The US International Trade Commission (ITC) has sided with US producers of hardwood and decorative plywood (HWDP) after it found that there is a reasonable indication that imports from China, Indonesia and Vietnam “are materially injuring the US HWDP industry.”
The preliminary decision, made on July 3 – which could be finalised later this year, comes after the Coailition for Fair Trade in Hardwood Plywood filed a petition for the imposition of antidumping and countervailing duties on imports of hardwood and decorative plywood imported from the People’s Republic of China (“China”), Indonesia, and the Socialist Republic of Vietnam (“Vietnam”),” according to the petition led by the Columbia Forest Products, Commonwealth Plywood, Manthei Wood Products, States Industries, and Timber Products.
The petition – filed on May 22 – argued that imports from the three targeted countries benefit from dozens of government subsidy programs, including grants, subsidised inputs, tax breaks, and preferential loans: “These practices have materially injured the US industry by reducing production, shipments, profits, and employment,” they said.
“Domestic hardwood and decorative plywood producers and the thousands of American manufacturing jobs they support are being harmed as a result of dumped and subsidised imports from subject countries,” said Timothy C. Brightbill, co-chair of Wiley’s International Trade Practice and lead counsel to the Coalition. “The affirmative vote by the Commission takes the domestic industry one step closer to restoring fair competition on these products.”
US Department of Commerce wants to crack down on plywood imports
It comes after the US Department of Commerce last month, announced the initiation of antidumping (AD) and countervailing duty (CVD) investigations into imports of HWDP from China, Indonesia, and Vietnam – with the petition alleging significant dumping margins as high as 540.07% for China, 84.94% for Indonesia, and 152.41% for Vietnam. Commerce is also examining 33 subsidy programs in China, 12 in Indonesia, and 26 in Vietnam.
The ITC’s preliminary determination now paves the way for Commerce to move forward with its investigations. Unless extended, Commerce is expected to issue its preliminary CVD determination in August 2025 and its preliminary AD determination in October 2025. If Commerce reaches affirmative preliminary determinations in these cases, AD and CVD duties will be collected from importers based on the preliminary margins calculated.
If both Commerce and the ITC ultimately reach affirmative final determinations, AD and CVD orders on HWDP from China, Indonesia, and Vietnam will be issued, imposing duties on the unfairly traded imports for a minimum of five years. Duty evasion, absorption, and circumvention are strictly illegal. Should importers of HWDP from China, Indonesia, and Vietnam surge into the US market with imports before the preliminary determination, Commerce and the Commission may determine to impose retroactive duties on subject imports that entered the United States 90 days before the initial determination.
- To learn more about the flood of plywood from China, Indonesia and Vietnam entering the US supply chain, click here for Wood Central’s special feature from May 2025.
