This article has been republished with the permission of Furniture Today USA.
Words: Thomas Russell
The U.S. Department of Commerce has assigned preliminary antidumping duties of 57.36% to more than 500 Chinese producers of hardwood and decorative plywood.
The duties apply to Chinese hardwood plywood products imported into the U.S. between April 1, 2016, and Sept. 30, 2016. They are assigned to Chinese producers but ultimately paid by importers of record of hardwood plywood products, including some veneered panels used in cabinet, RV and some domestic furniture production.
A separate preliminary PRC (Peoples Republic of China) rate of 114.72% is applied to all other producers of the subject merchandise.
The antidumping duties aim to address what the U.S. government believes to be unfair pricing of these components by Chinese producers.
Earlier this spring, the DOC announced preliminary countervailing duties of up 111.09% for 61 Chinese producers of these materials. These duties aim to address allegations that Chinese factories are subsidized by the Chinese government.
The case stems from a complaint filed with the U.S. International Trade Commission last November by 12 domestic producers called the Coalition for Fair Trade of Hardwood Plywood. The group believes that both unfairly priced boards and the Chinese government’s subsidization of various panel producers are injuring the domestic hardwood plywood industry.
The DOC will make a final determination on the duties within 75 days after the June 23 effective date of the preliminary duties. If it determines in favor of final duties, the ITC will determine within 120 days of the preliminary duty announcement or within 45 days after the final determination whether the imports are materially injuring, or threaten material injury to the U.S. hardwood plywood industry.
The duties apply largely to the components themselves versus finished goods that are made with these panels.
For the scope of the investigation, which outlines which products are covered and exempt, visit the Federal Register’s website.