US waives tariffs on Japanese aluminum for Tesla battery cells

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US waives tariffs on Japanese aluminum for Tesla battery cells

On Monday, the 24th of June 2019, the US Department of Commerce had agreed to a request of US-based electric vehicle manufacturer, Tesla Inc., to waive a ten percent tariff on Japanese aluminum import used in the production of battery cells for Tesla Inc.’s electric cars at its Nevada Gigafactory, Government document had revealed on Monday (June 24th).

In fact, the Palo Alto-based electric vehicle maker had filed the request back in April, asking for a tariff exempt of 10,000 tons of aluminum per annum produced by Japan’s Nippon Light Metal Co. Ltd. Adding that Tesla was the only manufacturer in US of those batteries, the e-vehicle maker said in its request, “Tesla is the only US manufacturer of these battery types and planned production of these batteries will increase exponentially over the next few years”.

As a response, Commerce department document posted on government website yesterday (June 24th), dated on June 5th said that the aluminum was not being produced in United States in a sufficient and reasonably available amount or in a satisfactory quality, so the waiver is good for a year.

Nonetheless, neither Tesla Inc., nor any Commerce Department spokesman commented immediately while being asked about the subject-matter.