WASHINGTON, Nov. 30, 2020 /PRNewswire/ -- American manufacturers Globe Specialty Metals, Inc., a subsidiary of Ferroglobe PLC (NASDAQ:GSM) ("GSM"), and Mississippi Silicon LLC ("MS"), together representing the majority of American silicon metal production, today welcomed news that the U.S. Department of Commerce ("Commerce") will impose preliminary duties of 120% on all silicon metal imports from Kazakhstan.
Today's announcement is part of ongoing investigations of unfairly-traded silicon metal imports from Bosnia and Herzegovina, Iceland, Malaysia and Kazakhstan. In August, the U.S. International Trade Commission (ITC) preliminarily determined that imports from these four countries are a cause of material injury to the U.S. industry.
"Unfair trade practices by foreign suppliers have been an ongoing challenge for our industry," said Marco Levi, Chief Executive Officer of GSM's parent, Ferroglobe. "These duties will facilitate normalization of the U.S. market as the government responds to unfairly-traded imports. We appreciate the diligent efforts by the Commerce Department in this investigation."
On June 30, 2020, GSM and MS filed petitions to stop silicon metal producers in Bosnia and Herzegovina, Iceland, Malaysia and Kazakhstan from selling dumped and unfairly subsidized silicon metal imports into the United States. In their petitions, the companies asked the Commerce and ITC to impose duties on to offset unfair pricing and unfair subsidies.
Following today's announcement, preliminary determinations will be announced in the Bosnia and Herzegovina and Iceland investigations on December 8, 2020, and in the Malaysia investigation on January 27, 2021.
"Today's decision appropriately recognizes the challenges our industry has faced in recent years as a result of dumped and subsidized imports," said Eddie Boardwine, Chief Operations Officer of MS. "We appreciate the government's efforts to respond to unfair trade practices and look forward to seeing conditions in the U.S. market improve in the near future."
Silicon metal is an important element added to various grades of aluminum alloys used in performance applications such as automotive components and aerospace products. Silicon metal also is a critical raw material in the production of silicone compounds used in numerous products including sealants, adhesives, rubber gaskets, caulking compounds, lubricants, food additives, coatings, polishes, and cosmetics, among others. In addition, silicon metal is the base material in the production of polysilicon, a purified form of silicon used in solar cells and semi-conductors.
For more on the petitions, see the companies' press release.
For more on the ITC's investigation, see the Commission's press release.
For more on Commerce's investigations, see the agency's press release.
About GSM and MS
Globe Specialty Metals, Inc. is a wholly-owned U.S. subsidiary of Ferroglobe PLC, one of the world's leading suppliers of silicon metal, silicon- and manganese- based specialty alloys and ferroalloys, serving a customer base across the globe in dynamic and fast-growing end markets, such as solar, automotive, consumer products, construction and energy. Through its subsidiaries, GSM owns metallurgical manufacturing facilities and other operations in Ohio, West Virginia, New York, Alabama, Indiana, Florida and Kentucky.
Mississippi Silicon LLC is a partnership between Rima Holding USA, Inc. and Clean Tech I LLC. Rima Holding USA Inc. is the majority owner of MS and also is associated with Rima Industrial S/A, a leading ferroalloy and non-ferrous metals producer in Brazil. Clean Tech I LLC is a partnership composed of strategic investors and financial advisers. MS's manufacturing operation is based in Burnsville, MS, and its silicon metal serves customers throughout the United States.
For more information, visit http://investor.ferroglobe.com and https://www.missilicon.com/.
Contact Elizabeth Heaton, elizabeth@EAHstrategiesLLC.com, 202-445-9858.
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SOURCE Globe Specialty Metals / Mississippi Silicon