Wood Mouldings And Millwork Products From China And Brazil Subject Of Anti-Dumping/Countervailing Investigation


By Pacific Customs Brokers, Pacific Customs Brokers 2020-01-31

On January 28, 2020, the Department of Commerce(DOC) announced the initiation of Anti-dumping and Countervailing Duty (AD/CVD) investigations on Wood Mouldings and Millwork from China and an Anti-dumping investigation on Brazil. The preliminary Antidumping rates for China are set between 181.17% and 359.16% and Brazil AD rates are set at 86.73%. The CVD rate for China is set at “above de minimis”, which is quite vague as it is merely identified as more than 1%.

Background:

The investigations are a result of a petition filed on January 8th, 2020 with the Department of Commerce by the Coalition of American Millwork Producers.

Merchandise Subject To The Investigation:

  • Wood Mouldings
  • Millwork Products:
    • Wood regardless of species
    • Bamboo
    • Laminated veneer lumber
    • Combination wood and composite materials - where composite materials are less than 50%

The products may be solid wood, laminated, finger-jointed, edge-glued, face glued or otherwise joined in the production or re-manufacturing process and are covered by the scope whether imported raw, coated, primed, painted, stained, wrapped, or any combination thereof, as well as material treated or other rot resistant elements

Merchandise Excluded From The Investigation:

  • Exterior fencing
  • Exterior decking
  • Exterior siding products
  • Finished or unfinished doors
  • Flooring
  • Parts of stair steps
  • Picture frame components three feet and under in individual lengths

Status Of The Investigation:

The investigation is in the Commission's preliminary phase. During this phase, the Commission invites interested parties (other than the original petitioner) to participate in the investigation, and sends out questionnaires to the US and Foreign Producers, and Importers to obtain the information needed to complete the investigation. The Commission is expected to make a preliminary determination on the investigation no later than February 24th, 2020.

Next Steps:

If the International Trade Commission does not find that these imports injure our domestic industry the investigation is terminated. If the Commission finds that our US domestic industry has been injured by way of imports of subject merchandise the investigation will continue. Commerce will be scheduled to announce its preliminary CVD determination on April 3, 2020 and preliminary AD determination on June 17, 2020.

When Will Your Goods Be Subject To AD/CVD Duties:

Once the Department of Commerce (DOC) makes their preliminary determinations, if determination is positive, they will issue instructions to Customs and Border Protection to suspend liquidation of entries and begin the collection of duties.

  • April 3, 2020: DOC Preliminary Determination on CVD due - (this can be extended if requested) Collection of CVD Duties begins
  • June 17, 2020: DOC Preliminary Determination on ADD due - (this can be extended if requested) Collection of ADD Duties begins

Duty collection begins on the date of the preliminary determination, however, if the DOC finds critical circumstances exist, such as a surge in imports after the announcement of the investigation, they can institute the collection of duty up to a period of 90 days retroactive from the date of their preliminary determination.

For more information on timelines and a complete scope of the merchandise included in these investigations, click here.


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