Dec 18 (Reuters) - North American graphite miners asked
the U.S. government on Wednesday to impose a tariff as high as
920% on Chinese suppliers of the battery metal in order to
counter what they describe as Beijing's "malicious trade
practices."
The move is the latest attempt by Western critical minerals
suppliers to offset China's widespread control of the world's
extraction and processing of the building blocks for electric
vehicles and electronics.
Graphite, the largest component by volume in an EV battery,
can be synthetically produced or processed from naturally
occurring sources. China is the largest producer of both types
and earlier this month tightened exports of the metal to the
U.S.
The American Active Anode Material Producers, a group of
U.S. and Canadian graphite producers, asked the U.S. Department
of Commerce and the U.S. International Trade Commission (ITC) to
"investigate whether China is exporting natural and synthetic
graphite ... at unfair prices to the United States" and to
impose the tariff rate.
Chinese rivals operate at labor and environmental standards
that allow them to rapidly boost production, the group said.
An existing U.S. tariff of 25% on most Chinese graphite is
"far too low" and can be absorbed easily by Chinese rivals, the
group wrote to U.S. officials.
The Commerce Department and the ITC did not immediately
respond to an inquiry seeking comment.
President-elect Donald Trump has threatened to impose
tariffs on Chinese products broadly. Trump's advisers have also
encouraged him to impose tariffs on all foreign critical
minerals, including those tied to Beijing.
Not all U.S. critical minerals companies support tariffs.
Jervois Global ( JRVMF ), which had to close the only U.S. cobalt
mine before it even opened due to Chinese competition, told
Reuters last week it would prefer manufacturers be required to
buy Western metals instead of blanket tariffs.