The US International Trade Commission (ITC) today ended the trade case against magnesium imports from Israel, following an investigation that lasted more than a year and saw prices surge by 60pc.
The ITC found that the US industry was not harmed nor threatened by imports of Israeli magnesium today, coming only a month after the Department of Commerce raised the proposed duties in its final stage of the investigation.
The decision could upend a trend of tightening supplies and rising prices in the market as domestic dealers and suppliers have struggled to find metal and alloy increasingly as the investigation progressed.
As a result of the decision, market participants expect at least a partial reversal of the price gains, easing the raw material costs for wrought aluminum alloy and magnesium die casters going into 2020.
The investigation began in late October 2018 following a request by lone primary domestic producer US Magnesium, targeting the sole Israeli producer Dead Sea Magnesium. Argus assessed magnesium (Mg 99.9pc) at $2.55-2.65/lb on 17 December, up from $1.60-1.65/lb at the start of the case.
US suppliers have eschewed importing metal from Israel throughout 2019 especially as final proposed duties from Commerce hit 219pc, even surpassing the 141pc rate currently applied to China.
US imports of magnesium from Israel have roughly halved in 2019 to 5,740 metric tons (t) when compared with all of 2018, according to Commerce data. Imports from China rose by 41pc to 7,239t, a four year high.
By Zach Schumacher
