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Commerce Proposes New Aluminum Import Licensing System

The Commerce Department is proposing new regulations that would create an Aluminum Import Monitoring and Analysis System. Similar to the Steel Import Monitoring and Analysis System in place since 2005, the new scheme would require importers of aluminum or their customs brokers to submit information in an online portal to obtain an automatically issued license, then submit the license number with entry summary documentation. Comments are due May 29.

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The new system is necessary to monitor aluminum import levels, which would be made publicly available on a public website. As part of exemptions from Section 232 aluminum tariffs for Canada and Mexico, the U.S. may monitor for import surges and limit imports to historic quantities “without meaningful increases,” Commerce said. The new system will “facilitate the monitoring of imports of aluminum articles, including monitoring for import surges,” the agency said.

Requirements for Aluminum Licenses Similar to Steel Import Monitoring System

The new aluminum licensing and monitoring system will “operate in a similar way as the existing SIMA system and will be codified under 19 CFR 361,” Commerce said. The requirements apply to “basic aluminum products,” including “all aluminum products currently subject to Section 232 tariff.” After registering on the new system, importers or their brokers will have to provide all the following information for each shipment prior to filing the entry summary:

  • Filer company name and address
  • Filer contact name, phone number, fax number and email address
  • Entry type (i.e., Consumption, Foreign Trade Zone)
  • Importer name
  • Exporter name
  • Manufacturer name (filer may state “unknown”)
  • Country of origin
  • Country of exportation
  • Expected date of export
  • Expected date of import
  • Expected port of entry
  • Current HTS number (from Chapters 76)
  • Country where aluminum was smelted and poured
  • Quantity (in kilograms)
  • Customs value (in U.S. $ amount).

After the form is completed in the system, the system will automatically issue an aluminum import license number. The license number will be required on every entry summary for aluminum products covered by the licensing requirement. A single license can cover multiple products if certain information is the same for the shipment, or separate licenses may be required for a single shipment if that information differs. A sample copy of the proposed aluminum import license is available for viewing on Commerce’s website.

Exemptions, modified requirements for low-value entries. No import licenses would be required on informal entries of aluminum products (i.e., entries under $2,500 that comply with other CBP requirements for informal entry.) For shipments containing less than $5,000 in aluminum, applicants would be able to apply for a reusable Low-Value License that can be used in lieu of a single-entry license for low-value entries, Commerce said.

FTZ entries require license. Although CBP entry is not required, Commerce would still require a license for aluminum shipped into a foreign-trade zone, it said. “Because a CBP entry number would not be available for shipments entering the FTZ, the license required for entry into the zone will not require the CBP entry number. As with steel, a separate license will not be required upon withdrawal from the FTZ,” the agency said.

Licenses valid for 75 days. The aluminum import licenses may be applied for up to 60 days before the expected date of importation, and until the date of filing of the entry summary, Commerce said. “The aluminum import license is valid for up to 75 days; however, import licenses that were valid on the date of importation but expired prior to the filing of entry summary data will be accepted,” it said.

Copies must be maintained in records. “There is no requirement to present physical copies of the license forms at the time of entry summary; however, copies must be maintained in accordance with CBP’s normal requirements,” Commerce said.

Non-Confidential Data Posted on Commerce Websites

“Subject to comments received,” only “certain aggregate information” collected from license applications will be posted on an “aluminum import surge monitoring website,” including data on country of origin, country of smelt and pour, and import quantity and value, Commerce said. “All other information including copies of the licenses and the names of importers, exporters, and manufacturers, will be considered business proprietary information and will not be released to the public.”

(Federal Register 04/29/20)