The United States officially announced the launch of anti-dumping and anti-subsidy investigations on imported cabinets and bathroom cabinets in China.
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.
Data show that the total imports of wooden cabinets from China by the United States last year amounted to about $4.4 billion. The U.S. Department of Commerce said the action was initiated in response to a complaint filed earlier this month by the U.S. Cabinet Alliance. Chinese manufacturers are accused of receiving “unfair” subsidies, with cabinet prices ranging from 177% to 262% lower than their due value. Reported that the U.S. Department of Commerce once determined that China dumping wooden cabinets to the U.S. market, will impose high tariffs as punishment.
On March 7, the United States Cabinet Alliance, composed of 27 manufacturers of wooden cabinets and bathroom cabinets, filed an anti-dumping and countervailing duty complaint with the U.S. Department of Commerce and the U.S. International Trade Commission against importing wooden cabinets and bathroom cabinets from China. The group claims that Chinese cabinet and bathroom cabinet companies are selling at lower prices than fair prices in the United States and are subsidized by the government. Since 2015, China’s exports of cabinets to the United States have increased by more than 75%, causing substantial damage to the domestic industry in the United States and threatening the US cabinet industry of $9.5 billion.
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.
In response to the US anti-dumping investigation, the Guangdong Provincial Department of Commerce, Foshan Bureau of Commerce, Hangzhou Bureau of Commerce’s Foreign Trade Office, China Chamber of Commerce for Import and Export of Light Industrial Crafts, Guali Town Decoration and Sanitary Ware Industry Association convened cabinets and sanitary ware exporting enterprises to discuss countermeasures. According to people familiar with the U.S. market, it is expected that the U.S. Department of Commerce will launch an anti-dumping and countervailing investigation after the U.S. Cabinet Alliance filed an anti-dumping application for Chinese cabinets and bathroom cabinets with the U.S. Department of Commerce.
The U.S. Department of Commerce has decided to launch an anti-dumping and countervailing investigation into Chinese imports of wooden cabinets and bathroom cabinets, which will be examined by the U.S. International Trade Commission. The final decision may take months to reach.