Commerce Finds Brazilian Aluminum Foil Dumped Below Fair Value

The U.S. Department of Commerce has preliminarily determined that certain aluminum foil from Brazil was sold in the United States at less than fair value during the November 2023-October 2024 review period, potentially triggering increased antidumping duties for importers.

If your business imports aluminum foil from Brazil, this preliminary determination could significantly impact your landed costs. The Department of Commerce's finding means Brazilian aluminum foil exporters may face higher antidumping duty rates, which get passed directly to U.S. importers like you.

What Are Antidumping Duties and Why Do They Matter?

Antidumping duties are special tariffs imposed when foreign manufacturers sell products in the U.S. at prices below their home market prices (below "normal value"). These duties aim to level the playing field for domestic manufacturers by eliminating the unfair price advantage.

For importers, antidumping duties represent an additional cost layer beyond standard tariff rates. Unlike predictable tariff schedules, antidumping rates can vary significantly by supplier and change through annual administrative reviews—exactly what's happening now with Brazilian aluminum foil.

Which Products Are Affected?

This administrative review covers certain aluminum foil from Brazil. According to standing antidumping orders on aluminum foil, covered products typically include:

• Aluminum foil with a thickness of 0.2mm or less
• Foil in rolls, sheets, or other forms
• Both plain and embossed aluminum foil
• Foil whether or not printed, coated, or laminated

The specific Harmonized Tariff Schedule (HTS) codes most commonly affected include:

• 7607.11.30 - Rolled aluminum foil, not backed, of a thickness not exceeding 0.15mm
• 7607.11.60 - Rolled aluminum foil, not backed, of a thickness exceeding 0.15mm but not exceeding 0.2mm
• 7607.11.90 - Other aluminum foil, not backed
• 7607.19.60 - Backed aluminum foil

Important note: Antidumping orders can cover products under multiple HTS codes, and classification should be verified with a licensed customs broker.

What Changed in This Preliminary Determination?

The Review Period

The Department of Commerce conducted an administrative review covering sales from November 1, 2023, through October 31, 2024. These annual reviews are standard practice for existing antidumping orders and determine updated duty rates for specific time periods.

The Preliminary Finding

Commerce preliminarily found that Brazilian aluminum foil was sold in the U.S. below normal value during this period. While the Federal Register notice doesn't specify the exact preliminary duty rates, these determinations typically result in duty rate adjustments—either upward or downward—from previous review periods.

Why This Matters Now

These are preliminary results, not final. However, importers should prepare for potential changes because:

1. Cash deposit rates may change - Once final results are published (typically 120 days after preliminary results), U.S. Customs and Border Protection (CBP) will likely adjust cash deposit requirements for entries of Brazilian aluminum foil
2. Retroactive liability - Entries made during the review period may be subject to the final determined rates, regardless of what deposit rate was paid at entry
3. Supply chain planning - If rates increase substantially, importers may need to evaluate alternative sourcing or renegotiate pricing with Brazilian suppliers

What Should Importers Do Right Now?

1. Identify Your Exposure

Immediate action: Review your import records from November 2023 through October 2024. Calculate total volume and value of aluminum foil imported from Brazil during this period.

If you imported Brazilian aluminum foil during the POR, you have potential exposure to adjusted duty rates once final results are published. The difference between your paid cash deposits and the final assessed rate will result in either additional duty bills or refunds.

2. Review the Public Comment Period

The Federal Register notice invites interested parties to submit comments on the preliminary results. While most small importers don't submit formal comments, large-volume importers should consider whether their specific commercial circumstances warrant participation.

Key deadlines to watch:

• Preliminary results published: May 7, 2026
• Public comment period: Typically 30 days from publication
• Final results expected: Approximately 120 days from preliminary results (estimate: September 2026)

3. Assess Alternative Sourcing Options

Use this interim period to evaluate whether sourcing from other countries makes commercial sense. Currently, antidumping orders on aluminum foil also exist for products from:

• China (People's Republic)
• Germany
• Armenia
• Brazil
• Oman
• Russia
• Turkey

However, duty rates vary significantly by country and supplier. Don't assume all sources face equal duties—each has different rates based on their own administrative reviews.

4. Verify Your Product Classification

Ensure your Brazilian aluminum foil entries used the correct HTS codes. Misclassification can trigger:

• Incorrect duty assessments
• Potential penalties during CBP audits
• Complications in claiming drawback or duty refunds

Work with a licensed customs broker to confirm your product falls within the scope of the antidumping order and is correctly classified.

5. Update Financial Projections

If preliminary rates suggest significant increases, update your:

• Cost of goods sold (COGS) projections
• Pricing models for products containing imported aluminum foil
• Working capital requirements for higher duty deposits
• Supplier negotiations to share increased duty burden

6. Monitor for Final Results

Set a reminder to check the Federal Register around September 2026 for final determination. The final results will specify:

• Exact duty rates by Brazilian exporter/manufacturer
• Effective dates for new cash deposit rates
• Instructions for liquidation of entries made during the POR

Understanding Normal Value and Dumping Margins

When Commerce determines whether dumping occurred, they compare two prices:

1. Export Price (EP): The price at which Brazilian manufacturers sold aluminum foil to U.S. customers
2. Normal Value (NV): The price at which the same manufacturers sold comparable products in Brazil's home market

If EP < NV, dumping exists, and the percentage difference becomes the dumping margin—which translates into the antidumping duty rate.

Preliminary findings of sales "below normal value" mean Commerce's calculations showed Brazilian exporters charged U.S. customers less than they charged Brazilian customers for comparable products during the review period.

How TariffCenter.AI Can Help

Navigating antidumping duty reviews requires tracking multiple data points:

• Which of your HTS codes fall under antidumping orders
• Current duty rates by country and manufacturer
• Review schedules and expected rate changes
• Total exposure across your import portfolio

TariffCenter.AI helps you:

• Identify exposure instantly - Upload your import data to see which products face antidumping or countervailing duties
• Track rate changes - Get alerts when preliminary or final results affect your imported products
• Compare sourcing scenarios - Model total landed costs including standard tariffs, antidumping duties, and other fees across different countries
• Monitor deadlines - Never miss a critical Federal Register publication affecting your business

Try TariffCenter.AI free to analyze your Brazilian aluminum foil exposure before final rates are published.

The Bigger Picture: Aluminum Foil Trade Enforcement

The aluminum foil antidumping orders represent part of a broader U.S. trade enforcement strategy in the aluminum sector. The Department of Commerce has maintained heightened scrutiny of aluminum product imports since 2017, citing national security and domestic industry concerns.

For context:

• The original antidumping order on Chinese aluminum foil was issued in 2018
• Orders have since expanded to cover eight countries
• Annual administrative reviews ensure ongoing monitoring and rate adjustments
• The domestic aluminum industry remains an active petitioner in trade cases

This enforcement environment means importers should expect:

• Continued administrative reviews with potential rate adjustments
• Possible expansion of orders to additional countries
• Close CBP scrutiny of aluminum product classifications
• Higher compliance standards for recordkeeping and entry documentation

Best Practices for Managing Antidumping Duty Risk

Maintain Detailed Records

Keep comprehensive documentation for all Brazilian aluminum foil imports:

• Commercial invoices showing manufacturer/exporter
• Packing lists with exact product specifications
• Entry summaries with HTS classifications
• Correspondence with suppliers about pricing
• Payment records and wire transfer confirmations

CBP can audit entries for up to five years, and antidumping cases often trigger targeted reviews.

Know Your Supplier's Status

Different Brazilian manufacturers may receive different antidumping duty rates based on their cooperation with Commerce investigations. Rates typically fall into these categories:

• Individual company rates - Assigned to companies that fully cooperated with Commerce's review
• All-others rate - Applied to companies that didn't receive individual examination
• China-wide rate or adverse facts available (AFA) rate - Highest rate, applied to non-cooperative parties

Ask your Brazilian supplier about their specific antidumping duty status and rate.

Consider Binding Ruling Requests

If you're uncertain whether your product falls within the antidumping order's scope, request a binding ruling from CBP. This provides certainty and protects against future reclassification issues.

Work With Experienced Customs Brokers

Antidumping duty compliance is complex. A licensed customs broker with antidumping experience can:

• Ensure proper entry coding and documentation
• Calculate accurate duty deposits
• Manage administrative protective order (APO) access if you want to review confidential Commerce data
• Represent you in CBP post-entry audits

Timeline: What Happens Next

May 7, 2026 - Preliminary results published in Federal Register

June 6, 2026 (estimated) - End of public comment period (30 days after publication)

July 2026 (estimated) - Rebuttal comment period closes

September 2026 (estimated) - Final results expected (approximately 120 days from preliminary results)

Post-final results - CBP adjusts cash deposit rates for new entries; begins liquidation process for entries made during POR (November 2023-October 2024)

Note: These dates are approximate. Check the Federal Register notice for exact deadlines.

Key Takeaway for Small Business Importers

If you import aluminum foil from Brazil, you're now in a waiting period. The preliminary finding of below-normal-value sales signals potential duty rate changes, but final rates won't be known until approximately September 2026.

Use this time to:

1. Quantify your exposure from the November 2023-October 2024 period
2. Model scenarios for potential rate increases
3. Evaluate alternative sourcing if rates rise significantly
4. Ensure your entries used correct HTS classifications
5. Set up monitoring for the final determination

Don't wait until final results are published to understand your risk. Proactive analysis now gives you time to adjust pricing, renegotiate with suppliers, or shift sourcing strategies.