Australian aluminum window makers seek fair trade amid Chinese imports probe

Australia's Anti-Dumping Commission is investigating imports of fully and partially fabricated aluminum windows and doors from China, as the industry seeks a "level playing field" amid global trade disruptions.

The Australian Glass and Window Association, or AGWA, together with Ventora Group Pty. Ltd., submitted an application for the publication of dumping and/or countervailing duty notices in October. The Anti-Dumping Commission accepted the case for investigation on Nov. 25.

"This action has been taken with the aim of ensuring a level playing field, compliant fair trade and to protect the long-term viability of Australia's window and door industry," AGWA CEO Clinton Skeoch said in a recent statement.

The application provided evidence on pricing, volume and industry impact. Industry stakeholders and AGWA members have been encouraged to submit written submissions during the investigation phase, including evidence of price undercutting, market impact and data on volume losses, profit erosion or competitive disadvantages.

The Anti-Dumping Commission may impose dumping duties or countervailing duties for up to five years, according to AGWA.

Supply chain pressures

Australia's aluminum window manufacturing sector directly generates A$2.72 billion ($1.80 billion) in revenue and employs over 9,000 Australians, according to AGWA.

"The broader supply chain -- including glass processing, extrusion, glazing, installation and hardware -- creates an A$8.85 billion ecosystem supporting more than 26,000 jobs across metropolitan and regional communities," Skeoch said.

"Let me be clear: not all imports are problematic, and many companies operate responsibly. However, when the market is being distorted by alleged dumping, action is required to restore balance and protect a level playing field."

Imports of fabricated aluminum windows have "been the most visible thing that we have seen as a result of the international trade flows and what is going on in the aluminum market," Tony Dragicevich, managing director of Capral Ltd., told Platts, part of S&P Global Energy, on Dec. 2.

Capral is Australia's largest extruder and distributor of aluminum products. Its Bremer Park facility in Queensland was the largest aluminum extrusion plant in the Southern Hemisphere when it opened in 2005.

Dragicevich told Platts that "we have seen a lift in fully imported windows, for example, into the Australian market over the past 18 months."

"Extrusion imports represent a third of the market, but volumes are not increasing due to effective antidumping measures in place," Capral also told Platts in a Nov. 11 email.

"Imports of fully fabricated windows are increasing, partly as a result of changing international trade flows, and currently [there are] no antidumping measures on fabricated aluminum products."

While imported windows would have made up 5% of the residential housing market historically over the last several years, "it has probably now almost doubled to about 10%. It is not the end of the world for us, though for some of the fabricators, it is," Dragicevich said.

This has been "the big issue" for Capral's customers, according to Dragicevich.

Australia's aluminum industry has been under pressure in a world where "export bans, tariffs, antidumping measures, tax credits and local‑content rules are being aggressively deployed by nations determined to secure market control," according to an Oct. 24 Australian Aluminium Council report.

Having vowed in April to strengthen its antidumping regime to protect its aluminum, steel and manufacturing sectors from the impacts of US tariffs, Australia's government also decided on Oct. 16 to continue antidumping measures on aluminum extrusions imported from China for a further five years.

"The duty levels are very modest, but it keeps the dumped imports out," Dragicevich told Platts.