U.S. Commerce launches national security probe into uranium imports (updated)
18/07/2018 16:08
(Adds details on probes, Ross quote)
WASHINGTON, July 18 (Reuters) - U.S. Commerce Secretary
Wilbur Ross said on Wednesday that he has launched a new
national security investigation into uranium imports that could
lead to tariffs or quotas to limit them.
The "Section 232" probe was prompted by a petition filed by
two U.S. uranium mining companies, Ur-Energy Inc URG.A and
Energy Fuels Inc UUUU.A , complaining that subsidized foreign
competitors have caused them to cut capacity and lay off
workers.
Ross said the probe would canvass the entire U.S. uranium
sector from mining through enrichment and defense and industrial
consumption.
Uranium is used in the U.S. nuclear arsenal and powers the
Navy's nuclear aircraft carriers and submarines, along with 99
U.S. commercial nuclear reactors that produce 20 percent of the
electricity consumed in the United States.
Ross added that the U.S. production of uranium has fallen to
5 percent of U.S. consumption needs from 49 percent in 1987.
"The Department of Commerce’s Bureau of Industry and
Security will conduct a thorough, fair, and transparent review
to determine whether uranium imports threaten to impair national
security," Ross said.
The new probe is the fourth launched by the Trump
administration under Section 232 of the Trade Expansion Act of
1962, previously a seldom-invoked Cold War-era law.
Probes on steel and aluminum imports have led to tariffs and
quotas on the metals, prompting retaliation from trading
partners including Canada, Mexico and the European Union. The
Commerce Department is also conducting a "Section 232" probe
into automotive imports that could lead to a significant hike in
U.S. tariffs for the sector.
(Reporting by David Lawder
Editing by Chizu Nomiyama and Jonathan Oatis)
((David.Lawder@tr.com; +1 202 354 5854; Reuters Messaging:
david.lawder.thomsonreuters.com@reuters.net))