# No sanctions on Russian Aluminum, but sanctions on Canadian and Mexican Aluminum?

**URL:** <https://boards.straightdope.com/t/no-sanctions-on-russian-aluminum-but-sanctions-on-canadian-and-mexican-aluminum/828549>\
**Category:** Factual Questions\
**Created:** [January 28, 2019, 2:21pm UTC](https://boards.straightdope.com/t/no-sanctions-on-russian-aluminum-but-sanctions-on-canadian-and-mexican-aluminum/828549 "2019-01-28T14:21:14Z")\
**Posts on this page:** 8\
**Page:** 1

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**Author:** ![Happy\_Fun\_Ball](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/happy_fun_ball/32/17664_2.png) [@Happy\_Fun\_Ball](https://boards.straightdope.com/u/Happy_Fun_Ball)\
**Post date:** [January 28, 2019, 2:21pm UTC](https://boards.straightdope.com/t/no-sanctions-on-russian-aluminum-but-sanctions-on-canadian-and-mexican-aluminum/828549/1 "2019-01-28T14:21:14Z")

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I saw that the Trump administration lifted sanctions on Rusal, the giant Russian aluminum corporation with ties to erstwhile Trump ally Oleg Deripaska. OK, yet I believe the US sanctions on Canadian and Mexican aluminum imports are still in place. Is that correct?

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**Author:** ![elbows](https://avatars.discourse-cdn.com/v4/letter/e/b3f665/32.png) [@elbows](https://boards.straightdope.com/u/elbows)\
**Post date:** [January 28, 2019, 2:54pm UTC](https://boards.straightdope.com/t/no-sanctions-on-russian-aluminum-but-sanctions-on-canadian-and-mexican-aluminum/828549/2 "2019-01-28T14:54:22Z")

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I think the reasoning is that Canada and Mexico effectively provide backdoor access for cheap Chinese aluminum. They import the cheap Chinese stuff then alloy a little of their own into it, and flood the US market with cheap aluminum.

I can’t attest to whether it’s true, but that’s the story they’re telling, I believe.

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**Author:** ![puddleglum](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/puddleglum/32/137_2.png) [@puddleglum](https://boards.straightdope.com/u/puddleglum)\
**Post date:** [January 28, 2019, 4:55pm UTC](https://boards.straightdope.com/t/no-sanctions-on-russian-aluminum-but-sanctions-on-canadian-and-mexican-aluminum/828549/3 "2019-01-28T16:55:44Z")

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The US has tariffs on Mexican and Canadian Aluminum and not sanctions.

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**Author:** ![Happy\_Fun\_Ball](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/happy_fun_ball/32/17664_2.png) [@Happy\_Fun\_Ball](https://boards.straightdope.com/u/Happy_Fun_Ball)\
**Post date:** [January 28, 2019, 5:11pm UTC](https://boards.straightdope.com/t/no-sanctions-on-russian-aluminum-but-sanctions-on-canadian-and-mexican-aluminum/828549/4 "2019-01-28T17:11:42Z")

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Do we have tariffs on Russian Aluminum? I also read that the majority of Rusal Aluminum is from China (I will try to find the link); is the US now favoring Russia over our traditional allies?

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**Author:** ![Dorjan](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/dorjan/32/12440_2.png) [@Dorjan](https://boards.straightdope.com/u/Dorjan)\
**Post date:** [January 28, 2019, 5:20pm UTC](https://boards.straightdope.com/t/no-sanctions-on-russian-aluminum-but-sanctions-on-canadian-and-mexican-aluminum/828549/5 "2019-01-28T17:20:48Z")

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The Sanctions on Rusal were lifted, meaning it can now be bought in the US. There’s still import tariffs on imported Al, regardless of source.

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**Author:** ![elbows](https://avatars.discourse-cdn.com/v4/letter/e/b3f665/32.png) [@elbows](https://boards.straightdope.com/u/elbows)\
**Post date:** [January 28, 2019, 9:22pm UTC](https://boards.straightdope.com/t/no-sanctions-on-russian-aluminum-but-sanctions-on-canadian-and-mexican-aluminum/828549/6 "2019-01-28T21:22:22Z")

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Chineses aluminum will now be brought to market from Russia!

Soo much better!

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**Author:** ![rat\_avatar](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/rat_avatar/32/255_2.png) [@rat\_avatar](https://boards.straightdope.com/u/rat_avatar)\
**Post date:** [January 28, 2019, 11:18pm UTC](https://boards.straightdope.com/t/no-sanctions-on-russian-aluminum-but-sanctions-on-canadian-and-mexican-aluminum/828549/7 "2019-01-28T23:18:18Z")

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We have bilateral trade agreements with Mexico and Canada which means that the default WTO rules don’t apply for tariffs for those country. We do not have a bilateral trade agreement with Russia, but they are in the WTO.

Part of being in the WTO is that your tariffs for member countries that you don’t have a bilateral agreement with have to be the same for all countries that you don’t have trade agreements with.

This means that a tariff against Russia (not a sanction) would be a tariff against all countries in the world we don’t have agreements with.

This is the same state the UK will be with the EU if they don’t sign a bilateral agreement.

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**Author:** ![Really\_Not\_All\_That\_Bright](https://avatars.discourse-cdn.com/v4/letter/r/e8c25b/32.png) [@Really\_Not\_All\_That\_Bright](https://boards.straightdope.com/u/Really_Not_All_That_Bright)\
**Post date:** [January 29, 2019, 3:20pm UTC](https://boards.straightdope.com/t/no-sanctions-on-russian-aluminum-but-sanctions-on-canadian-and-mexican-aluminum/828549/8 "2019-01-29T15:20:21Z")

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> [@rat\_avatar](#):
>
> Part of being in the WTO is that your tariffs for member countries that you don’t have a bilateral agreement with have to be the same for all countries that you don’t have trade agreements with.

That is true but incomplete. The WTO permits unilateral tariffs to be placed on goods whose origin country subsidizes production (or more particularly, the GATT does not strictly apply to goods and services made with the benefit of “domestic support” that is not freely available to any producer). China subsidizes its domestic alumin\*um industry and WTO rules would allow the US to place a tariff specifically on Chinese aluminium.

There’s some evidence that the current tariffs (plus the now-eased Russian sanctions) have helped China because they have made non-Chinese-sourced aluminium more expensive. China’s has become more expensive too, of course, but to a lesser degree since the base price is lower. Chinese manufacturers have [also benefited](https://www.nytimes.com/2018/11/28/us/politics/china-tariff-exclusions.html) from preexisting supply contracts with well-connected US aluminium users.
