Anti-Dumping Duties Of Up To 262.18% And Countervailing Duties Of Up To 293.45%! US Announces Final Duty Rates On Bathroom Cabinets And Cupboards From China

On 24 February EST, the US Department of Commerce announced the final duty rate for anti-dumping and countervailing investigations into wooden cabinets and bathroom cabinets products from China: anti-dumping duties topped out at 262.18% and cash deposit rates at 251.64%. The countervailing duty reached a maximum of 293.45%.

According to the U.S. Department of Commerce’s final anti-dumping duty rate results for wooden cabinets and bathroom cabinets products from China: Jiangsu Hongjia Wood Industry Co., Dalian Mason Woodworking Co., Ltd. and Rizhao Fu Kai Wood Industry Co., Ltd. are mandatory respondent enterprises with final anti-dumping duty rates of 4.37%, 262.18% ir 101.46% respectively, and cash deposit rates of 0%, 251.64% ir 90.92% respectively. The final anti-dumping duty rate for enterprises qualified for individual duty rate was 48.5% and the cash deposit rate was 37.96%. The final anti-dumping duty rate for Chinese enterprises not qualified for individual duty rate was 262.18% and the cash deposit rate was 251.64%.

Anti-Dumping Duty

According to the results of the US countervailing final tariff rates on wooden cabinets and bathroom cabinets made in China: Jiangsu Hongjia Woodworking Co Ltd, Dalian Meisen Woodworking Co Ltd, Rizhao Fu Kai Woodworking Co Ltd, Henan Province Aidijia Furniture Co Ltd and Dewei International Trade Co Ltd are mandatory respondent enterprises with final anti-dumping tariff rates of 13.33%, 18.27%, 31.18%, 293.45%, 293.45%, 293.45% ir 293.45% respectively. The final anti-dumping tariff rates for other enterprises were 20.93%.

Countervailing Duties

The US International Trade Commission will make a final injury decision on 6 April to determine whether US manufacturers have been harmed by imported Chinese products.

Event Review

On March 6, 2019, the American Kitchen Cabinet Alliance (AKCA) filed a complaint requesting that the federal Department of Commerce and the U.S. International Trade Commission (ITC) initiate a double counter investigation of the above-mentioned imports from China on the grounds that manufacturers of Chinese products receive illegal government subsidies and are unfairly priced in the U.S. market in a manner that constitutes dumping on the U.S. similar manufacturing industries in the range of US$2 billion to US$4 billion.

On 27 March 2019, the US Department of Commerce announced that it had initiated an anti-dumping and countervailing investigation into Chinese imports of wooden cabinets and bathroom cabinets to determine whether the said products were dumped into the US market.

On 6 August 2019, the US Department of Commerce preliminarily determined and announced that countervailing duties were imposed on imports of Chinese cabinets worth US$4.4 billion (approximately RMB 31 billion) at a rate of up to 229.24%. JAV. Customs and Border Protection was required to collect cash deposits from Chinese importers of wooden cabinets and dressers based on the determined subsidy rate.

In early October 2019, the US Department of Commerce announced the preliminary findings of an anti-dumping investigation into cabinet and bathroom cabinet products from China.

The American Cabinet Alliance claimed that from January 2016 to January 2018, US imports of wooden cabinets and bathroom cabinets from China increased by 19.9 percent, that imports of cabinets and bathroom cabinets from China accounted for 50 percent of total imports, and that undercutting sales of Chinese cabinets resulted in a loss of US$116 million to the US cabinet industry between 2016 ir 2018.

This is one of the largest trade cases brought by the US against China in history.