US Government Grants Tariff Waivers on Japanese Aluminum Imports to Tesla - Forex News by FX Leaders

US Government Grants Tariff Waivers on Japanese Aluminum Imports to Tesla

Posted Tuesday, June 25, 2019 by
Arslan Butt • 1 min read

The US Commerce Department will waive the 10% tariffs on Japanese aluminum imports as per Tesla’s request for use in manufacturing its battery cells. In April, Tesla had requested the exemption on 10,000 tons of Japanese aluminum produced annually by Nippon Light Metal Co Ltd.

The US government has granted a waiver on tariffs to Tesla for one year. The aluminum imported from Japan is used by the company to make battery cells for its Model 3 vehicle. According to Tesla’s request, US manufacturers are unable to meet the specific alloy composition and thickness requirements set by the company and it sees an exponential rise in demand for these batteries in the coming years.

Tesla had previously requested tariffs waivers from the USTR office for Chinese-manufactured parts for its cars, which were rejected. However, the government granted tariff exemption on aluminum imports from Japan without any objection.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies

About the author

Arslan Butt // Index & Commodity Analyst
Arslan Butt is our Lead Commodities and Indices Analyst. Arslan is a professional market analyst and day trader. He holds an MBA in Behavioral Finance and is working towards his Ph.D. Before joining FX Leaders Arslan served as a senior analyst in a major brokerage firm. Arslan is also an experienced instructor and public speaker.
Related Articles
0 0 vote
Article Rating
Notify of
Inline Feedbacks
View all comments