US kitchen cabinet industry seeks response to alleged customs fraud

USA - Senators Mike Rounds , Joe Manchin III, U.S. Representatives Abigail Spanberger and Jackie Walorski sent a bipartisan letter signed by 35 Members of Congress to Secretary Wilbur Ross, U.S. Department of Commerce and Acting Commissioner Mark Morgan, U.S. Customs and Border Protection on behalf of the U.S. kitchen cabinet industry and its over 250,000 workers to express concerns about alleged fraud on kitchen cabinet imports from China.

908KCMA“Global trade is essential to U.S. businesses, but it must be conducted fairly. There is evidence that Chinese cabinet manufacturers have sought to undercut the U.S. industry by circumventing antidumping and countervailing duties,” said Spanberger.

The industry received relief in the form of antidumping (AD) and countervailing (CVD) duties in April 2020 ranging from 13.33% to 269.91%, with an average of 58.89% for most importers.  Since that time, the domestic kitchen cabinet industry has uncovered information to suggest that Chinese producers may be engaged in transshipment, circumvention, and evasion of the AD/CVD duties. In addition, the industry has taken steps to combat customs fraud and as a result, filed a series of e-allegations and an allegation through the Enforce and Protect Act to end these fraudulent practices and restore a level playing field for the domestic industry. These allegations remain pending at Customs.

“The Kitchen Cabinet Manufacturers Association (KCMA) appreciates the leadership and support provided by Congress to ensure that the industry and its workers receive the relief intended from the antidumping duties,” said Betsy Natz, Chief Executive Officer, KCMA.  “Their efforts will ensure that the trade agencies take appropriate and swift actions to end chronic fraud, circumvention, and evasion practices. The industry stands ready and is prepared to work with these agencies to allow U.S. manufacturers to continue contributing to the nation’s economy.”

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