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MEMA Again Opposes Tariffs and Calls for Improved Exclusion Process in Comments to Trump Administration

Date: May 18, 2018
The Motor & Equipment Manufacturers Association (MEMA) has filed detailed comments to U.S. Secretary of Commerce Wilbur Ross reiterating that tariffs on aluminum and steel triggered by the Trump administration in March could negatively impact U.S. businesses.
 
“MEMA is very concerned about the adverse impact on manufacturing jobs resulting from the Section 232 tariffs. The impact of these tariffs has made many of our member companies postpone future U.S. investments in anticipation of increased costs and uncertainty due to expected tariffs on steel and aluminum imports. Tariffs will have a negative impact on these manufacturers, the jobs they create, and ultimately the American consumer,” said MEMA Senior Vice President of Government Affairs Ann Wilson in the comments. “While MEMA continues to oppose the tariffs because of the impact on motor vehicle parts manufacturers, we are deeply concerned that the exclusion request process is flawed and must be improved. We urge Commerce to simplify the process and develop clearer procedures and processes for product exclusion applications.”
 
Many specialty steel and aluminum materials imported by motor vehicle suppliers are used by hundreds of vehicle parts manufacturers operating in an integrated, complex global supply chain. Suppliers’ access to these specialized products – which are often only available from one or two sources in the world – is critical to the industry and our national economy.
 
MEMA continues to urge the administration to take a variety of actions to alleviate the burden placed on manufacturers by these tariffs and the related exclusions process. Examples of steps to take include:
 
  • Providing relief to applicants who experience undue delays in the Department of Commerce review period retroactive to date of application submission (or when deemed complete);
  • Simplifying and streamlining the application process and reducing confusion by allowing exclusions covering ranges of certain dimensions with the same Harmonized Tariff Schedule code to be on the same application form;
  • Allowing trade associations to apply for exclusions on behalf of an industry; and,
  • Reviewing, on a regular basis, the impact of tariffs on the economy and downstream users and implementing a plan to sunset the tariffs if they prove to have a significant negative impact.
 
For more information on the Section 232 tariffs, please visit MEMA’s Trade Resources Page.
 
 
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