HONG KONG Oct 27 China Zhongwang Holdings Ltd
, the world's second largest producer of aluminum
extrusions, denied U.S. accusations it had evaded import duties,
saying its export business had been conducted in strict
accordance with rules in China and overseas markets.
The accusations are the first formal U.S. move to curb
China's aluminum exports, which U.S. producers say have grown
steadily over the past year.
In a petition filed with the U.S. Commerce Department last
Thursday, the U.S. Aluminum Extruders Council (AEC) asked the
government to clarify that pallets and 5050 alloys are subject
to antidumping and countervailing duties introduced in 2011.
That ruling marked a major victory for U.S. extruders that
argued Chinese exports were unfairly subsidized.
Zhongwang Chairman Liu Zhongtian said in a statement that
the accusations had "neither factual nor legal foundations",
adding that the company's deep-processed products and 5050 alloy
extrusions did not fall within the scope of those duties.
Extrusion is the process of shaping aluminum, by forcing it
to flow through an opening in a die.
The allegations come months after short-seller Dupre
Analytics alleged Zhongwang inflated sales by sending shipments
to companies it controls offshore, which the company dismissed
as "groundless or untrue."
At the time, the AEC called on several governments to
investigate the claims.
(Reporting by Donny Kwok; Editing by Edwina Gibbs)