister of Home Affairs with recommendations on or before April 15, 2010 on whether to publish a dumping duty notice.
The action followed Canada's decision in March to impose dumping and subsidising tariffs on Chinese extrusions.
"It's not often Australia imposes duties and they have to go through a strict process to get these measures imposed," said a commodities analyst in Sydney, who declined to be named.
"It's symbolic. No one in China will be happy, but it won't be a massive blow. China of course has levers to pull if they feel aggrieved. They are big importer of bauxite from Australia, but retaliation like that is a bit of a blunt instrument."
It is unclear the volume of extrusions shipped to Australia from China, but a source familiar with the investigation said earlier this year China's extrusions exports ballooned in the first quarter. [ID:nSYD127390]
"In reaching this preliminary decision, Customs and Border Protection is satisfied that the dumped and subsidised goods appear to have caused material injury to the Australian industry producing like goods," said the customs in a notice on its website (www.customs.gov.au).
China's exports of aluminium products in the first nine months of the year fell 36.6 percent from a year earlier to 950,000 tonnes, the official customs data showed. [ID:nPEK208629]
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