In recent years, China's aluminum radiator has grown steadily in the global market, and has won wide recognition for its excellent performance and reasonable price. However, with the complexity of the international trade environment, China's aluminum radiators have encountered unprecedented difficulties when exporting to the European and American markets, especially the EU's anti-dumping sanctions and the United States' new 301 tariff policy, which has brought severe challenges to this industry.
The dilemma of EU anti-dumping sanctions
Since 2011, the EU has initiated an anti-dumping investigation into China's aluminum radiators, which has been reviewed several times in the following years. On January 12, 2024, the European Commission issued another announcement to launch the second anti-dumping sunset review investigation on aluminum radiators originating in China. The review not only extended the period for the collection of anti-dumping duties, but also maintained a high tax rate level (12.6%-61.4%), which is undoubtedly a heavy blow to China's aluminum radiator export enterprises.
The EU's anti-dumping sanctions have not only increased the export cost of Chinese products, but also affected the competitiveness of Chinese companies in the European market. Many companies have had to give up some of their European market share or pass on cost pressures by raising prices, which further weakens the market competitiveness of their products.
The threat of new Section 301 tariffs in the United States
At the same time, on May 14, 2024, the United States announced the results of the four-year review of the additional "Section 301" surcharge on China, raising the tax rate on aluminum products under the "301" measure, which is 0% or 7.5%, to 25%. This policy adjustment directly involves China's aluminum radiators and other aluminum products, making the already stressed export situation more severe.
The new Section 301 tariffs in the United States not only raise the cost of importing Chinese aluminum products, but may also cause American buyers to turn to other countries to find alternative suppliers. This is undoubtedly a huge blow to Chinese aluminum radiator companies that rely on the U.S. market. In addition, the superposition of multiple tax rates also increases the financial costs and operational risks of enterprises.
Third-country entrepot trade programmes
In the face of the double pressure of the European and American markets, China's aluminum radiator export enterprises urgently need to find a new way out. Among them, third-country entrepot trade has become a solution worth considering.
Third-country entrepot trade refers to the fact that a company exports products to a third country and then re-exports them from that third country to the target market (such as the European Union or the United States). This trade method can bypass the trade barriers and tariff restrictions faced by direct exports to the target market, and reduce the export costs and risks of enterprises.
In order to help domestic aluminum radiator export enterprises cope with the challenge of anti-dumping, our company has launched a third-party entrepot trade logistics program. The core idea of the program is to take advantage of the geographical and economic advantages of third countries to transport Chinese aluminum radiators to third countries for processing or repackaging, and then export them to target markets as products from third countries. In this way, trade barriers such as anti-dumping duties and quota restrictions can be effectively circumvented, and the export cost and market access threshold of products can be reduced.
security
1. Cargo safety: provide full photo monitoring during the transit process to ensure that the goods are not stained or damaged during the transit process;
2. Guarantee of the right to the goods: sign a legally efficient entrepot contract to ensure that the right to the goods belongs to the exporter from beginning to end;
3. Collection security: customers can directly collect money from customers in the port of destination through their own offshore accounts, or they can entrust our company to collect money on their behalf;
4. Ensure the privacy of customers: sign a formal agreement and contract to ensure that the information of the exporter and its buyer customers will not be disclosed to a third party, and will not participate in any trade activities;
5. Customs clearance security: Our company promises to ensure that the third country certificate and other complete sets of documents issued are true and effective, so that customers can have a guarantee for customs clearance. Customs at the port of destination cannot trace the origin of the goods
17 years entrepot trade team, want to know more, you can directly find us privately, we can provide professional help. We can provide customs clearance, booking, third-country entrepot trade and other services!