Chinese plywood suspect
Thomas Russell -- Furniture Today, November 19, 2012
WASHINGTON - The U.S. International Trade Commission has determined that there is enough evidence to continue antidumping and countervailing duty investigations against Chinese manufacturers of hardwood plywood.
All six ITC commissioners have voted in support of the investigation, based on an analysis that shows the domestic industry has been materially injured by Chinese hardwood plywood imports, the agency said.
According to U.S. manufacturers who sought the investigations, the Chinese product is allegedly subsidized and sold in the U.S. at less than fair value.
The ITC vote means the U.S. Department of Commerce can continue investigations into subsidy and pricing issues. The countervailing duty investigation addresses the issue of subsidies manufacturers receive from the Chinese government, while the antidumping investigation addresses the issue of goods being priced below materials costs.
The U.S. manufacturers are seeking dumping duties between 298% and 321%. If approved by the U.S. government, such duties would apply to Chinese manufacturers and would be paid by importers of record of such merchandise.
The goods in question include hardwood plywood panel composed of two more layers of wood veneers in combination with a core. The core can be made from a variety of materials, including particleboard and medium density fiberboard.
The product is most often used in kitchen cabinets, but also can be used in furniture. How the issue plays out could affect the pricing of U.S.-made case goods and upholstery that use such materials.
The duties are being sought by six domestic hardwood plywood manufacturers. In a petition filed with the U.S. Department of Commerce in September, the companies said the imports of the materials from China rose 42.6% between 2009 and 2011.
The petition also said that the rising hardwood plywood imports have captured U.S. market share at the expense of domestic manufacturers, resulting in lost sales, low rates of capacity utilization and "razor-thin" profit margins. It also said imports have led to reduced production, plant closures and layoffs.
A full ITC report on the injury issue will be available after Dec. 10. Copies can be obtained by e-mailing firstname.lastname@example.org, or by calling (202) 205-2000.
The DOC continues to conduct its own investigations on imports and expects to issue a preliminary countervailing duty determination by Dec. 21. A preliminary antidumping duty investigation is due around March 6.
Most Recent Resources
- Getting the most out of offline leads
- Free Shipping and the Importance of Onsite Promotion
- Should Branded Manufacturers Participate in Flash Sales?
- Rugs 101 - Special Edition
- How Big Is Your Label
- Choosing a Web Site Developer
- Convergence: Tie Your Online & Offline Experience...
- Social Networks to Social Shopping
- Why Brands and Their Retailers are Facebook’s Biggest...
- Web Based Intelligence Gathering
- The Future of Tablets
- Shopatron: Bicycles & eCommerce
- A Guide to Holiday eCommerce Success
- Mattress Buying 101 - Connecting with Consumers
- Designing Your Brand’s Website for eCommerce
- Global Sourcing in 2010: Doing More With Less
- Comparing Four Options for Turning Web Site Traffic into...
- Are You Prepared for the 2009 Holiday Season? A Branded...
- Design, Develop, Deliver: The Three D's to Digitally...