The American Trailer Manufacturers Coalition recently asked the U.S. Department of Commerce to include refrigerated and dry van trailers, and their subassemblies, within the measures on steel and aluminum derivative products under Section 232 of the Trade Expansion Act of 1962.
The ad hoc coalition of U.S. trailer manufacturers includes Great Dane, Stoughton Trailers, Strick Trailers, and Wabash, according to advisory firm Wiley Rein, which submitted the requests. The May 15 submission explains that imports of foreign-made reefers and dry vans incorporating foreign-made steel and aluminum articles have undermined the effectiveness of the Section 232 tariffs, threatening the vitality of the U.S. reefer and dry van industry.
Reefer and dry van production facilities for the four requesting companies are located throughout the United States, including Arkansas, Georgia, Illinois, Indiana, Nebraska, Pennsylvania, Tennessee, and Wisconsin, and these facilities have been harmed by unfairly priced imports of dry vans and reefers, the coalition argues.
The trailer industry is essential for robust domestic supply chains. The coalition requests the tariffs be applied to allow the U.S. dry van and reefer industry to remain commercially competitive and level the playing field against foreign imports that would otherwise be exempt from the effects of the tariffs.
The Commerce Department is scheduled to make a determination on the coalition’s request within 60 days of its submission, Wiley reported. If the manufacturers’ request is granted, the steel and aluminum content of imports of reefers and dry vans entering under Harmonized Tariff Schedule subheading 8716.39.0040 will be subject to 25% tariffs. The tariffs would not apply to the value of the entire trailer, but rather the full value of the steel and aluminum content within the trailer.
