The Trump administration is set to launch a wide-ranging probe of aluminum imports that could end in broad tariffs or other trade restrictions on the metal, according to two people familiar with the matter.
The aluminum case would follow a big steel case that the Commerce Department launched this month.
In the steel case, the Trump administration dusted off an infrequently used legal provision known as Section 232 that enables the Commerce Department to investigate the national-security implications of imports, with the president having the option of restricting the imports when the investigation is complete.
Like the steel case, the aluminum investigation rests on national security grounds and is likely based on the same law, according to people familiar with the matter.
Investigating steel and aluminum under Section 232 could end in broad import restrictions that could have a big impact on global trade, or the administration could find that no changes were needed. President Donald Trump could also narrow any action to specific metal products with clear military or security applications.
Initiating the cases gives the administration leverage in negotiations toward a deal with China or other producers on reducing excess capacity in metals production, trade lawyers say. American producers blame China's subsidized metals industry for weighing on global prices and driving U.S. firms out of business.
A spokesman for the Commerce Department didn't immediately reply to a request for comment on the aluminum case.
Commerce Secretary Wilbur Ross told The Wall Street Journal on Tuesday that the administration could bring a Section 232 case on aluminum.
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