Leibowitz: Steel and Aluminum Talks—Overcapacity and Quotas?

By Trade Attorney Lewis Leibowitz

U.S. Trade Representative Katherine Tai has been traveling. She has a lot on her plate. In an effort to attract allies to the United States’ plan to rein in China, the U.S. has floated a proposal, according to reports, to replace the 25% steel and 10% aluminum tariffs with a “tariff rate quota” or TRQ. But she has linked concessions on that score with broader agreements, including discussing a multilateral approach to Chinese “overcapacity” to produce steel. I place “overcapacity” in quotations, because it is a term that is thrown around without much thought being given to what it really means.

Lewis Leibowitz

Lewis Leibowitz, owner of the Law Office of Lewis E. Leibowitz, practices in the areas of international trade law, customs law, and international commercial transactions. He represents clients before all federal courts and agencies dealing with international trade matters. Mr. Leibowitz advises and assists clients in diverse matters including trade remedies, customs, foreign-trade zones and free trade agreements, trade negotiations, and related matters. He can be reached at lewis.leibowitz@lellawoffice.com.

Lewis Leibowitz

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