We hate to be the bearer of bad news, but we learned today that the (United States International Trade Commission (USITC) voted affirmative that the wooden cabinets and vanities imported from China injured. The result of this case means that imports of these products from China will have to pay antidumping and countervailing duties of 48.5% and 20.93% respectively.
What this means for cabinet importers?
Let’s say the FOB price for a B18 white shaker cabinet is $100. Our President Donald Trump imposed a 25% tariff on goods imported from China.
Import Price = $100 + 25% Tariff + 48.5% Antidumping duty + 20.93% Countervailing duty
= $100 + $25 + $48.5 + $20.93
What this means for cabinet buyers?
Pretty simple, more expensive cabinets for which a low and average income homeowners might NOT willing to spend. Did we say that you still have to pay Sales Tax? That’s right!
The lockdown due to the coronavirus situation is like a dry run of what might possibly happen if other RTA cabinets shut down and no cabinets to sell for those who stayed open. That means in order for the installers and retailers to survive, they will have to rely on local cabinet giants who charged ridiculous prices for cabinets.
As a small company who’ve been struggling to survive ever since the tariff was imposed, we don’t know what the future has in store for us. We can only hope that USITC will change their mind before they realized the repercussions of this unfortunate decision.
Greencastle Cabinetry will continue to try our best to stay open and fight this nonsense to keep our people employed and support customers who depend on us.