The United States has announced new sanctions against Russian metals and the country’s mining sector that will significantly increase the cost of importing aluminum from Russia. Joe Biden’s administration also said it would raise tariffs on more than 100 Russian metals, minerals and chemicals worth $2.8 billion.
The measures would “significantly increase the cost of Russian aluminum entering the U.S. market,” the White House memo added, without providing further details. Earlier this month, Bloomberg reported that the US was preparing to impose a 200% tariff on aluminum produced in Russia, citing sources close to the process.
News in December that Joe Biden’s administration was considering a complete boycott of Russian aluminum in response to Russia’s military buildup in Ukraine came as no surprise.
In addition to these tariffs acting as additional pressure on Russia to maintain hostilities in Ukraine, they are a way to “punish” the United States for “dumping” Moscow – a form of unfair competition. Priced below their true cost—for North American aluminum—harms the nation’s companies. In other words, these customs duties also act as “anti-dumping” duties.
Russia is the world’s second largest producer of aluminum and US purchases of the base metal account for 10% of total US imports.
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