KCMA Applauds Positive Step Forward by Commerce on Unfairly Traded Cabinet Imports from Malaysia and Vietnam
Reston, VA – The Kitchen Cabinet Manufacturers Association (KCMA) announced that the U.S. Department of Commerce has taken a significant step to address the issue of unfairly traded Chinese cabinet and component parts being transshipped through Malaysia and Vietnam. These practices have been used to circumvent existing anti-dumping and countervailing duty orders on wooden cabinets, vanities, and components from China.
The Commerce Department has proposed a certification process designed to disrupt the flow of finished and unfinished Chinese cabinet components that are completed in Malaysia and Vietnam before entering the U.S. market. Under the proposal, importers and exporters would be required to certify that each shipment does not contain Chinese cabinet components, including doors, drawer faces, and frames.
“Today’s announcement by the U.S. Department of Commerce is a great step forward as we work to ensure that all cabinets and components flowing through Malaysia and Vietnam are manufactured there, not in the People’s Republic of China,” said KCMA CEO Betsy Natz. “On behalf of KCMA member companies, I commend the Department of Commerce for its continued efforts to enforce these orders and create a chain of custody to stop the cheating.”
The Commerce Department has invited interested parties to submit comments on the proposed certification process by April 19, 2024, with rebuttal comments due by April 26, 2024.
In April 2020, following petitions filed by KCMA, the Department of Commerce issued anti-dumping and countervailing duty orders on wooden cabinets and vanities from China. However, the effectiveness of these orders was weakened by Chinese-made products being transshipped through Malaysia and Vietnam. In April 2022, KCMA requested scope inquiries and anti-circumvention proceedings to address this issue and protect tens of thousands of American cabinet manufacturing jobs.
KCMA stated it will continue advocating for fair trade practices to ensure domestic cabinet manufacturers can compete on a level playing field.
The American Kitchen Cabinet Alliance (AKCA) is working with members of Congress and industry leaders to:
- Prevent China from re-entering the U.S. cabinet market through illegal practices
- Preserve the domestic cabinet manufacturing industry
- Protect American jobs and underserved communities that represent more than 40 percent of the workforce
A Level Playing Field
The American kitchen cabinet industry employs more than 250,000 Americans and generates over $12 billion in annual revenue. The duties imposed in 2020 have supported job growth and plant expansions in states including Georgia, Indiana, Pennsylvania, Washington, South Dakota, and Alabama.
However, the industry faces renewed risk as the Department of Commerce reviews and recalculates current duty rates. The outcomes of these reviews will determine whether the existing orders remain effective or if Chinese companies can again exploit unfair trade practices through transshipment. Industry leaders warn that allowing such practices to continue would undermine the domestic cabinet industry and result in significant job losses, particularly impacting underserved communities that make up more than 40 percent of the workforce.
“The American government has to do more to make sure that the rules in place to ensure fair competition are enforced,” said U.S. Senator John Thune, Senate Minority Whip.
“We simply cannot allow China’s exploitative trade practices to reclaim control of our domestic cabinet industry and strip working families of the ability to pursue their own American dream,” said Perry Miller, President of Kountry Wood Products.
About the Kitchen Cabinet Manufacturers Association
Founded in 1955, the Kitchen Cabinet Manufacturers Association (KCMA) is a voluntary, non-profit trade association representing North American cabinet manufacturers and industry suppliers. With more than 300 members across the United States, KCMA advances the industry through advocacy, standards development, research sponsorship, and educational programs. KCMA also administers the nationally recognized KCMA Certification program for cabinet performance.