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📦 Aluminum foil, when entered in aggregate annual quantities not to exceed 9.3 TMT

Aluminum foil, when entered in aggregate annual quantities not to exceed 9.3 TMT

HS Code:

📦

Overview

Aluminum foil, when entered in aggregate annual quantities not to exceed 9.3 thousand metric tons (TMT), falls under specific Harmonized System (HS) codes related to aluminum products, typically under HS 7607. This category includes aluminum foil of a thickness not exceeding 0.2 mm, used widely in packaging, insulation, and industrial applications. It is a critical material in food preservation, pharmaceuticals, and electrical industries due to its lightweight, corrosion-resistant, and barrier properties. Global trade in this category is influenced by production capacities, raw material availability (bauxite and alumina), and trade policies including tariffs and quotas.

Total Trade Volume

Approximately 2.5 million metric tons

Data from 2022

Source

International Trade Centre (ITC) Trade Map, UN Comtrade Database

Tariff Analysis

Average Rate

5.5% ad valorem

Highest Rate

12% (imposed by certain developing countries)

Lowest Rate

0% (under free trade agreements like EU Single Market or USMCA)

Common Restrictions

  • Quantitative quotas (e.g., 9.3 TMT annual limit in specific agreements)
  • Anti-dumping duties (e.g., imposed by the US on Chinese aluminum foil)
  • Environmental compliance requirements
  • Import licensing in some regions

Market Trends

Rising demand for sustainable packaging

Increased use of aluminum foil in eco-friendly food packaging due to its recyclability, driving trade volumes up by 3-5% annually.

2021-2023

Shift towards lightweight materials in automotive and aerospace

Growing adoption of aluminum foil for thermal insulation and battery applications in electric vehicles, boosting demand in industrial markets.

2022-2023

Supply chain disruptions due to energy costs

High energy prices for aluminum production have led to reduced output in Europe, shifting trade reliance to Asian exporters.

2022

Recent Developments

US Extension of Anti-Dumping Duties on Chinese Aluminum Foil

The US Department of Commerce extended anti-dumping duties ranging from 48.64% to 106.09% on Chinese aluminum foil imports to protect domestic producers.

October 2023

Reduced Chinese exports to the US, redirecting supply to other markets like Southeast Asia and increasing costs for US importers.

EU Aluminum Tariff Quota Adjustment

The European Union adjusted its tariff-rate quotas for aluminum products, including foil, to balance supply amidst energy-driven production cuts in the region.

July 2023

Temporary relief for EU importers, though prices remain elevated due to limited domestic production.

China’s Green Aluminum Initiative

China announced investments in low-carbon aluminum production technologies to meet global sustainability demands, impacting foil production costs and exports.

March 2023

Potential long-term reduction in production costs, increasing China’s competitiveness in global markets.