US Finds Russia "Dumping" Palladium: What It Means for Trade

You might care about this because the U.S. government has made a big, preliminary decision about a valuable metal called unwrought palladium coming from Russia. The U.S. Department of Commerce looked into whether Russia was selling this palladium in the United States for an unfairly low price. They found that, yes, Russia is likely selling it at less than fair value. This practice is often called "dumping." This preliminary finding means that U.S. Customs and Border Protection will start taking action. They will begin requiring importers to pay a cash deposit on Russian palladium as it enters the country. This deposit is based on the difference between the fair price and the alleged dumped price. In this case, that difference is a whopping 132.83%. This high percentage is partly because Russia did not provide the information the U.S. government asked for. When this happens, the U.S. uses the best available information, which often leads to a higher dumping rate. This whole investigation covers the period from January 1, 2025, to June 30, 2025. This decision could significantly impact the cost and availability of palladium in the U.S. market. What makes this document particularly interesting is the very high preliminary dumping margin of 132.83% applied to Russian unwrought palladium. This rate is substantial and suggests a significant price disadvantage for U.S. producers. Another key aspect is the reason behind this high rate: the U.S. Department of Commerce had to rely on "facts otherwise available with adverse inferences." In simple terms, Russia did not cooperate with the investigation by providing the necessary data. Because of this lack of cooperation, the U.S. government used unfavorable assumptions to determine the dumping margin, which is a common practice when countries or companies do not comply. This signals a firm stance by the U.S. on fair trade practices and its willingness to impose significant duties when information is withheld. This preliminary finding sets the stage for potentially massive tariffs, which could reshape the supply chain for palladium and affect industries that rely on this precious metal. It highlights the complexities and sometimes contentious nature of international trade disputes, especially when transparency is an issue. Several groups would be particularly interested in this legal document. First, anyone involved in importing or exporting unwrought palladium, especially from Russia or through third countries, needs to pay close attention. The new cash deposit requirements will directly affect their business costs and operations. Second, manufacturers that use palladium in their products will find this highly relevant. This includes the automotive industry, which uses palladium in catalytic converters, as well as the electronics, jewelry, and dental industries. Changes in the price and supply of palladium could impact their production costs and strategies. Third, metal traders and commodity market analysts who deal with precious metals will want to understand the implications for market prices and availability. Finally, international trade lawyers, policy experts, and government officials focused on trade relations will view this as an important development in U.S.-Russia trade and U.S. antidumping enforcement. This decision could create ripple effects across various sectors of the economy.