US Trade Representative Demands Investigation into Carbon Emission Intensity of Steel, Aluminum, and Aluminum in the United States

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Trade Representative Dai Qi from the Office of the United States Trade Representative has requested an investigation into the carbon emission intensity of US steel and aluminum products

On June 5, Katherine Tai, the trade representative of the United States Trade Representative Office, sent a letter to the chairman of the United States International Trade Commission, asking him to investigate the carbon emission intensity of American steel and aluminum products.
The letter pointed out that on October 31, 2021, the United States and the European Union announced that they had rebuilt their steel and aluminum trade relations and intended to negotiate the Global Arrangement on Sustainable Steel and Aluminum, establishing a green steel and aluminum trade alliance to address the issues faced by the steel and aluminum industries, such as high greenhouse gas emissions and overcapacity.
At present, the United States and the European Union are committed to deepening cooperation in the aforementioned areas and are jointly taking effective measures, including limiting trade activities in carbon intensive steel and aluminum products.
It is reported that the United States and the European Union have jointly established a technical working group to share relevant data and developed a method for assessing greenhouse gas emissions from steel and aluminum products. They plan to complete negotiations on the "Global Sustainable Steel and Aluminum Agreement" and establish a trade alliance by October 2023. Call on other countries to join the alliance, with the condition that the steel and aluminum industries of the applicant country meet certain low-carbon standards and there is no non market-oriented excess capacity.
Dai Qi requested that the United States International Trade Commission issue questionnaires to enterprises with steel and aluminum production facilities in the United States to collect production data and greenhouse gas emission data of related products, so as to estimate the maximum and average greenhouse gas emission intensity of steel and aluminum products produced in the United States in 2022 (by product category).
Dai Qi suggested that after the investigation, the United States International Trade Commission should write an investigation report, which should include the following three parts:
One is the intensity of greenhouse gas emissions related to steel and aluminum production, including fuel combustion emission intensity, process emission intensity (emission intensity involving chemical or physical conversion processes other than fuel combustion in industrial processes), and emission intensity of facility self generation.
The second is the indirect emission intensity generated by the energy purchased by the factory (including electricity and steam).
The third is the intensity of certain greenhouse gas emissions related to the raw materials and resources used in the production of steel and aluminum. This portion of greenhouse gas emissions occurs in the value chain of the surveyed company.
Dai Qi stated that the report should also explain the methods used to collect information and analyze the intensity of greenhouse gas emissions from related products, and try to determine detailed information such as the location of greenhouse gas emissions in certain situations. It is reported that the report is required to be submitted before January 28, 2025.


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