According to the St. Louis Post-Dispatch, a small cabinet firm in Ellisville maybe one of the victims of the ongoing trade war between the US and China. The article introduces the reader to Joe Knichel, owner of the St. Louis Cabinet Warehouse in Ellisville. He installs cabinets and frequently buys ready-to-assemble (RTA) cabinet kits from a supplier that includes doors, drawers, partitions, and hardware. Joe says the main benefit of buying an RTA kit is the time frame to complete, 2 weeks versus 4 weeks for made to order cabinets. However, in April, the U.S. International Trade commission issued a preliminary ruling that American cabinet manufacturers had been injured by Chinese imports — including imports of the kits that Knichel relies upon.
The final ruling, expected in a few months, can see tariffs added to cabinets as high as 348 percent, an amount that Joe says would likely put him out of business.
The investigation into cabinets isn’t alone – the ITC has also initiated investigations of anti-dumping on over 24 other Chinese products – such as ceramic tile and crawfish tail meat.
Joe’s example is likely just one of many examples of small businesses who rely on relatively cheap imports from China for their business. We’ll likely see a greater impact in a few months as the current inventory imported without 25% 301 duties runs out, and future imports subject to 301 duties appear on the shelves.
If you have any questions about how antidumping will impact your business, contact experienced trade attorney David Hsu by call/text: 832-896-6288 or by email at email@example.com.