Two major United States manufacturers of titanium products are warning that the Trans-Pacific Partnership (TPP) will open the floodgates to duty-free imports of the metal from Japan as well as from other major producers who are not party to the trade deal like China and Russia, which they say would cause “serious harm” to the domestic industry.
[Daily News| January 11, 2016 |Inside U.S. Trade]
The Titanium Metals Corporation (TIMET) and Allegheny Technologies Incorporated (ATI) have taken issue with two aspects of TPP. The first is the rule of origin for titanium products, which they view as weak and allowing too many inputs from non-TPP countries.
The second are rules in the market access chapter that they say will allow producers within the TPP region, specifically Japan, to exploit the market access concessions the U.S. made to other TPP partners.
In formal comments to the International Trade Commission (ITC) on Dec. 29, 2015, TIMET said that absent changes to the TPP deal, it will oppose the agreement. ATI is expected to file comments to the ITC that will also bash TPP’s rule of origin for titanium.
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