US Secretary of Commerce Wilbur Ross announced that it is starting an investigation into the import of transformer cores and regulators as a threat to the national security of the United States.
The decision to open an investigation was made in accordance with section 232 of the Trade Expansion Act 1962. Under the law, Secretary of State Ross will send Defense Secretary Mark Esper a letter informing him of the investigation. Secretary Ross will also notify other relevant executive branch officials.
"The Department of Commerce will conduct a thorough, fair and transparent analysis to determine the impact on national security of imports of transformer cores and regulators," said Wilbur Ross.
Grained electrical steel cores are critical components of a transformer. Electrical steel is essential for distribution power transformers for all types of energy - including solar, nuclear, wind, coal and natural gas.
Assured domestic supplies of these products enable the United States to respond to major power outages affecting civilians, critical infrastructure, and US defense manufacturing capabilities, ”the Commerce Department said.
Notice of investigation will be posted shortly in the US Federal Register.
The last time the United States applied Cold War law against steel and aluminum imprints, which triggered a wave of retaliatory actions around the world, worsened relations between Washington and Brussels and became a prerequisite for the start of a trade war with China.
