DOC delays Chinese plywood probe report until Feb. 26

Thomas Russell -- Furniture Today, December 10, 2012

WASHINGTON — The U.S. Department of Commerce has announced it plans to delay the issuing of preliminary results in its countervailing duty investigation of Chinese hardwood plywood until Feb. 26.

The case pits importers of Chinese-made hardwood plywood used in kitchen cabinets, boats, RVs and some furniture. U.S. producers of similar product allege the Chinese manufacturers are undercutting them by selling the goods into the U.S. market at unfair prices, which the U.S. International Trade Commission has found is causing injury to their companies.

The countervailing duty investigation by the DOC would determine to what extent Chinese factories are subsidized by the Chinese government. If the government finds any level of subsidization, it could impose duties on the imported product, which would be assigned to manufacturers, but paid by importers of record.

The results of that preliminary investigation were supposed to be issued later this month. However, the U.S. producers asked the government to postpone the preliminary determination.

A separate antidumping investigation, meanwhile, is looking into unfair pricing claims in the case. Preliminary results are expected to be released in early March.