The highest tax rate is 229%. U.S. Releases Preliminary Ruling Result on Countervailing Measures against Chinese Cabinets
As the Sino-US trade war escalated, the US Department of Commerce announced on Tuesday that it would impose countervailing tariffs on Chinese cabinets valued at 4.4 billion US dollars (about 31 billion RMB) with a maximum tax rate of 229.24%.
The Sino-US trade war has escalated again. The US Department of Commerce announced on Tuesday that it will impose countervailing duties on imported Chinese cabinets valued at 4.4 billion US dollars (about 31 billion RMB), with a maximum tax rate of 229.24%.
According to Bloomberg, the U.S. Department of Commerce preliminary ruling Tuesday will require the U.S. Customs and Border Protection Agency to collect cash deposits from Chinese importers of wooden cabinets and dressing tables at a fixed subsidy rate of up to 229.24% and 16.49% for all non-designated Chinese companies. Tax rate.
A preliminary ruling was made on the complaint filed by the American Cabinet Alliance at the beginning of this year. The complaint claims that the dumping margin of Chinese manufacturers exceeds 200%.
The U.S. government will collect cash deposits at the corresponding tax rates from the following companies
229.24% tax rate cash deposit
Deway International Trade Co. (Deway International Trade Co., Ltd.)
Henan AiDijia Furniture Co. (Henan Aidijia Furniture Co., Ltd.)
10.97% Initial Subsidy Tax Rate
The Ancientree Cabinet Co. (Jiangsu Hongjia Wood Industry Co., Ltd.)
Dalian Meisen Woodworking Co. (Dalian Meisen Wood Industry Co., Ltd.)
Rizhao Foremost Woodwork Manufacturing Company Ltd.
The tax rate of 16.41% will be levied on all Chinese companies except those designated individually.
According to the statement, the U.S. Department of Commerce will issue a final decision in December, and the U.S. International Trade Commission will announce its decision on January 30, when the final tax rate will be finalized.
On March 6, 2019, the American Kitchen Cabinet Alliance filed a complaint asking the Federal Ministry of Commerce and the United States International Trade Commission to launch a double-check investigation into China’s imports on the grounds that Chinese manufacturers received illegal subsidies from the government and were in the United States market at unfair prices. It constitutes dumping, causing losses to similar manufacturing industries in the United States between $2 billion and $4 billion.
On March 27, the U.S. Department of Commerce announced that an anti-dumping and countervailing investigation was launched on imported wooden cabinets and bathroom cabinets from China to determine whether the above products were dumped into the U.S. market.
From January 2016 to January 2018, the United States imported wooden cabinets and bathroom cabinets from China increased by 19.9%. The amount of imported cabinets and bathroom cabinets from China accounted for 50% of the total imports. The low-price sales of Chinese cabinets resulted in a loss of $116 million between 2016 and 2018.
This is one of the largest U.S. trade cases against China in history.