Petitions from the American Kitchen Cabinet Alliance allege that wooden cabinets and vanities from China are unfairly subsidized and dumped on the U.S. market.
The Commerce Department has started antidumping and countervailing duty investigations of Chinese-made wooden cabinets, vanities and related components imported into the U.S. to determine if they are being dumped on the market at less than fair value or receive subsidies from the Chinese government.
The investigations are based on the March 6 petitions filed by the American Kitchen Cabinet Alliance.
The antidumping investigation petition alleges dumping margins for China in the range of 117.36 percent to 262.18 percent, while the countervailing duty investigation petition highlighted 36 Chinese subsidy programs, including provision of goods for less than adequate remuneration, loan programs, grant programs, tax programs and export subsidy programs, for this industry.
According to Commerce, imports of wooden cabinets and vanities from China in 2018 were valued at $4.4 billion.
While Commerce conducts its antidumping and countervailing duty investigations into the Chinese cabinets and vanities, the International Trade Commission will conduct its own investigation into whether U.S. manufacturers are harmed by these imports. The ITC is expected to make its preliminary determination by April 22.
If the ITC preliminarily finds that there is injury, then Commerce’s investigations will continue, with the preliminary countervailing duty determination scheduled for May 30, and preliminary antidumping determination scheduled for Aug. 13, unless these deadlines are extended.
If Commerce preliminarily discovers that dumping and/or unfair subsidization is occurring, then it will instruct Customs and Border Protection to begin collecting cash deposits from all U.S. companies importing wooden cabinets and vanities from China.
Final determinations by Commerce in these cases are set for Aug. 13 for the countervailing duty investigation and Oct. 28 for the antidumping investigation, unless they’re extended. If Commerce finds that the Chinese-made cabinets and vanities are not being dumped and/or unfairly subsidized, or the ITC finds in its final determinations there is no harm to the U.S. industry, then the investigations will end and no duties will be assessed.
