ITC Says Imports of Chinese Moulding, Millwork Injure U.S. Producers

Washington, DC – The United States International Trade Commission (USITC) has formally determined that U.S. makers of wood mouldings and millwork products are materially injured by imports from China.

Last year the U.S. Department of Commerce determined that Chinese manufacturers of moulding and millwork are subsidized, and their goods are sold in the United States at less than fair value.

The finding by the USITC allows the Commerce Department to issue antidumping and countervailing duty orders on imports of these products from China. A report will be available by March 1, 2021 on the USITC website at: http://pubapps.usitc.gov/applications/publogs/qry_publication_loglist.asp. 

The multi-step process to punish moulding and millwork importers who sell goods below cost, a practice known as “dumping,” mirrors similar recent actions regarding plywood and kitchen cabinets. In the case of cabinets, duties and tariffs of up to 300% of the goods’ values were added to the bill for importers. 

USITC provided a timeline and summary that describes the millwork and moulding case and provides an overview of the market. 

Wood Mouldings and Millwork Products from China
Investigation Nos. 701-TA-636 and 731-TA-1470 (Final)

Product Description: The merchandise subject to these investigations consists of wood mouldings and millwork products that are made of wood (regardless of wood species), bamboo, laminated veneer lumber (LVL), or of wood and composite materials (where the composite materials make up less than 50% of the total merchandise), and which are continuously shaped wood or finger‐jointed or edge-glued moulding or millwork blanks (whether or not resawn).

Type of investigation: Final countervailing duty and antidumping duty investigations.
Petitioners: The Coalition of American Millwork Producers is comprised of Best Moulding Corporation, Albuquerque, NM; Bright Wood Corporation, Madras, OR; Cascade Wood Products, Inc., White City, OR; Endura Products, Inc., Colfax, NC; Menzner Lumber and Supply Company, Marathon, WI; Pacific Wood Laminates, Brookings, OR; Sierra Pacific Industries, Red Bluff, CA; Sunset Moulding, Live Oak, CA; Woodgrain Millwork Inc., Fruitland, ID; and Yuba River Moulding, Yuba City, CA.

USITC Institution Date: Wednesday, January 8, 2020.
USITC Hearing Date: Tuesday, December 22, 2020.
USITC Vote Date: Friday, January 22, 2021.
USITC Notification to Commerce Date: Monday, February 8, 2021.

U.S. Industry in 2019:

1. Number of U.S. producers: 15.
2. Location of producers’ plants: Alabama, California, Georgia, Idaho, Kentucky, Nevada, New Mexico, North Carolina, Ohio, Oregon, Tennessee, Texas, Virginia, Washington, and Wisconsin.
3. Production and related workers: 2,452.
4. U.S. producers’ U.S. shipments: 178.8 million board feet.
5. Apparent U.S. consumption: 1.0 billion board feet.
6. Ratio of subject imports to apparent U.S. consumption: 24.8%.

U.S. Imports in 2019:

1. Subject imports: 249.9 million board feet.
2. Nonsubject imports: 589.5 million board feet.
3. Leading import sources: Brazil, China, and Chile.

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