U.S. Cabinet Distributors Launch Coalition to Fight Trade Case on Ready-to-Assemble Cabinet Imports

WASHINGTON–(BUSINESS WIRE)–lt;a href=”https://twitter.com/hashtag/KeepCabinetChoices?src=hash” target=”_blank”gt;#KeepCabinetChoiceslt;/agt;–U.S. distributors, dealers, contractors, installers and importers of
ready-to-assemble (RTA) cabinets joined together today to launch the
American Coalition of Cabinet Distributors (ACCD). The group is
dedicated to fighting a trade case filed with the U.S. International
Trade Commission (ITC) and U.S. Department of Commerce by made-to-order
cabinet companies against imports of RTA cabinets from China.

“The made-to-order cabinet manufacturers that filed this trade case are
seeking to wipe out the RTA market segment by taking advantage of
anti-China trade sentiment,” said Coalition member Randy Goldstein,
Chief Executive Officer of Kitchen Cabinet Distributors in Raleigh, NC.
“For weeks, we have seen these petitioners spread lies about the RTA
segment of the industry, a segment that actually complements U.S.
production and enhances the overall cabinet market. Small- and
medium-sized businesses throughout the United States that rely on RTA
imports have formed this coalition to fight back against the false
narrative peddled by the petitioners. We will make sure that
policymakers, elected officials and the public understand the facts of
this case and the damage that duties would have on businesses such as
remodelers and builders across the country, as well as on American
homeowners.”

The anti-dumping and countervailing duty petition, which was filed on
March 6, 2019 by the American Kitchen Cabinet Alliance (AKCA), seeks
substantial duties on imports of RTA cabinets from China. Imposition of
the proposed duties could effectively eliminate the RTA option from the
U.S. marketplace. The survival of the hundreds of American businesses in
the RTA industry is now at risk because of this trade case. Equally at
risk is the financial security of the tens of thousands of Americans
who are directly employed by these companies and the many more who are
indirectly supported by the RTA industry’s supply chain.

“The imported RTA sector makes up a small portion of the U.S. cabinet
market,” said Coalition member Missy O’Daniel, President of Web-Don Inc.
in Charlotte, NC. “Domestic producers dominate the market. Our success
has done nothing to impede the growth of the larger U.S. kitchen cabinet
industry, which continues to prosper today. In fact, made-to-order
cabinet producers have steadily increased their prices and shipment
volumes over the past several years—hardly a sign of industry malaise.”

The Coalition is encouraged by the ITC’s May 1 preliminary views on the
issue of injury. Although the ITC decided to proceed with the
investigation, it found that imports have not had a negative impact on
the U.S. cabinet industry’s prices. This finding supports the ACCD’s
position that any difficulty some members of the U.S. made-to-order
cabinet industry are experiencing is tied to home-grown factors,
including intra-industry competition, consolidation and failure to adapt
to evolving market needs. Given that import duties would have a
significant, harmful impact on workers and businesses across the United
States and would hurt American consumers who benefit from access to the
broadest array of cabinet choices possible, the Coalition urges the ITC
to continue to subject the petitioners’ self-serving assertions to the
most careful scrutiny.

“Our customers come to us for speed, service, reliability and quality,”
said Coalition member Chris Graff, Executive Vice President of JSI
Cabinetry in Fall River, MA. “We provide exceptional quality in a narrow
product assortment enabling delivery in days. The flexibility to order
RTA makes for easy, fast and damage-free delivery from our facility to
the kitchen, whether it’s for a single-family home, apartment or
multi-unit complex. This timeline contrasts with made-to-order
manufacturers that can take one or even two months or more to deliver an
order. Some consumers and construction industry clients simply can’t
wait that long for their kitchen cabinets.”

“The Coalition looks forward to presenting the facts of this case and
showing the ITC that these petitioning companies have not been injured
by imports of RTA cabinets from China,” said Coalition legal counsel
Matthew Nicely, a partner at Hughes Hubbard & Reed. “The source of any
difficulty these companies face is right here in the United States,
among their fellow U.S. competitors. We’re not going to allow anti-China
trade fever to stand in the way of a sober appraisal of marketplace
realities. We are counting on the ITC to recognize this petition for
what it is and issue a negative injury determination during the final
investigation that will commence later this year.”

For additional information on the Coalition, visit www.americancabinetdistributors.org.

Contacts

George Felcyn
202-828-1715
[email protected]

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