U.S. Silicon Metal Producers Welcome Duties on Imports of Silicon Metal from Kazakhstan
December 01 2020 - 8:00AM
Globe Specialty Metals, Inc. (“GSM”), a subsidiary of Ferroglobe
PLC (NASDAQ: GSM), and Mississippi Silicon LLC (“MS”), together
representing the majority of American silicon metal production,
welcomed news on November 30th that the U.S. Department of Commerce
("Commerce") will impose preliminary duties of 120% on all silicon
metal imports from Kazakhstan.
The announcement is part of ongoing
investigations of unfairly-traded silicon metal imports from Bosnia
and Herzegovina, Iceland, Malaysia and Kazakhstan. The U.S.
International Trade Commission (ITC) has preliminarily determined
that imports from these four countries are a cause of material
injury to the U.S. industry.
"Unfair trade practices by foreign suppliers
have been an ongoing challenge for our industry," said Marco
Levi, Chief Executive Officer of GSM's parent, Ferroglobe. "These
duties will facilitate normalization of the U.S. market as the
government responds to unfairly-traded imports. We appreciate the
diligent efforts by the Commerce Department in this
investigation."On June 30, 2020, GSM and MS filed petitions to
stop silicon metal producers in Bosnia and
Herzegovina, Iceland, Malaysia and Kazakhstan from
selling dumped and unfairly subsidized silicon metal imports
into the United States. In their petitions, the companies
asked the Commerce and ITC to impose duties on to offset unfair
pricing and unfair subsidies.
Following this announcement, preliminary
determinations will be announced in the Bosnia and
Herzegovina and Iceland investigations
on December 8, 2020, and in
the Malaysia investigation on January 27,
2021.
"Today's decision appropriately recognizes the
challenges our industry has faced in recent years as a result of
dumped and subsidized imports," said Eddie Boardwine, Chief
Operations Officer of MS. "We appreciate the government's efforts
to respond to unfair trade practices and look forward to seeing
conditions in the U.S. market improve in the near future."
Silicon metal is an important element added to
various grades of aluminum alloys used in performance applications
such as automotive components and aerospace products. Silicon metal
also is a critical raw material in the production of silicone
compounds used in numerous products including sealants, adhesives,
rubber gaskets, caulking compounds, lubricants, food additives,
coatings, polishes, and cosmetics, among others. In addition,
silicon metal is the base material in the production of
polysilicon, a purified form of silicon used in solar cells and
semi-conductors.
About Globe Specialty
Metals
Globe Specialty Metals, Inc. is a
wholly-owned U.S. subsidiary of Ferroglobe PLC, one
of the world’s leading suppliers of silicon metal, silicon- and
manganese- based specialty alloys and ferroalloys, serving a
customer base across the globe in dynamic and fast-growing end
markets, such as solar, automotive, consumer products, construction
and energy. Through its subsidiaries, GSM owns metallurgical
manufacturing facilities and other operations in Ohio, West
Virginia, New York, Alabama, Indiana, Florida
and Kentucky.
INVESTOR CONTACT:Gaurav
MehtaExecutive Vice President - Investor
Relationsinvestor.relations@ferroglobe.com
MEDIA
CONTACT:Cristina Feliu RoigExecutive Director –
Communications & Public
Affairscorporate.comms@ferroglobe.com
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