Presidential Document2022-12108
Adjusting Imports of Steel Into the United States
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
June 3, 2022
Signed
May 31, 2022
Issuing agencies
Executive Office of the President
Full Text
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<title>Federal Register, Volume 87 Issue 107 (Friday, June 3, 2022)</title>
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[Federal Register Volume 87, Number 107 (Friday, June 3, 2022)]
[Presidential Documents]
[Pages 33591-33599]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-12108]
Presidential Documents
Federal Register / Vol. 87, No. 107 / Friday, June 3, 2022 /
Presidential Documents
[[Page 33591]]
Proclamation 10406 of May 31, 2022
Adjusting Imports of Steel Into the United States
By the President of the United States of America
A Proclamation
1. On January 11, 2018, the Secretary of Commerce
(Secretary) transmitted to the President a report on
the Secretary's investigation into the effect of
imports of steel mill articles (steel articles) on the
national security of the United States under section
232 of the Trade Expansion Act of 1962, as amended (19
U.S.C. 1862). The Secretary found and advised the
President of his opinion that steel articles are being
imported into the United States in such quantities and
under such circumstances as to threaten to impair the
national security of the United States.
2. In Proclamation 9705 of March 8, 2018 (Adjusting
Imports of Steel Into the United States), the President
concurred in the Secretary's finding that steel
articles, as defined in clause 1 of Proclamation 9705,
as amended by clause 8 of Proclamation 9711 of March
22, 2018 (Adjusting Imports of Steel Into the United
States), are being imported into the United States in
such quantities and under such circumstances as to
threaten to impair the national security of the United
States, and decided to adjust the imports of those
steel articles by imposing a 25 percent ad valorem
tariff on such articles imported from all countries
except Canada and Mexico. The proclamation further
stated that any country with which we have a security
relationship is welcome to discuss with the United
States alternative ways to address the threatened
impairment to the national security caused by imports
from that country, and noted that, should the United
States and any such country arrive at a satisfactory
alternative means to address the threat to the national
security such that the President determines that
imports from that country no longer threaten to impair
the national security, the President may remove or
modify the restriction on steel articles imports from
that country and, if necessary, adjust the tariff as it
applies to other countries, as the national security
interests of the United States require.
3. The United States has successfully concluded
discussions with the United Kingdom (UK) on
satisfactory alternative means to address the
threatened impairment to the national security posed by
imports of steel articles and derivative steel articles
from the UK. The United States and the UK have agreed
to expand coordination involving trade remedies and
customs matters, monitor bilateral steel and aluminum
trade, cooperate on addressing non-market excess
capacity and carbon intensity in these sectors,
annually review their arrangement and their ongoing
cooperation, and ensure that steel articles exports
from the UK to the United States under the applicable
tariff-rate quota for steel articles are not supported
by market-distorting practices.
4. The United States will implement a number of
actions, including a tariff-rate quota that restricts
the quantity of steel articles and derivative steel
articles imported into the United States from the UK
without the application of the tariff proclaimed in
Proclamation 9705. Under the arrangement, steel
articles that are melted and poured in the UK and
imported from either the UK or further processed in the
European Union, conferring European Union country of
origin, and subsequently imported into the United
States from the European Union are eligible for in-
quota treatment. In my judgment, these measures will
provide an effective, long-term alternative
[[Page 33592]]
means to address any contribution by UK steel articles
and derivative steel articles imports to the threatened
impairment to the national security by restraining
steel articles and derivative steel articles imports to
the United States from the UK, limiting transshipment,
discouraging excess steel capacity and production, and
strengthening the United States-UK partnership. In
light of this agreement, I have determined that imports
of specified volumes of eligible steel articles and
derivative steel articles from the UK will no longer
threaten to impair the national security and have
decided to exclude such imports from the UK up to a
designated quota from the tariff proclaimed in
Proclamation 9705. The United States will monitor the
implementation and effectiveness of the tariff-rate
quota and other measures agreed upon with the UK in
addressing our national security needs, and I may
revisit this determination, as appropriate.
5. I conclude that the UK presents a special case
because of the unique nature of the special
relationship that exists between the United States and
the UK. The United States has a deep security
relationship with the UK, including a shared commitment
to mutual support in addressing national security
concerns, particularly through security, defense, and
intelligence partnerships; a strong economic and
strategic partnership; and a shared commitment to
addressing global excess capacity in steel production.
6. The alternative means, including the tariff-rate
quota, advance the recommendations contained in the
Secretary's January 2018 report. The agreed-upon
aggregate tariff-rate quota volume specified in the
agreement between the United States and the UK,
totaling 500,000 metric tons, is consistent with the
objective of reaching and maintaining a sufficient
capacity utilization rate in the domestic steel
industry and reflects the continued importance of the
special relationship that exists between the United
States and the UK.
7. In light of my determination to adjust the tariff
proclaimed in Proclamation 9705 as applied to eligible
steel articles and derivative steel articles that are
melted and poured in the UK and imported from either
the UK or the European Union, I have considered whether
it is necessary and appropriate in light of our
national security interests to make any corresponding
adjustments to such tariff as it applies to other
countries. I have determined that it is necessary and
appropriate, at this time, to maintain the current
tariff level as it applies to other countries.
8. Section 232 of the Trade Expansion Act of 1962, as
amended, authorizes the President to adjust the imports
of an article and its derivatives that are being
imported into the United States in such quantities or
under such circumstances as to threaten to impair the
national security.
9. Section 604 of the Trade Act of 1974, as amended (19
U.S.C. 2483), authorizes the President to embody in the
Harmonized Tariff Schedule of the United States (HTSUS)
the substance of statutes affecting import treatment,
and actions thereunder, including the removal,
modification, continuance, or imposition of any rate of
duty or other import restriction.
NOW, THEREFORE, I, JOSEPH R. BIDEN Jr., President of
the United States of America, by the authority vested
in me by the Constitution and the laws of the United
States of America, including section 232 of the Trade
Expansion Act of 1962, as amended, section 301 of title
3, United States Code, and section 604 of the Trade Act
of 1974, as amended, do hereby proclaim as follows:
(1) To establish a tariff-rate quota on imports of
steel articles that are melted and poured in the UK and
imported from either the UK or the European Union as
set forth in paragraph 4 of this proclamation, U.S.
Note 16 of subchapter III of chapter 99 of the HTSUS is
amended as provided for in the Annex to this
proclamation. Imports of steel articles that are melted
and poured in the UK and from either the UK or the
European Union in excess of the tariff-rate quota
quantities shall remain subject to the duties imposed
by clause 2 of Proclamation 9705, as amended. The
Secretary, in consultation with the Secretary of
Homeland Security and
[[Page 33593]]
the United States Trade Representative, shall recommend
to the President, as warranted, updates to the in-quota
volumes contained in the Annex to this proclamation.
Steel articles that are melted and poured in the UK and
from either the UK or the European Union imported under
an exclusion granted pursuant to clause 3 of
Proclamation 9705, as amended, shall count against the
in-quota volume of the tariff-rate quota established in
clause 1 of this proclamation.
(2) Clause 2 of Proclamation 9705, as amended, is
revised to read as follows:
``(2)(a) In order to establish certain modifications to the duty rate on
imports of steel articles, subchapter III of chapter 99 of the HTSUS is
modified as provided in the Annex to this proclamation and any subsequent
proclamations regarding such steel articles.
(b) Except as otherwise provided in this
proclamation, or in notices published pursuant to
clause 3 of this proclamation, all steel articles
imports covered by heading 9903.80.01, in subchapter
III of chapter 99 of the HTSUS, shall be subject to an
additional 25 percent ad valorem rate of duty with
respect to goods entered for consumption, or withdrawn
from warehouse for consumption, as follows: (i) on or
after 12:01 a.m. eastern daylight time on March 23,
2018, from all countries except Argentina, Australia,
Brazil, Canada, Mexico, South Korea, and the member
countries of the European Union; (ii) on or after 12:01
a.m. eastern daylight time on June 1, 2018, from all
countries except Argentina, Australia, Brazil, and
South Korea; (iii) on or after 12:01 a.m. eastern
daylight time on August 13, 2018, from all countries
except Argentina, Australia, Brazil, South Korea, and
Turkey; (iv) on or after 12:01 a.m. eastern daylight
time on May 20, 2019, from all countries except
Argentina, Australia, Brazil, South Korea, and Turkey;
(v) on or after 12:01 a.m. eastern daylight time on May
21, 2019, from all countries except Argentina,
Australia, Brazil, Canada, Mexico, and South Korea;
(vi) on or after 12:01 a.m. eastern standard time on
January 1, 2022, from all countries except Argentina,
Australia, Brazil, Canada, Mexico, and South Korea, and
except the member countries of the European Union
through 11:59 p.m. eastern standard time on December
31, 2023, for steel articles covered by headings
9903.80.65 through 9903.81.19, inclusive; (vii) on or
after 12:01 a.m. eastern daylight time on April 1,
2022, from all countries except Argentina, Australia,
Brazil, Canada, Mexico, and South Korea, and except the
member countries of the European Union through 11:59
p.m. eastern standard time on December 31, 2023, for
steel articles covered by headings 9903.80.65 through
9903.81.19, inclusive, and from Japan, for steel
articles covered by headings 9903.81.25 through
9903.81.80, inclusive; and (viii) on or after 12:01
a.m. eastern daylight time on June 1, 2022, from all
countries except Argentina, Australia, Brazil, Canada,
Mexico, South Korea, and Ukraine, and except the member
countries of the European Union through 11:59 p.m.
eastern standard time on December 31, 2023, for steel
articles covered by headings 9903.80.65 through
9903.81.19, inclusive, and from Japan and the UK, for
steel articles covered by subheadings 9903.81.25
through 9903.81.78 and heading 9903.81.80, and from the
member countries of the European Union, for steel
articles covered by heading 9903.81.81. Further, except
as otherwise provided in notices published pursuant to
clause 3 of this proclamation, all steel articles
imports from Turkey covered by heading 9903.80.02, in
subchapter III of chapter 99 of the HTSUS, shall be
subject to a 50 percent ad valorem rate of duty with
respect to goods entered for consumption, or withdrawn
from warehouse for consumption, on or after 12:01 a.m.
eastern daylight time on August 13, 2018, and prior to
12:01 a.m. eastern daylight time on May 21, 2019. All
steel articles imports covered by heading 9903.80.61,
in subchapter III of chapter 99 of the HTSUS, shall be
subject to the additional 25 percent ad valorem rate of
duty established herein with respect to goods entered
for consumption, or withdrawn from warehouse for
consumption, on or after 12:01 a.m. eastern time on the
date specified in a determination by the Secretary
granting relief. These rates of duty, which are in
addition
[[Page 33594]]
to any other duties, fees, exactions, and charges
applicable to such imported steel articles, shall apply
to imports of steel articles from each country as
specified in the preceding three sentences.''
(3) The first two sentences of clause 1 of
Proclamation 9980 of January 24, 2020 (Adjusting
Imports of Derivative Aluminum Articles and Derivative
Steel Articles Into the United States), are revised to
read as follows:
``In order to establish increases in the duty rate on imports of certain
derivative articles, subchapter III of chapter 99 of the HTSUS is modified
as provided in Annex I and Annex II to this proclamation. Except as
otherwise provided in this proclamation, all imports of derivative aluminum
articles specified in Annex I to this proclamation shall be subject to an
additional 10 percent ad valorem rate of duty, and all imports of
derivative steel articles specified in Annex II to this proclamation shall
be subject to an additional 25 percent ad valorem rate of duty, with
respect to goods entered for consumption, or withdrawn from warehouse for
consumption, as follows: (i) on or after 12:01 a.m. eastern standard time
on February 8, 2020, these rates of duty, which are in addition to any
other duties, fees, exactions, and charges applicable to such imported
derivative aluminum articles or steel articles, shall apply to imports of
derivative aluminum articles described in Annex I to this proclamation from
all countries except Argentina, the Commonwealth of Australia (Australia),
Canada, and the United Mexican States (Mexico) and to imports of derivative
steel articles described in Annex II to this proclamation from all
countries except Argentina, Australia, Brazil, Canada, Mexico, and South
Korea; (ii) on or after 12:01 a.m. eastern standard time on January 1,
2022, these rates of duty, which are in addition to any other duties, fees,
exactions, and charges applicable to such imported derivative aluminum
articles or steel articles, shall apply to imports of derivative aluminum
articles described in Annex I to this proclamation from all countries
except Argentina, Australia, Canada, the member countries of the European
Union, and Mexico and to imports of derivative steel articles described in
Annex II to this proclamation from all countries except Argentina,
Australia, Brazil, Canada, the member countries of the European Union,
Mexico, and South Korea; (iii) on or after 12:01 a.m. eastern daylight time
on April 1, 2022, these rates of duty, which are in addition to any other
duties, fees, exactions, and charges applicable to such imported derivative
aluminum articles or steel articles, shall apply to imports of derivative
aluminum articles described in Annex I to this proclamation from all
countries except Argentina, Australia, Canada, the member countries of the
European Union, and Mexico and to imports of derivative steel articles
described in Annex II to this proclamation from all countries except
Argentina, Australia, Brazil, Canada, the member countries of the European
Union, Japan, Mexico, and South Korea; (iv) on or after 12:01 a.m. eastern
daylight time on June 1, 2022, these rates of duty, which are in addition
to any other duties, fees, exactions, and charges applicable to such
imported derivative aluminum articles or steel articles, shall apply to
imports of derivative aluminum articles described in Annex I to this
proclamation from all countries except Argentina, Australia, Canada, the
member countries of the European Union, and Mexico, and to imports of
derivative steel articles described in Annex II to this proclamation from
all countries except Argentina, Australia, Brazil, Canada, the member
countries of the European Union, Japan, Mexico, and South Korea, and except
from Ukraine through 11:59 p.m. eastern daylight time on June 1, 2023; and
(v) on or after 12:01 a.m. eastern daylight time on June 1, 2022, these
rates of duty, which are in addition to any other duties, fees, exactions,
and charges applicable to such imported derivative aluminum articles or
steel articles, shall apply to imports of derivative aluminum articles
described in Annex I to this proclamation from all countries except
Argentina, Australia, Canada, the member countries of the European Union,
Mexico, and the UK, and to imports of derivative steel articles described
in Annex II to this proclamation from
[[Page 33595]]
all countries except Argentina, Australia, Brazil, Canada, the member
countries of the European Union, Japan, Mexico, South Korea, and the UK,
and except from Ukraine through 11:59 p.m. eastern daylight time on June 1,
2023.''
(4) Steel articles eligible for treatment under
clause 1 of this proclamation must be melted and poured
in the UK in order to receive such treatment. Steel
articles melted and poured in the UK that are further
processed in a member country of the European Union,
conferring country of origin in a member country of the
European Union, and subsequently imported into the
United States is also eligible for treatment under
clause 1 of this proclamation as set forth in the Annex
to this proclamation. The Secretary, in consultation
with the Secretary of Homeland Security and the United
States Trade Representative, is authorized to take such
actions as are necessary to ensure compliance with this
requirement. Failure to comply could result in
applicable remedies such as the collection of the
tariff set forth in clause 2 of Proclamation 9705, or
penalties under United States law.
(5) In the case of any known UK steel producer that
is owned or controlled by a company registered in the
People's Republic of China or a Chinese entity, and
which exports steel to the United States under the
applicable tariff-rate quota, the UK agreed to provide
an attestation to the United States annually, based on
an annual strategic audit conducted by an independent
third party, to the effect that there is no evidence of
market-distorting practices by that producer in the UK
that would materially contribute to non-market excess
capacity of steel. If the attestation is not provided
annually as set out in the Annex to this proclamation,
the Secretary may temporarily deny access for any UK
steel producer to the in-quota rate for the applicable
tariff-rate quota. The Secretary, in consultation with
the Secretary of Homeland Security and the United
States Trade Representative, is authorized to take such
actions as are necessary to ensure compliance with the
actions regarding attestations set forth in the Annex
to this proclamation. If an attestation is not provided
as set forth in the Annex to this proclamation, it
could result in collection of the tariff set forth in
clause 2 of Proclamation 9705.
(6) The modifications to the HTSUS made by clause 1
of this proclamation shall be effective with respect to
goods entered for consumption, or withdrawn from
warehouse for consumption, on or after 12:01 a.m.
eastern daylight time on June 1, 2022, and shall
continue in effect, unless such actions are expressly
reduced, modified, or terminated.
(7) Any imports of steel articles from the UK and
steel articles that are melted and poured in the UK
that are further processed in a member country of the
European Union, conferring country of origin in a
member country of the European Union, that were
admitted into a U.S. foreign trade zone under
``privileged foreign status'' as defined in 19 CFR
146.41, prior to 12:01 a.m. eastern daylight time on
June 1, 2022, shall be subject upon entry for
consumption made on or after 12:01 a.m. eastern
daylight time on June 1, 2022, to the provisions of the
tariff-rate quota in effect at the time of the entry
for consumption.
(8) Any provision of previous proclamations and
Executive Orders that is inconsistent with the actions
taken in this proclamation is superseded to the extent
of such inconsistency.
[[Page 33596]]
IN WITNESS WHEREOF, I have hereunto set my hand this
thirty-first day of May, in the year of our Lord two
thousand twenty-two, and of the Independence of the
United States of America the two hundred and forty-
sixth.
<GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>
(Presidential Sig.)
Billing code 3395-F2-P
[[Page 33597]]
[GRAPHIC] [TIFF OMITTED] TD03JN22.035
[[Page 33598]]
[GRAPHIC] [TIFF OMITTED] TD03JN22.036
[[Page 33599]]
[GRAPHIC] [TIFF OMITTED] TD03JN22.037
[FR Doc. 2022-12108
Filed 6-2-22; 8:45 am]
Billing code 7020-02-C
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